When monetary policymakers hit the effective lower bound with their policy rate, they have the option to
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When monetary policymakers hit the effective lower bound with their policy rate, they have the option to turn to unconventional tools of monetary policy. How do these unconventional tools work, and why might policy makers be reluctant to use them except in very difficult circumstances?
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Forward guidance quantitative easing and targeted asset purchases are examples of unconventional too...View the full answer
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Related Book For
Money Banking and Financial Markets
ISBN: 978-1259746741
5th edition
Authors: Stephen Cecchetti, Kermit Schoenholtz
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