Monetary policy rules violating Taylor principle lead to undesirable behavior.
The article discusses models without money and their implications for inflation. While these models may not include monetary aggregates, they still have some monetary aspects. The researchers argue that the misspecification in these models is not very significant. They also question the importance of findings related to solution multiplicity, suggesting they may not have real-world significance. On the other hand, monetary policy rules that do not follow the Taylor principle may lead to undesirable outcomes in practice.