Goldman Idea Could Let Inflation Out of the Bottle: Amity Shlaes

Nov. 3 (Bloomberg) -- There are bad ideas, and there’s the proposal that economists from Goldman Sachs Group Inc. released Oct. 14. They suggested that the Federal Reserve Board target a nominal gross-domestic-product growth rate of 4.5 percent to decide how much money to inject into the economy. The econo-speak name for this practice is “NGDP targeting.” The question is whether that unlovely abbreviation makes it into mainstream English and becomes policy.

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