Monetary Policy
Quantitative easing, monetary policy implementation and the public finances
Now that interest rates are rising, the interaction of quantitative easing (QE) with the Bank of England’s current methods for implementing monetary policy will add to strains on the public finances. These could, and arguably should, have been avoided by prompt, forward-looking action from around 2019 when the materiality of the risk became apparent. As of now, however, there are no easy options. READ FULL PDF
Fiscal, Monetary and Macroprudential Regimes: Incentives-Values Compatibility in Constitutional Democracies
I have been asked to write something about the appropriate institutional structure for monetary, macroprudential and fiscal policies in an environment of persistently low interest rates. That is one important plausible scenario the macroeconomic regime needs to be capable of coping with, but not the only one as we are being reminded by recent inflationary cost shocks and excess demand. There are others too, such as banking crises. READ MORE
Select Committee on Economic Affairs, corrected oral evidence: Quantitative Easing,
Understanding how central banks use their balance sheets: A critical categorisation,
Proposed Measures to Address Economic Elements of Current Pandemic Crisis,
Banking: Intermediation or Money Creation,
Central-banking accountability: A conversation with Sir Paul Tucker,
Liquidity Regulation and the Size of the Fed’s Balance Sheet,
Central Banking for a Post-Crisis World: Some Thoughts on Independence,Democracy and Legitimacy,
The Governance of Monetary and Financial Stability Policy,
European finance in the new international monetary and financial system,
Money, Banking, and Financial Markets,
The ECB’s QE: The rule of law, democratic politics and incomplete contracts,
