E5 - Monetary Policy, Central Banking, and the Supply of Money and Credit

• Price-Level Targeting and Stabilization Policy: A Review

  Staff Discussion Paper 2007-11 Steve Ambler

  The author surveys recent articles on the costs and benefits of price-level targeting versus inflation targeting, focusing on the benefits and costs of price-level targeting as a tool for stabilization policy. He reviews papers that examine how price-level targeting affects the short-run trade-off between output and inflation variability by influencing expectations of future inflation. The […]

  Content Type(s): Staff research, Staff discussion papers Topic(s): Monetary policy framework JEL Code(s): E, E3, E31, E32, E5, E52

• Rediscounting Under Aggregate Risk with Moral Hazard

  Staff Working Paper 2007-51 James Chapman, Antoine Martin

  Freeman (1999) proposes a model in which discount window lending and open market operations have different effects. This is important because in most of the literature, these policies are indistinguishable.

  Content Type(s): Staff research, Staff working papers Topic(s): Central bank research, Financial markets, Payment clearing and settlement systems JEL Code(s): E, E5, E58, G, G2, G20