Thinking strategically, the order of the questions is clear: First, we have to answer the question “Why”. What are the use cases for CBDC and who should have access to it? Second, we have to consider the benefits and the risks, in particular, risks to monetary and financial stability when speaking of general purpose CBDC. And third, we have to answer the question “How”.
By this standard, Prof. Taylor is among the most honoured macroeconomists of his generation.