Changes in this role could have an impact on the monetary policy strategy of the ECB, notably the interpretation of monetary aggregates and the behaviour of other indicators such as the exchange rate.
"The government's continued fiscal credibility has allowed the UK authorities to pursue a strategy of monetary activism with schemes such as Funding for Lending that have supported a dramatic improvement in financial conditions".
To accomplish these objectives, China embarked on a strategy of monetary easing, with an interest rate cut on June 10.
Recent remarks from Fed officials have noted that rising inflation is a concern, and it bears watching whether Bernanke will offer any indication that the uptick in PPI could force the central bank to slow its recent strategy of easing monetary policy by cutting short-term interest rates.
"The Case for Forecast Targeting as a Monetary Policy Strategy," Journal of Economic Perspectives, vol. 21 (4), pp. 3-24.
FINANCIAL TIMES Japan Stays the Course on Monetary Policy | "In a unanimous vote, the bank's board stuck to its strategy of expanding the monetary base at an annual pace of 60 trillion yen to 70 trillion yen, or $586 billion to $684 billion, through purchases of government bonds, commercial debt and other assets," The New York Times writes.
This was because of the Reserve Bank's strategy of using a "monetary conditions index" (MCI) to set policy.
Will Alan Greenspan and his colleagues raise interest rates by half a percentage point, abandoning their current strategy of gradually tightening monetary policy in quarter-point increments?
In a unanimous vote, the bank's board stuck to its strategy of expanding the monetary base at an annual pace of 60 trillion yen to 70 trillion yen, or $586 billion to $684 billion, through purchases of government bonds, commercial debt and other assets.
Therefore, this paper presents a set of fundamental principles regarding the joint design of monetary policy strategy and communications.
