A New Era of Central Banking: Unconventional Monetary Policies

When conventional monetary policies come close to their limit, central banks can provide additional easing with unconventional policies. The international experience has been largely positive. Costs associated with these measures could, however, rise with extensive and prolonged use. When used simul...

Full description

Saved in:
Bibliographic Details
Published in:Bank of Canada Review (Online) 2016-04, p.29
Main Authors: Santor, Eric, Suchanek, Lena
Format: Article
Language:English
Subjects:
Central banks
Costs
Federal Reserve monetary policy
Globalization
Monetary policy
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:When conventional monetary policies come close to their limit, central banks can provide additional easing with unconventional policies. The international experience has been largely positive. Costs associated with these measures could, however, rise with extensive and prolonged use. When used simultaneously, unconventional measures can often be mutually reinforcing but can also lower the effectiveness of individual measures in some cases. Another challenge major central banks need to carefully plan for, manage and communicate is how and when to exit from such measures.
ISSN:1483-8303