Substitutability of Monetary Policy Instruments
Posted: 13 Aug 2019 Last revised: 14 Jul 2021
Date Written: July, 2019
Abstract
This note presents an approach to infer the magnitude of changes to the level of the policy target rate--a more commonly used metric of monetary policy actions--that would lead to approximately the same macroeconomic outcomes as induced through changes in the central bank's balance sheet.
Suggested Citation: Suggested Citation
Doniger, Cynthia and Hebden, James and Pettit, Luke and Skaperdas, Arsenios, Substitutability of Monetary Policy Instruments (July, 2019). FEDS Notes No. 2019-07-19, Available at SSRN: https://ssrn.com/abstract=3423510 or http://dx.doi.org/10.17016/2380-7172.2284
Cynthia Doniger (Contact Author)
Board of Governors of the Federal Reserve System ( email )
20th Street and Constitution Avenue NW
Washington, DC 20551
United States
James Hebden
Board of Governors of the Federal Reserve System ( email )
20th Street and Constitution Avenue NW
Washington, DC 20551
United States
Arsenios Skaperdas
Board of Governors of the Federal Reserve System ( email )
20th Street and Constitution Avenue NW
Washington, DC 20551
United States
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