Modifying the Fed’s policy framework: Does a higher inflation target beat negative interest rates? | Brookings
Interestingly, some advocates of a higher inflation target have been dismissive of the use of negative short-term interest rates, an alternative means of increasing “space” for monetary easing. For example, in a recent interview in which he advocated reconsideration of the Fed’s inflation target, Williams said: “Negative rates are still at the bottom of the stack in terms of net effectiveness.” Wi
Should the Fed keep its balance sheet large? | Brookings
The Fed’s balance sheet has roughly quintupled since the financial crisis, from about $900 billion in 2007 to about $4.5 trillion today. (See here for a useful overview of the main elements of the Fed’s pre-crisis and current balance sheets.) The increase mostly reflects the Fed’s large-scale asset purchases (quantitative easing), which the FOMC employed to reduce longer-term interest rates to hel
It's Baaack: Japan's Slump and the Return of the Liquidity Trap
PAUL R. KRUGMAN Massachusetts Institute of Technology It's Baaack: Japan's Slumpand the Returnof the LiquidityTrap THE LIQUIDITYTRAP-that awkward condition in which monetary policy loses its grip because the nominal interest rate is essentially zero, in which the quantity of money becomes irrelevant because money and bonds are essentially perfect substitutes-played a central role in the early yea
Monetary policy and inequality | Brookings
Since the financial crisis the Federal Reserve has aggressively used monetary policy, including unconventional policies like quantitative easing, to promote job growth and keep inflation near the Fed’s 2 percent target. Progress has been made, even if it has been slower than we would have liked. Unemployment, which peaked at 10 percent in 2009, is now 5.4 percent and falling, and inflation appears
The Taylor Rule: A benchmark for monetary policy? | Brookings
Stanford economist John Taylor’s many contributions to monetary economics include his introduction of what has become known as the Taylor rule (as named by others, not by John). The Taylor rule is a simple equation—essentially, a rule of thumb—that is intended to describe the interest rate decisions of the Federal Reserve’s Federal Open Market Committee (FOMC). The Taylor rule is a valuable descri
Why are interest rates so low? | Brookings
Interest rates around the world, both short-term and long-term, are exceptionally low these days. The U.S. government can borrow for ten years at a rate of about 1.9 percent, and for thirty years at about 2.5 percent. Rates in other industrial countries are even lower: For example, the yield on ten-year government bonds is now around 0.2 percent in Germany, 0.3 percent in Japan, and 1.6 percent in
1
リリース、障害情報などのサービスのお知らせ
最新の人気エントリーの配信
j次のブックマーク
k前のブックマーク
lあとで読む
eコメント一覧を開く
oページを開く
Shrinking the Fed’s balance sheet | Brookings
What tools does the Fed have left? Part 2: Targeting longer-term interest rates | Brookings
What tools does the Fed have left? Part 1: Negative interest rates | Brookings
“Audit the Fed” is not about auditing the Fed | Brookings
Monetary Policy at the Zero Lower bound: Putting Theory into Practice | Brookings