Monetary Equilibrium and Nominal Income Targeting

There is no book covering the topic of nominal income targeting as its main subject of study. This book fills this gap on a topic, which has been of increasing interest to academics and policy makers since 2008.  It not only explains the foundations of nominal income targeting, but also addresses its limits and ways to diagnose if it is being applied correctly. The application of a monetary rule does not only require that the right policy be chosen, but also that it be applied correctly. For the latter, a discussion of how to diagnose a mis-application is needed.