Towards a new framework for monetary policy

A number of central bankers and their economic advisors consider that monetary policy played little or no role in the run-up to the crisis. On this view, the financial upheaval was mainly the result of an external macroeconomic shock, made worse by the imprudent behaviour of some financial institutions. Their argument can be summarised as follows:

• inflation (CPI) has been low and stable in recent years, showing that the fundamental objective of monetary policy (price stability) has been

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: