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The Right Advice for the Pandemic Recovery

As long as there is no major uptick in inflation, central banks would do well to sustain their expansionary monetary policy, but with the goal of supporting effective – and coordinated – fiscal-policy interventions. In other words, the world needs to follow the late Richard Cooper's sound counsel.

NEW HAVEN – Last year, I lost my teacher, friend, and most valued research colleague, and the world lost a brilliant economist. Richard Cooper was one of my supervisors when I was pursuing my Ph.D. at Yale. As a doctoral candidate, I benefited from a veritable “dream team” of economists, each of whom enriched my life and work tremendously. James Tobin pushed me toward deep and creative insights with empirical relevance. Edmund Phelps sharpened my analytical skills. And Cooper made sure that I applied my ideas to policymaking, so that they would have a real-world impact. For that, I will be forever grateful.

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