Fed’s Plosser calls for rules for crisis-fighting measures


The Federal Reserve risks losing its credibility and exacerbating moral hazard unless it adopts a rules-based approach to its exceptional monetary policy measures, Charles Plosser, the president of the Philadelphia Federal Reserve Bank, said on Friday.

"Central bank independence is no guarantee that time-inconsistency problems that are inherent in monetary policymaking will be mitigated without explicit rules and constraints," Plosser said in Zurich. "Having the ability to make credible commitme

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: