theconductofmonetarypolicy∶strategyandtactics(编辑修改稿)

theconductofmonetarypolicy∶strategyandtactics(编辑修改稿)内容摘要：

values, which eventually burst. • Types of assetprice bubbles – Creditdriven bubbles • Subprime financial crisis – Bubbles driven solely by irrational exuberance Copyright 169。 2020 Pearson AddisonWesley. All rights reserved. 1620 Central Bank’s Response to Asset Price Bubbles: Lessons From the Subprime Crisis • Should central banks respond to bubbles? – Strong argument for not responding to bubbles driven by irrational exuberance – Bubbles are easier to identify when asset prices and credit are increasing rapidly at the same time. – Moary policy should not be used to prick bubbles. Copyright 169。 2020 Pearson AddisonWesley. All rights reserved. 1621 Central Bank’s Response to Asset Price Bubbles: Lessons From the Subprime Crisis • Macropudential regulation: regulatory policy to affect what is happening in credit markets in the aggregate. • Central banks and other regulators should not have a laissezfaire attitude and let creditdriven bubbles proceed without any reaction. Copyright 169。 2020 Pearson AddisonWesley. All rights reserved. 1622 Historical Perspective I • Discount policy and the real bills doctrine • Discovery of open market operations • The Great Depression • Reserve requirements as a policy tool – Thomas Amendment to the Agricultural Adjustment Act of 1933 • War finance and the pegging of interest rates Copyright 169。 2020 Pearson AddisonWesley. All rights reserved. 1623 Historical Perspective II • Targeting money market conditions – Procyclical moary policy • Targeting moary aggregates • New Fed operating procedures – Deemphasis of federal funds rate • Deemphasis of moary aggregates – Borrowed reserves target • Federal funds targeting again – Greater transparency Copyright 169。 2020 Pearson AddisonWesley. All rights reserved. 1624 Historical Perspective III • Preemptive strikes against inflation • Preemptive strikes against economic downturns and financial disruptions – LTCM – Enron – Subprime meltdown • International policy coordination Copyright 169。 2020 Pearson AddisonWesley. All rights reserved. 1625 FIGURE 5 The Taylor Rule for the Federal Funds Rate, 1970–2020 Source: Federal Reserve: ’s calculations. Copyright 169。 2020 Pearson AddisonWesley. All rights reserved. Chapter 23 Transmission Mechanisms of Moary Policy: The Evidence Copyright 169。 2020 Pearson AddisonWesley. All rights reserved. 1627 Structural Model • Examines whether one variable affects another by using data to build a model that explains the channels through which the variable affects the other • Transmission mechanism – The change in the money supply affects interest rates – Interest rates affect investment spending – Investment spending is a ponent of aggregate spending (output) Copyright 169。 2020 Pearson AddisonWesley. All rights reserved. 1628 ReducedForm • Examines whether one variable has an effect on another by looking directly at the relationship between the two • Analyzes the effect of changes in money supply on aggregate output (spending) to see if there is a high correlation • Does not describe the specific path Cop。