Blogs
WSJ | NY Fed Boosts Reverse Repo Maximum Bid to $7 Billion
The Federal Reserve Bank of New York is boosting the maximum bidding size available to participants in a program now being tested to see if it can provide better control over short-term interest rates.
Economist | No cushion needed, apparently
The Fed should have learned more recent experience. When nominal rates are at zero you do wait until full employment, or almost-full employment, before tightening policy. You do that because you want inflation to overshoot, because that is how you provide additional stimulus at the ZLB, and because that is how you avoid landing at the ZLB in the first place.
WSJ | Bernanke Urges Emerging Markets to Prepare for End of Fed Stimulus
Former U.S. Federal Reserve Chairman Ben Bernanke on Wednesday urged emerging-market countries to do more to protect themselves from the impact of an eventual end to the Fed’s economic stimulus efforts.
