Miles's wishlist for monetary policy improvements is: 1. Make negative interest rates part of the toolkit. 2. Don't be scared of high and low rates that get the job done. 3. Be willing to change course, again and again and again. 4. Don't be scared of big, fast rate moves 5. Care about closing the output gap as well as steadying inflation when the Divine Coincidence fails. 6. Pay much more attention to the prices of durables and investment goods. 7. Cut rates when the risk premium rises, to move partway toward stabilizing risky rates. 8. Make banks hold a lot of capital—that is, borrow less and get more money from stockholders—so financial stability doesn't crimp monetary policy. 9. Make inflation zero and stabilize the absolute price level.
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