Question: Current monetary policy Problem 10 in Chapter 4 asked you to consider the current stance of monetary policy. Here, you are asked to do so
Current monetary policy Problem 10 in Chapter 4 asked you to consider the current stance of monetary policy. Here, you are asked to do so again, but with the additional understanding of monetary policy you have gained in this and previous chapters.
a. Go to the ECB Web site (https://www.ecb.europa.eu) and access the press conference documents (under research and publications tab), preferably of the recent banking seminar. i. What are the main concerns of the European Central Bank? ii. Is there any evidence that an economic policy inspires the monetary policy decisions? Do you think the Taylor rule applies to the decisions? iii. Does the language raise any issues related to macroprudential regulation of financial institutions?
b. Go to the Web site of the People’s Bank of China and find out its monetary policy objective.
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