Were Hayek’s Monetary Policy Recommendations Inconsistent?

Contrary to the claims that Hayek’s views on monetary policy were inconsistent, we show that Hayek was never an advocate of any particular monetary policy. In particular, we reject the view that early Hayek was a money stream stabilizer, while late Hayek was a price level stabilizer. We argue that Hayek was always aware that each practical monetary policy involves difficult trade-offs and was thus reluctant to impose his own value judgment about what people should strive for.