See full document here (couldn’t download from Heritage when I tried). Here’s the text for monetary policy.

“Eliminate the “dual mandate.” The Federal Reserve was originally created to “furnish an elastic currency” and rediscount commercial paper so that the supply of credit could increase along with the demand for money and bank credit. In the 1970s, the Federal Reserve’s mission was amended to maintain macroeconomic stability following the abandonment of the gold standard.7 This included making the Federal Reserve responsible for maintaining full employment, stable prices, and long-term interest rates.
Supporters of this more expansive mandate claim that monetary policy is needed to help the economy avoid or escape recessions. Hence, even if there is a built-in bias toward inflation, that bias is worth it to avoid the pain of economic stagnation. This accommodationist view is wrong. In fact, that same easy money causes the clustering of failures that can lead

Keep reading this article on Econbrowser Blog - James Hamilton & Menzie Chinn.

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