Readers of historical documents from this period should take care to understand that references to “inflation,” “excessive credit creation,” and “speculation” were often related to this issue rather than to the issues we associate those terms with today.
Having inside knowledge, I can in fact rule out that John Taylor’s results constitute any sign of a leader-follower structure or any sign of a focus on the side of the ECB on the dollar-euro exchange rate, or in fact on any exchange rate, as a target of policy. Neither is the case.