2 At that time, the literature on monetary policy rules, especially in the United States, remained predominantly concerned with the money stock or total bank reserves rather than the short-term interest rate. 3 Seen with the  1  Views expressed in this presentation are my own and not necessarily the views of the Federal Reserve Board or the Federal Open Market Committee.
I am grateful to Ed Nelson of the Federal Reserve Board for his assistance. 2 See, for example, Cooper and Fischer (1972). 3 There was, however, a long tradition of monetary analysis in the United Kingdom and continental Europe that was centered on the authorities’ use of the interest rate as an instrument. See especially Keynes (1930) and Wicksell (1936).