But as the conference papers illustrate, we are making progress. Still, when it comes to inflation modeling and policymaking, as my grade school report cards used to say: There is room for improvement. Specifically, I wonder whether current inflation research adequately addresses the questions that bedevil me as a policymaker.
Tonight I cannot resist the opportunity presented by having access to a captive group of researchers to share these concerns with you, with the intention of providing some constructive suggestions for future work. What properties am I looking for in a model of inflation and the economy overall?