﻿[3] We cautioned against the cult of central bank independence, that is, the need to avoid excessive concentration on inflation avoidance. Hence the conclusion that a central bank should have goal dependence. Second, there was the academic literature. Stan and I noted that much of the academic literature focused on rules versus discretion in the context of dynamic inconsistency.
﻿[4] Dynamic inconsistency doesn't have any particular implication for central bank independence. A rules-based monetary policy can be implemented mechanically by an agency with neither goal nor instrument independence. The argument won out in favour of discretion; if not in all of the theoretical literature then absolutely in practice.