normative
Don't Target The Exchange Rate
Because exchange rates contain so much noise, policymakers should not look at the exchange rate when setting policy but at inflation and output; trying to target the exchange rate is a fool's game, and if the Trump administration tries it, any success would be pure luck.
normativepending
Speaker
Kenneth RogoffEvidence Quote
“I think the policy conclusions people drew out of that is, don’t look at the exchange rate. When you’re trying to figure out what policy should be, look at inflation rate, look at output.”
Created: 6/13/2026, 3:28:48 AM
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