Abstract
Several aspects of the difficulties of policy at the zero lower bound are discussed: The difficulty of credible commitment to higher future inflation, as most New Keynesian models imply is necessary; the need for fiscal and monetary policy coordination; and the pitfalls in the taking of quasi-fiscal actions by the central bank.
Original language | English (US) |
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Pages (from-to) | 205-213 |
Number of pages | 9 |
Journal | International Journal of Central Banking |
Volume | 6 |
Issue number | 1 |
State | Published - Mar 2010 |
All Science Journal Classification (ASJC) codes
- Finance
- Economics and Econometrics