Econometrics, vol. 48, No. 1 (January 1980). pp. 1-48. BIS Review 56/2005  1  Each one of these approaches has proven useful, and their descendants are currently employed in various forms in central banks throughout the world. But as yet, none of these approaches is capable of addressing the full range of policymakers' needs.
At various points in time, some analysts have held out hope that a single indicator variable - such as commodity prices, the yield curve, nominal income, and of course, the monetary aggregates - could be used to reliably guide the conduct of monetary policy.