Abstract

http://ssrn.com/abstract=2007718
 
 

References (6)



 
 

Footnotes (32)



 


 



The Effectiveness of Non‐Traditional Monetary Policy Measures: The Case of the Bank of Japan


Kazuo Ueda


University of Tokyo - Faculty of Economics

March 2012

Japanese Economic Review, Vol. 63, Issue 1, pp. 1-22, 2012

Abstract:     
This paper summarizes non‐traditional monetary policy measures adopted by the Bank of Japan (BOJ) during the last 2 decades and by other G7 central banks since the start of the current global financial turmoil and analyses the effectiveness of such measures. The paper begins with a typology of policies usable near the zero lower bound on interest rates. They are: (i) forward guidance of future policy rates; (ii) targeted asset purchases; and (iii) quantitative easing. Using this typology, I review the measures adopted by the BOJ and other central banks. I then offer a news analysis of the effects of the measures adopted by the BOJ on asset prices, comparing them with those adopted by the Fed. Many of the measures, with the exception of strategy (iii), are shown to have moved asset prices in the expected directions. Another exception is that most of the monetary easing measures failed to weaken the yen. Despite some effects on asset prices, however, the measures have failed to stop the deflationary trend of the Japanese economy clearly. I discuss some possible reasons for this and more general implications for monetary policy.

Number of Pages in PDF File: 22

JEL Classification: E43, E52, E58, G12

Accepted Paper Series


Date posted: February 20, 2012  

Suggested Citation

Ueda, Kazuo, The Effectiveness of Non‐Traditional Monetary Policy Measures: The Case of the Bank of Japan (March 2012). Japanese Economic Review, Vol. 63, Issue 1, pp. 1-22, 2012. Available at SSRN: http://ssrn.com/abstract=2007718 or http://dx.doi.org/10.1111/j.1468-5876.2011.00547.x

Contact Information

Kazuo Ueda (Contact Author)
University of Tokyo - Faculty of Economics ( email )
7-3-1 Hongo, Bunkyo-ku
Tokyo 113-0033
Japan
Feedback to SSRN


Paper statistics
Abstract Views: 341
Downloads: 3
References:  6
Footnotes:  32

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo8 in 0.265 seconds