John Taylor thinks that gold standard is not the right path to stability

John Taylor a Stanford University Professor and one of the 576 economists who have endorsed Romney, says that gold standard is not the way in which the economic stability can be increased in the USA. He said that it would be more robust if there’s pegging the dollar to a broader price index.

Taylor has served as Treasury undersecretary I Bush’s administration and has created a rule connected to guiding monetary policy.

Republican drafters have set up a mission in order to think about return of the dollar to the gold standard. They have proposed setting a fixed value for the currency after 2 days of deliberating.

In a recent interview John Taylor said that he is enjoying what he is doing. He commented that he is having a great time in civil society and while doing his research.

When asked who should replace Ben Bernarke, Romney said 2 of his economic advisors – Greg Mankiw of HU and Glenn Hubbard of CU. Romney commented that he has not thought about just one person who can replace the Fed chief.

Romney‘s intentions to cut federal spending, overhaul the tax code, reinforce entitlement programs and reduce regulation are going to change the direction of the economic policy.

John Taylor said that a third round of quantitative easing should be considered by the Fed officials. According to him, the benefits from the first two rounds are quite minimal. He is convinced that the Fed officials should go back to the policy which worked very well in most of the 80s and 90s.