Template-Type: ReDIF-Paper 1.0
Author-Name: Claudio Borio
Author-X-Name-First: Claudio 
Author-X-Name-Last: Borio
Title: Back to the future: intellectual challenges for monetary policy
Abstract: The central banking community is facing major challenges – economic, intellectual and institutional. A key economic challenge is the need to rebuild room for policy manoeuvre, which has fallen drastically over time. This lecture focuses on the intellectual challenge, ie facts on the ground are increasingly testing the longstanding analytical paradigms on which central banks can rely to inform their policies. It argues that certain deeply held beliefs underpinning those paradigms can complicate the task of regaining policy headroom.
Length: 26 pages
Creation-Date: 2021-11
File-URL: https://www.bis.org/publ/work981.pdf
File-Format: Application/pdf
File-Function: Full PDF document
File-URL: https://www.bis.org/publ/work981.htm
File-Format: text/html
Number: 981
Keywords: monetary policy, business cycle, financial cycle, inflation, deflation, natural interest rate
Classification-JEL: E43, E51, E52, E58, E31
Handle: RePEc:bis:biswps:981