Front Cover -- Book Title -- Copyright -- Contents -- Preface -- Introduction -- Part I - Taylor's Approach to Monetary Theory and Policy -- 1. Monetary Policy Rules: From Adam Smith to John Taylor - Pier Francesco Asso, Robert Leeson -- 2. The Taylor Rule and the Practice of Central Banking -...

This paper examines the intellectual history of the Taylor Rule and its considerable influence on macroeconomic research and monetary policy. The paper traces the historical antecedents to the Taylor rule, emphasizing the contributions of three prominent advocates of rules - Henry Simons, A.W....

The Taylor rule has revolutionized the way many policymakers at central banks think about monetary policy. It has framed policy actions as a systematic response to incoming information about economic conditions, as opposed to a period-by-period optimization problem. It has emphasized the...