Richmond Fed tries to bridge gap between rules and discretion

Jeffrey Lacker: rules can be a useful guide to policy

The Federal Reserve Bank of Richmond has lent support to the idea of setting monetary policy on the basis of a more transparent strategy, with a senior economist outlining a framework that steers between rules- and discretion-based approaches.

The Richmond Fed published a paper by Robert Hetzel on September 12, outlining a method for the Fed to be more explicit and systematic in setting policy, without ceding control completely to a mechanical rule.

Hetzel's idea is for the Federal Open Market

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Central Banking? View our subscription options

If you already have an account, please sign in here.

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account