Monetary Policy
By minimizing the harm caused by recessions and high inflations, monetary policy can promote economic stability and create an environment in which individuals and businesses prosper and thrive. In pursuit of these goals, Mercatus research shows why and how the Federal Reserve should (a) follow a rules-based approach to making policy, (b) increase its transparency and accountability to the public, and (c) better utilize market signals.
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Latest work in Monetary Policy
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Rachel Siegel on the Fed, Commercial Real Estate, and the Economics of the 2024 Election
As inflation and other economic issues top the list of concerns heading into next year’s election, the commercial real estate market remains a major threat to financial and broader macro stability.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Will Bateman on the History and Evolving Nature of the Fiscal Fed
Contrary to conventional wisdom, the Fed has a long and extensive fiscal history of building, smoothing, and rescuing US Treasury debt markets.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
PJ Glandon on the State of Macroeconomics: Research and Pedagogy
Quantitative theory-based analysis has begun to take over the field of macroeconomics over the past 40 years, and this is having major impacts on the pedagogic future of the discipline.
- | Monetary Policy Monetary Policy
- | Event Video Event Video
The Legacy of Bennett McCallum and Lessons for Monetary Policy Today
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Ed Nelson on the Life, Work, and Legacy of Bennett McCallum
In addition to being a pioneer and a titan in the fields of macroeconomics and monetary policy, Bennett McCallum was an even better colleague, friend, and husband who has left an illustrious legacy.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Sam Hammond on AI, Techno-Feudalism, and the Future of the State
As AI technology continues to swiftly develop, the role of government may soon undergo a radical transformation.
- | Monetary Policy Monetary Policy
- | Events Events
The Legacy of Bennett McCallum and Lessons for Monetary Policy Today
National Press Club (Washington, D.C.)
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Marc Goldwein on the US Government Budget: Structure, Challenges, and Reform Strategies
In order to help secure the long-term health of the US economy, policymakers must begin to grapple with the harsh realities of entitlements reform.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Lev Menand and Josh Younger on *Money and the Public Debt: Treasury Market Liquidity as a Legal Phenomenon*
After its near collapse in March of 2020, robust legal reforms are needed ensure increased liquidity and stability in the Treasury market moving forward.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Thomas Hoenig on Public Debt Sustainability and the Current State of the US Banking System
As high interest rates continue to persist, a possible collapse of the commercial real estate market may be a stern warning about the health of the US banking system.
- | Monetary Policy Monetary Policy
- | Expert Commentary Expert Commentary
Taking a Close Look at the Economic Situation: September 2023 | Groundbreak Carolinas
- | Monetary Policy Monetary Policy
- | Radio Appearance Radio Appearance
A Government Shutdown Would Stifle Flow of Economic Data | Marketplace Radio
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Robert McCauley on Bond Market Crises and the International Lender of Last Resort
As the 2020 dash for cash demonstrated, the Fed has now assumed a crucial role as the twenty-first century international lender of last resort in the bond market.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Joe Gagnon on Inflation Progress and the Path Ahead: Breaking Down Jerome Powell’s Jackson Hole Speech
Chair Powell’s Jackson Hole speech provided some necessary reassurances while leaving some important questions unanswered, as we continue to navigate through an uncertain macro environment.
- | Monetary Policy Monetary Policy
- | Policy Briefs Policy Briefs
The Neutral Level of NGDP and the NGDP Gap: Q2 2023
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Nicholas Anthony on the Current Prospects and Legislative Developments Surrounding CBDC
As proposals for CBDC development become more ubiquitous across governments and central banks, it’s important to weigh the many arguments for and against such propositions.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
John Coates on *The Problem of Twelve: When a Few Financial Institutions Control Everything*
As private equity and index funds continue to swallow up a growing number of financial assets, the legitimacy and accountability of American capitalism may be called further into question.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Zac Gross on the Past, Present, and Future of Australian Monetary Policy
Altering the monetary policy decision-making process and switching to a corridor system are just a few steps the RBA can take to improve policy outcomes in the future.
- | Monetary Policy Monetary Policy
- | Radio Appearance Radio Appearance
First Anniversary of Inflation Reduction Act; Topical Economics | WGSO radio’s “Ringside Politics” (LA)
- | Monetary Policy Monetary Policy
- | Radio Appearance Radio Appearance
First Anniversary of Inflation Reduction Act and Its Impact | WJIM radio’s “The Steve Gruber Show” (MI)
Latest work in Monetary Policy
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Rachel Siegel on the Fed, Commercial Real Estate, and the Economics of the 2024 Election
As inflation and other economic issues top the list of concerns heading into next year’s election, the commercial real estate market remains a major threat to financial and broader macro stability.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Will Bateman on the History and Evolving Nature of the Fiscal Fed
Contrary to conventional wisdom, the Fed has a long and extensive fiscal history of building, smoothing, and rescuing US Treasury debt markets.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
PJ Glandon on the State of Macroeconomics: Research and Pedagogy
Quantitative theory-based analysis has begun to take over the field of macroeconomics over the past 40 years, and this is having major impacts on the pedagogic future of the discipline.
- | Monetary Policy Monetary Policy
- | Event Video Event Video
The Legacy of Bennett McCallum and Lessons for Monetary Policy Today
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Ed Nelson on the Life, Work, and Legacy of Bennett McCallum
In addition to being a pioneer and a titan in the fields of macroeconomics and monetary policy, Bennett McCallum was an even better colleague, friend, and husband who has left an illustrious legacy.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Sam Hammond on AI, Techno-Feudalism, and the Future of the State
As AI technology continues to swiftly develop, the role of government may soon undergo a radical transformation.
- | Monetary Policy Monetary Policy
- | Events Events
The Legacy of Bennett McCallum and Lessons for Monetary Policy Today
National Press Club (Washington, D.C.)
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Marc Goldwein on the US Government Budget: Structure, Challenges, and Reform Strategies
In order to help secure the long-term health of the US economy, policymakers must begin to grapple with the harsh realities of entitlements reform.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Lev Menand and Josh Younger on *Money and the Public Debt: Treasury Market Liquidity as a Legal Phenomenon*
After its near collapse in March of 2020, robust legal reforms are needed ensure increased liquidity and stability in the Treasury market moving forward.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Thomas Hoenig on Public Debt Sustainability and the Current State of the US Banking System
As high interest rates continue to persist, a possible collapse of the commercial real estate market may be a stern warning about the health of the US banking system.
- | Monetary Policy Monetary Policy
- | Expert Commentary Expert Commentary
Taking a Close Look at the Economic Situation: September 2023 | Groundbreak Carolinas
- | Monetary Policy Monetary Policy
- | Radio Appearance Radio Appearance
A Government Shutdown Would Stifle Flow of Economic Data | Marketplace Radio
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Robert McCauley on Bond Market Crises and the International Lender of Last Resort
As the 2020 dash for cash demonstrated, the Fed has now assumed a crucial role as the twenty-first century international lender of last resort in the bond market.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Joe Gagnon on Inflation Progress and the Path Ahead: Breaking Down Jerome Powell’s Jackson Hole Speech
Chair Powell’s Jackson Hole speech provided some necessary reassurances while leaving some important questions unanswered, as we continue to navigate through an uncertain macro environment.
- | Monetary Policy Monetary Policy
- | Policy Briefs Policy Briefs
The Neutral Level of NGDP and the NGDP Gap: Q2 2023
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Nicholas Anthony on the Current Prospects and Legislative Developments Surrounding CBDC
As proposals for CBDC development become more ubiquitous across governments and central banks, it’s important to weigh the many arguments for and against such propositions.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
John Coates on *The Problem of Twelve: When a Few Financial Institutions Control Everything*
As private equity and index funds continue to swallow up a growing number of financial assets, the legitimacy and accountability of American capitalism may be called further into question.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Zac Gross on the Past, Present, and Future of Australian Monetary Policy
Altering the monetary policy decision-making process and switching to a corridor system are just a few steps the RBA can take to improve policy outcomes in the future.
- | Monetary Policy Monetary Policy
- | Radio Appearance Radio Appearance
First Anniversary of Inflation Reduction Act; Topical Economics | WGSO radio’s “Ringside Politics” (LA)
- | Monetary Policy Monetary Policy
- | Radio Appearance Radio Appearance
First Anniversary of Inflation Reduction Act and Its Impact | WJIM radio’s “The Steve Gruber Show” (MI)
Latest work in Monetary Policy
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Nicholas Anthony on the Current Prospects and Legislative Developments Surrounding CBDC
As proposals for CBDC development become more ubiquitous across governments and central banks, it’s important to weigh the many arguments for and against such propositions.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
John Coates on *The Problem of Twelve: When a Few Financial Institutions Control Everything*
As private equity and index funds continue to swallow up a growing number of financial assets, the legitimacy and accountability of American capitalism may be called further into question.
- | Monetary Policy Monetary Policy
- | Radio Appearance Radio Appearance
First Anniversary of Inflation Reduction Act; Topical Economics | WGSO radio’s “Ringside Politics” (LA)
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Zac Gross on the Past, Present, and Future of Australian Monetary Policy
Altering the monetary policy decision-making process and switching to a corridor system are just a few steps the RBA can take to improve policy outcomes in the future.
- | Monetary Policy Monetary Policy
- | Radio Appearance Radio Appearance
First Anniversary of Inflation Reduction Act and Its Impact | WJIM radio’s “The Steve Gruber Show” (MI)
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Larry White on Gold, Fiat, and Bitcoin: Determining the Ideal Monetary Standard
In the search for better money, it’s important to compare and evaluate all monetary standards with sound monetary theory, economic analysis, and relevant historical contexts.
- | Monetary Policy Monetary Policy
- | Podcast Appearance Podcast Appearance
The Push for a Central Bank Digital Currency | WIND radio’s Chicago’s Morning Answer”
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Ricardo Reis on the Macroeconomics of Financial Crises and the Recent Inflation Surge
The Great Recession period offers many lessons for identifying and preventing macroeconomic crises in the future.
- | Monetary Policy Monetary Policy
- | Podcast Appearance Podcast Appearance
Why Was America’s Credit Downgraded? | Lars Larson Show
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Macro Lit Review 4: Highlights from Mid-2023 with George Selgin
George Selgin rejoins David Beckworth to discuss a wide range of important monetary and financial policy developments.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Bryan Cutsinger and Louis Rouanet on the Politics and Dynamics of Hyperinflation in Revolutionary France
After years of political turmoil and subsequent hyperinflation, revolutionary France provides a valuable lesson in monetary theory that still has implications today.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Jesus Fernandez-Villaverde on Demographic Trends, Recent Macroeconomic Developments, and AI’s Implications for Economic Growth
As fertility rates continue to decline across the globe, there is cause for concern regarding how these trends will negatively impact economic growth in the future.
- | Monetary Policy Monetary Policy
- | Radio Appearance Radio Appearance
CPI Numbers | American Radio Journal
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Chris Conlon on the Post-COVID Inflation Surge and the Greedflation Narrative
Although recent inflationary trends have coincided with periods of record corporate profits, we should pump the brakes when considering greedflation theories.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Tim Lee on the Present and Future of AI and its Implications for Policy
As AI technology continues to develop, it could have major implications for the labor market, macro policy, and the greater macroeconomy moving forward.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Steven Kamin on the Global Influence of Fed Policy and the U.S. Dollar
Although the effects of Fed policy can be felt throughout the world, its impacts may not be as pronounced in most emerging markets.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Chris Hughes on the Legacy of Arthur Burns and its Implications for Macro Policy Today
Although monetary policy is known as the primary tool for combating inflation, Arthur Burns believed that broader policy measures could be useful for reliving price pressures throughout the economy.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Peter Stella on the Quasi-Fiscal Implications of Central Bank Crisis Intervention
Transferring liabilities from the Fed to the Treasury is one way the US could more effectively manage central bank debt during times of crises.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Christina Skinner on Central Bank Digital Currency as New Public Money
Sovereignty, property, and privacy are a few avenues through which CBDC may forever alter monetary rights.
- | Monetary Policy Monetary Policy
- | Mercatus Original Podcasts Mercatus Original Podcasts
- | Macro Musings Macro Musings
Gianluca Benigno on the Basics and Policy Functionality of R** and the Dollar’s Imperial Circle
As financial stability considerations become more important, using r** as a policy tool could play a key role in measuring financial stress throughout the macroeconomy.