Niurong as the target for NGDP targeting: Mario Draghi's nightmare?

Belgodere, Antoine (2011): Niurong as the target for NGDP targeting: Mario Draghi's nightmare?

Abstract

NGDP targeting is presented by some macroeconomists as a good practice for central banks. But what should be the target value? I propose a relevant measure: the Non Increasing Unemployment Rate Of Nominal Growth (NIURONG). I use NIURONG to show how difficult would have been for European Central Bank to implement a relevant monetary policy for each Euro Area country in front of post-2008 economic downturn.

• Item Type: MPRA Paper
• Language: English
• Keywords: NDGP targeting; monetary policy; Optimal Currency Areas
• Subjects: E - Macroeconomics and Monetary Economics > E5 - Monetary Policy, Central Banking, and the Supply of Money and Credit > E58 - Central Banks and Their Policies

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