Federal Reserve Research

This section lists research papers authored or co-authored by Federal Reserve staff that address topics of relevance to the Federal Reserve's review of its monetary policy strategy, tools, and communication practices. The papers are grouped into categories that correspond to the broad themes of the review. When a paper covers more than one category, the paper is included as a separate entry in each relevant category.

1. Overview Papers
2. Context
a. R-star: Short-Run Estimates
b. R-star: Long-Run Estimates
c. R-star: Long-Run Determinants
d. Effective Lower Bound: Risks and Macroeconomic Implications
3. Policy Strategies
4. Monetary Policy Tools
a. Balance Sheet Policies
b. Forward Guidance
c. Yield Curve Targeting
5. Communication Practices

1. Overview Papers

Chung, Hess, Etienne Gagnon, Taisuke Nakata, Matthias Paustian, Bernd Schlusche, James Trevino, Diego Vilán, and Wei Zheng (2019)."Monetary Policy Options at the Effective Lower Bound: Assessing the Federal Reserve's Current Policy Toolkit," Finance and Economics Discussion Series 2019–003.

Fuhrer, Jeffrey, Giovanni Olivei, Eric Rosengren, and Geoffrey Tootell (2018). "Should the Fed Regularly Evaluate Its Monetary Policy Framework?" Brookings Papers on Economic Activity, Fall, conference draft.

Reifschneider, David (2016). "Gauging the Ability of the FOMC to Respond to Future Recessions," Finance and Economics Discussion Series 2016–068. Washington: Board of Governors of the Federal Reserve System.

2. Context

a. R-star: Short-Run Estimates
Andrés, Javier, David López-Salido, and Edward Nelson (2009). "Money and the Natural Rate of Interest: Structural Estimates for the United States and the Euro Area," Journal of Economic Dynamics and Control, vol. 33 (March), pp. 758–776.

Barsky, Robert, Alejandro Justiniano, and Leonardo Melosi (2014). "The Natural Rate of Interest and its Usefulness for Monetary Policy," American Economic Review, vol. 104 (May), pp. 37–43.

Bongard, Michelle, and Benjamin K. Johannsen (2016). "The Neutral Rate and the Summary of Economic Projections," FEDS Note, November 28.

Cúrdia, Vasco, Andrea Ferrero, Ging Cee Ng, and Andrea Tambalotti (2015). "Has U.S. Monetary Policy Tracked the Efficient Interest Rate?," Journal of Monetary Economics, vol. 70, pp. 72–83.

Del Negro, Marco, Domenico Giannone, Marc P. Giannoni, and Andrea Tambalotti (2017). "Safety, Liquidity, and the Natural Rate of Interest," Brookings Papers on Economic Activity, Spring, pp. 235–316.

Edge, Rochelle M., Michael T. Kiley, and Jean-Philippe Laforte (2008). "Natural Rate Measures in an Estimated DSGE Model of the US Economy," Journal of Economic Dynamics and control, vol. 32 (August), pp. 2512–2535.

b. R-star: Long-Run Estimates
Christensen, Jens H. E., and Glenn D. Rudebusch (2017). "A New Normal for Interest Rates? Evidence from Inflation-Indexed Debt," FRBSF Working Paper 2017–07. San Francisco: Federal Reserve Bank of San Francisco, May.

Holston, Kathryn, Thomas Laubach, and John C. Williams (2017). "Measuring the Natural Rate of Interest: International Trends and Determinants," Journal of International Economics, vol. 108 (May), pp. S59–75.

Johannsen, Benjamin K., and Elmar Mertens (2016). "The Expected Real Interest Rate in the Long Run: Time Series Evidence with the Effective Lower Bound," FEDS Note, Board of Governors of the Federal Reserve System (US).

Johannsen, Benjamin K., and Elmar Mertens (2018). "A Time Series Model of Interest Rates with the Effective Lower Bound," BIS Working Paper.

Kiley, Michael T. (2015). "What Can the Data Tell Us about the Equilibrium Real Interest Rate?" Finance and Economics Discussion Series 2015–077. Washington: Board of Governors of the Federal Reserve System, August.

Laubach, Thomas, and John C. Williams (2003). "Measuring the Natural Rate of Interest," Review of Economics and Statistics, vol. 85 (November), pp. 1063–70.

Laubach, Thomas, and John C. Williams (2016). "Measuring the Natural Rate of Interest Redux," Business Economics, vol. 51 (April), 57–67.

Lewis, Kurt F., and Francisco Vazquez-Grande (2017). "Measuring the Natural Rate of Interest: Alternative Specifications," Finance and Economics Discussion Series 2017–059. Washington: Board of Governors of the Federal Reserve System, June.

Lubik, Thomas A., and Christian Matthes (2015). "Time-Varying Parameter Vector Autoregressions: Specification, Estimation, and an Application," Economic Quarterly, vol. 101 (Fourth Quarter), pp. 323‑52.

Roberts, John M. (2018). "An Estimate of the Long-Term Neutral Rate of Interest," FEDS Note, September 5.

Williams, John C. (2015). "The decline in the natural rate of interest," Business Economics, vol. 50 (April), pp. 57–60.

c. R-star: Long-Run Determinants
Carvalho, Carlos, Andrea Ferrero, and Fernanda Nechio (2016). "Demographics and Real Interest Rates: Inspecting the Mechanism," European Economic Review, vol. 88 (September), pp. 208–226.

Del Negro, Marco, Domenico Giannone, Marc P. Giannoni, and Andrea Tambalotti (2017). "Safety, Liquidity, and the Natural Rate of Interest," Brookings Papers on Economic Activity, Spring, pp. 235–316.

Gagnon, Etienne, Benjamin K. Johannsen, and David López-Salido (2016). "Understanding the New Normal: The Role of Demographics," Finance and Economics Discussion Series 2016–080. Board of Governors of the Federal Reserve System (U.S.).

Lunsford, Kurt G., and Kenneth D. West (forthcoming), "Some Evidence on Secular Drivers of U.S. Safe Real Rates," American Economic Journal: Macroeconomics.

d. Effective Lower Bound: Risks and Macroeconomic Implications
Arias, Jonas E., Christopher Erceg, and Mathias Trabandt (2016). "The Macroeconomic Risks of Undesirably Low Inflation," European Economic Review, vol. 88, pp. 88–107.

Armenter, Roc (2016). "The Perils of Nominal Targets," Working Papers 16–30, Federal Reserve Bank of Philadelphia.

Aruoba, S. Boragan, Pablo Cuba-Borda, and Frank Schorfheide (2016). "Macroeconomic Dynamics Near the ZLB: A Tale of Two Countries (PDF)," International Finance Discussion Papers 1163. Board of Governors of the Federal Reserve System.

Bernanke, Ben, Michael T. Kiley, and John M. Roberts (forthcoming). "Monetary Policy Strategies for a Low-Rate Environment," American Economic Review – Papers and Proceedings.

Bernanke, Ben, Vincent R. Reinhart, and Brian P. Sack (2004). "Monetary Policy Alternatives at the Zero Bound: An Empirical Assessment," Brookings Papers on Economic Activity, no. 2, pp. 1–78.

Bodenstein, Martin, Christopher J. Erceg, and Luca Guerrieri (2017). "The Effects of Foreign Shocks When Interest Rates are at Zero," Canadian Journal of Economics, vol. 50 (August), pp. 660–684.

Bodenstein, Martin, Luca Guerrieri, and Christopher J. Gust (2013). "Oil Shocks and the Zero Bound on Nominal Interest Rates," Journal of International Money and Finance, vol. 32 (February), pp. 941–967.

Bodenstein, Martin, James Hebden, and Ricardo Nunes (2012). "Imperfect Credibility and the Zero Lower Bound," Journal of Monetary Economics, vol. 59 (March), pp. 135–149

Carlstrom, Charles. T., Timothy. S. Fuerst, and Matthias Paustian (2014). "Fiscal Multipliers under an Interest Rate Peg of Deterministic versus Stochastic Duration," Journal of Money, Credit and Banking, vol. 46 (September), pp. 1293–1312.

Chung, Hess, Etienne Gagnon, Taisuke Nakata, Matthias Paustian, Bernd Schlusche, James Trevino, Diego Vilán, and Wei Zheng (2019). "Monetary Policy Options at the Effective Lower Bound: Assessing the Federal Reserve's Current Policy Toolkit," Finance and Economics Discussion Series 2019–003.

Chung, Hess, Jean-Philippe Laforte, David Reifschneider, and John C. Williams (2012). "Have We Underestimated the Likelihood and Severity of Zero Lower Bound Events?" Journal of Money, Credit, and Banking, vol. 44 (February), pp. 47–82.

Datta, Deepa, Benjamin K. Johannsen, Hannah Kwon, and Robert J. Vigfusson (2018). "Oil, Equities, and the Zero Lower Bound," Finance and Economics Discussion Series 2018-058. Board of Governors of the Federal Reserve System (U.S.).

Erceg, Christopher, James Hebden, M. Kiley, David López-Salido, and Robert Tetlow (2018). "Some Implications of Uncertainty and Misperception for Monetary Policy," Finance and Economics Discussion Series 2018–059.

Guerrieri, Luca, and Matteo Iacoviello (2017). "Collateral Constraints and Macroeconomic Asymmetries," Journal of Monetary Economics, vol. 90 (October), pp. 28–49.

Gust, Christopher, Edward Herbst, David López-Salido, and Matthew E. Smith (2017). "The Empirical Implications of the Interest-Rate Lower Bound," American Economic Review, vol. 107 (July), pp. 1971–2006.

Hebden, James, and David López-Salido (2018). "From Taylor's Rule to Bernanke's Temporary Price Level Targeting," Finance and Economics Discussion Series 2018–058.

Hills, Timothy S., Taisuke Nakata, and Sebastian Schmidt (2016). "The Risky Steady State and the Interest Rate Lower Bound," Finance and Economics Discussion Series 2016–009. Board of Governors of the Federal Reserve System (U.S.).

Hills, Timothy, Taisuke Nakata, and Sebastian Schmidt (2016). "The Risk of Returning to the Effective Lower Bound: An Implication for Inflation Dynamics After Lift-Off," FEDS Notes. Board of Governors of the Federal Reserve System, February 12.

Kiley, M., and J. M. Roberts (2017). "Monetary Policy in a Low Interest Rate World," Brookings Papers on Economic Activity, Spring, pp. 317–372.

Nakata, Taisuke (2017). "Model-Based Measures of ELB Risk," FEDS Notes. Board of Governors of the Federal Reserve System, August 23.

Nakata, Taisuke (2017). "Uncertainty at the Zero Lower Bound," American Economic Journal: Macroeconomics, vol. 9 (July), pp. 186–221.

Nakata, Taisuke, and Hiroatsu Tanaka (2016). "Equilibrium Yield Curves and the Interest Rate Lower Bound," Finance and Economics Discussion Series 2016–085. Board of Governors of the Federal Reserve System (U.S.).

Reifschneider, David L., and John C. Williams (2000). "Three Lessons for Monetary Policy in a Low-Inflation Era," Journal of Money, Credit and Banking, vol. 32 (November), pp. 936–66.

Williams, J. C. (2009). "Heeding Daedalus: Optimal Inflation and the Zero Lower Bound," Brookings Papers on Economic Activity, Fall, pp. 1–49.

3. Policy Strategies

Armenter, Roc (2016). "The Perils of Nominal Targets," Working Papers 16–30, Federal Reserve Bank of Philadelphia.

Ajello, Andrea, Thomas Laubach, David López-Salido, and Taisuke Nakata (2019). "Financial Stability and Optimal Interest Rate Policy," International Journal of Central Banking, vol. 15 (March), pp. 279–326.

Bernanke, B., M. T. Kiley, and J. M. Roberts (forthcoming). "Monetary Policy Strategies for a Low-Rate Environment," American Economic Review – Papers and Proceedings.

Bernanke, Ben, Vincent R. Reinhart, and Brian P. Sack (2004). "Monetary Policy Alternatives at the Zero Bound: An Empirical Assessment," Brookings Papers on Economic Activity, no. 2, pp. 1–78.

Board of Governors of the Federal Reserve System (2018). "Challenges Associated with Using Rules to Make Monetary Policy," note on in "Monetary Policy Principles and Practice," Board of Governors of the Federal Reserve System.

Bodenstein, Martin, and Junzhu Zhao (2017). "On Targeting Frameworks and Optimal Monetary Policy (PDF)," Finance and Economics Discussion Series 2017-098. Board of Governors of the Federal Reserve System.

Chung, Hess, Etienne Gagnon, Taisuke Nakata, Matthias Paustian, Bernd Schlusche, James Trevino, David Vilán, and Wei Zheng (2019). "Monetary Policy Options at the Effective Lower Bound: Assessing the Federal Reserve's Current Policy Toolkit," Finance and Economics Discussion Series 2019–003.

Chung, Hess, Taisuke Nakata, and Matthias Paustian (2018). "Optimal Monetary Policy in a DSGE Model with Attenuated Forward Guidance Effects," FEDS Notes. Board of Governors of the Federal Reserve System, October 19.

Cúrdia, Vasco, Andrea Ferrero, Ging Cee Ng, and Andrea Tambalotti (2015). "Has U.S. Monetary Policy Tracked the Efficient Interest Rate?," Journal of Monetary Economics, vol. 70 (March), pp. 72–83.

Engen, Eric M., Thomas Laubach, and David Reifschneider (2015). "The Macroeconomic Effects of the Federal Reserve's Unconventional Monetary Policies," Finance and Economics Discussion Series 2015-005. Board of Governors of the Federal Reserve System (U.S.).

English, William B., David López-Salido, and Robert Tetlow (2015). "The Federal Reserve's Framework for Monetary Policy: Recent Changes and New Questions," IMF Economic Review, vol. 63 (May), pp. 22–70.

Erceg, Christopher, James Hebden, Michael Kiley, David López-Salido, and Robert Tetlow (2018). "Some Implications of Uncertainty and Misperception for Monetary Policy," Finance and Economics Discussion Series 2018–059. Washington: Board of Governors of the Federal Reserve System, August.

Gust, Christopher, Benjamin K. Johannsen, and J. David Lopez-Salido (2017). "Monetary Policy, Incomplete Information, and the Zero Lower Bound," IMF Economic Review, vol. 65 (April), pp. 37–70.

Hebden, James, and David López-Salido (2018). "From Taylor's Rule to Bernanke's Temporary Price Level Targeting," Finance and Economics Discussion Series 2018-051. Washington: Board of Governors of the Federal Reserve System, July.

Kahn, George (2009). "Beyond Inflation Targeting: Should Central Banks Target the Price Level?" Federal Reserve Bank of Kansas City Economic Review, vol. 94 (Third Quarter), pp. 37-67.

Mertens, Thomas M., and John C. Williams ( 2019). "Monetary Policy Frameworks and the Effective Lower Bound on Interest Rates (PDF)," Staff Reports 877, Federal Reserve Bank of New York.

Nakata, Taisuke (2015). "Credibility of Optimal Forward Guidance at the Interest Rate Lower Bound," FEDS Notes. Board of Governors of the Federal Reserve System, August 27.

Nakata, Taisuke (2016). "Optimal Fiscal and Monetary Policy with Occasionally Binding Zero Bound Constraints," Journal of Economic Dynamics and Control, vol. 73, pp. 220–240.

Nakata, Taisuke (2018). "Reputation and Liquidity Traps," Review of Economic Dynamics, vol. 28 (April), pp. 252–268.

Nakata, Taisuke, and Sebastian Schmidt (2016). "The Risk-Adjusted Monetary Policy Rule," Finance and Economics Discussion Series 2016–061. Board of Governors of the Federal Reserve System (U.S.).

Nakata, Taisuke, and Sebastian Schmidt (forthcoming). "Conservatism and Liquidity Traps," Journal of Monetary Economics.

Nakata, Taisuke, and Sebastian Schmidt (2019). "Gradualism and Liquidity Traps," Review of Economic Dynamics, vol. 31 (January), pp. 182–199.

Nakata, Taisuke, Sebastian Schmidt, and Paul Yoo (2018). "Speed Limit Policy and Liquidity Traps," Finance and Economics Discussion Series 2018–050. Board of Governors of the Federal Reserve System (U.S.).

Reifschneider, David (2016). "Gauging the Ability of the FOMC to Respond to Future Recessions," Finance and Economics Discussion Series 2016-068. Washington: Board of Governors of the Federal Reserve System.

4. Monetary Policy Tools

a. Balance Sheet Policies
Bernanke, Ben, Vincent R. Reinhart, and Brian P. Sack (2004). "Monetary Policy Alternatives at the Zero Bound: An Empirical Assessment," Brookings Papers on Economic Activity, no. 2, pp. 1–78.

Bonis, Brian, Jane Ihrig, and Min Wei (2017). "The Effect of the Federal Reserve's Securities Holdings on Longer-term Interest Rates," FEDS Notes. Washington: Board of Governors of the Federal Reserve System, April 20.

Bonis, Brian, Jane Ihrig, and Min Wei (2017). "Projected Evolution of the SOMA Portfolio and the 10-year Treasury Term Premium Effect," FEDS Notes. Washington: Board of Governors of the Federal Reserve System, September 22.

Bonis, Brian, John Kandrac, and Luke Pardue (2017). "Principal Payments on the Federal Reserve's Securities Holdings," FEDS Notes. Washington: Board of Governors of the Federal Reserve System, June 16.

Cavallo, Michele, Marco Del Negro, W. Scott Frame, Jamie Grasing, Benjamin A. Malin, and Carlo Rosa (2018). "Fiscal Implications of the Federal Reserve's Balance Sheet Normalization," Finance and Economics Discussion Series 2018-002. Washington: Board of Governors of the Federal Reserve System.

Chen, Han, Vasco Cúrdia, and Andrea Ferrero (2012). "The Macroeconomic Effects of Large‐Scale Asset Purchase Programmes," Economic Journal, vol. 122 (November), pp. F289–315.

Christensen, Jens H., and Glenn D. Rudebusch (2012). "The Response of Interest Rates to US and UK Quantitative Easing," Economic Journal, vol. 122 (November), pp. F385–F414.

Chung, Hess, Cynthia Doniger, Cristina Fuentes-Albero, Bernd Schlusche, and Wei Zheng (2018). "Simulating the Macroeconomic Effects of Unconventional Monetary Policy," FEDS Notes. Washington: Board of Governors of the Federal Reserve System, July 20.

Chung, Hess, Etienne Gagnon, Taisuke Nakata, Matthias Paustian, Bernd Schlusche, James Trevino, David Vilán, and Wei Zheng (2019). "Monetary Policy Options at the Effective Lower Bound: Assessing the Federal Reserve's Current Policy Toolkit," Finance and Economics Discussion Series 2019–003.

D'Amico, Stefania, William English, David López‐Salido, and Edward Nelson (2012). "The Federal Reserve's Large‐Scale Asset Purchase Programmes: Rationale and Effects," Economic Journal, vol. 122 (November), pp. F415–46.

D'Amico, Stefania, and Thomas B. King (2013). "Flow and Stock Effects of Large‐Scale Treasury Purchases: Evidence on the Importance of Local Supply," Journal of Financial Economics, vol. 108 (May), pp. 425–48.

Engen, Eric, and R. Glenn Hubbard (2005). "Federal Government Debt and Interest Rates," NBER Macroeconomics Annual 2004, vol. 19, pp. 83–138.

Engen, Eric M., Thomas Laubach, and David Reifschneider (2015). "The Macroeconomic Effects of the Federal Reserve's Unconventional Monetary Policies," Finance and Economics Discussion Series 2015-005. Board of Governors of the Federal Reserve System (U.S.).

Gagnon, Joseph, Matthew Raskin, Julie Remache, and Brian P. Sack (2011). "Large-Scale Asset Purchases by the Federal Reserve: Did They Work? " FRBNY Economic Policy Review, vol. 17 (May), pp. 41-59.

Huther, Jeffrey, Jane Ihrig, and Elizabeth Klee (2017). "The Federal Reserve's Portfolio and its Effect on Interest Rates," Finance and Economics Discussion Series 2017-075. Board of Governors of the Federal Reserve System (U.S.).

Ihrig, Jane, Elizabeth Klee, Canlin Li, Min Wei, and Joe Kachovec (2018). "Expectations about the Federal Reserve's Balance Sheet and the Term Structure of Interest Rates," International Journal of Central Banking, vol. 14 (March), pp. 341–390.

Kiley, Michael T. (2018). "Quantitative Easing and the 'New Normal' in Monetary Policy," Finance and Economics Discussion Series 2018–004. Washington: Board of Governors of the Federal Reserve System (U.S.).

Laubach, Thomas (2009). "New Evidence on the Interest Rate Effects of Budget Deficits and Debt," Journal of the European Economic Association, vol. 7 (June), pages 858–885.

Occhino, Filippo (2017), "The 2012 Eurozone Crisis and the ECB's OMT Program: A Debt–Overhang Banking and Sovereign Crisis Interpretation," European Economic Review, vol. 100 (November), pp. 337-363.

Reifschneider, David (2016). "Gauging the Ability of the FOMC to Respond to Future Recessions," Finance and Economics Discussion Series 2016-068. Washington: Board of Governors of the Federal Reserve System.

b. Forward Guidance
Bernanke, Ben, Vincent R. Reinhart, and Brian P. Sack (2004). "Monetary Policy Alternatives at the Zero Bound: An Empirical Assessment (PDF)," Brookings Papers on Economic Activity, no. 2, pp. 1–78.

Bodenstein, Martin, James Hebden, and Ricardo Nunes (2012). "Imperfect Credibility and the Zero Lower Bound," Journal of Monetary Economics, vol. 59 (March), pp. 135–149.

Bundick, Brent, and A. Lee Smith (2018). "The Dynamic Effects of Forward Guidance Shocks," Federal Reserve Bank of Kansas City Research Working Paper 16-02.

Bundick, Brent, Herriford, Trenton, and A. Lee Smith (2017). "Forward Guidance, Monetary Policy Uncertainty, and the Term Premium," Federal Reserve Bank of Kansas City Research Working Paper 17-07.

Campbell, Jeffrey R., Charles L. Evans, Jonas D.M. Fisher, and Alejandro Justiniano (2012). "Macroeconomic Effects of Federal Reserve Forward Guidance," Brookings Papers on Economic Activity, vol. 43 (Spring), pp. 1–80.

Campbell, Jeffrey R., Jonas D. M. Fisher, Alejandro Justiniano, and Leonardo Melosi (2017). "Forward Guidance and Macroeconomic Outcomes since the Financial Crisis," in Martin Eichenbaum and Jonathan A. Parker, eds., NBER Macroeconomics Annual 2016, vol. 31. Chicago: University of Chicago Press, pp. 283–357.

Carlstrom, Charles T., Timothy S. Fuerst, and Matthias Paustian (2015). "Inflation and Output in New Keynesian Models with a Transient Interest Rate Peg," Journal of Monetary Economics, vol. 76 (November), pp. 230–243.

Chung, Hess, Etienne Gagnon, Taisuke Nakata, Matthias Paustian, Bernd Schlusche, James Trevino, David Vilán, and Wei Zheng (2019). "Monetary Policy Options at the Effective Lower Bound: Assessing the Federal Reserve's Current Policy Toolkit," Finance and Economics Discussion Series 2019–003.

Chung, Hess, Taisuke Nakata, and Matthias Paustian (2018). "Optimal Monetary Policy in a DSGE Model with Attenuated Forward Guidance Effects," FEDS Notes. Board of Governors of the Federal Reserve System, October 19.

Del Negro, Marco, Marc Giannoni, and Christina Patterson (2012). "The Forward Guidance Puzzle," Staff Reports 574, Federal Reserve Bank of New York.

Engen, Eric M., Thomas Laubach, and David Reifschneider (2015). "The Macroeconomic Effects of the Federal Reserve's Unconventional Monetary Policies," Finance and Economics Discussion Series 2015-005. Board of Governors of the Federal Reserve System (U.S.).

Gust, Christopher, Edward Herbst, and David López-Salido (2018). "Forward Guidance with Bayesian Learning and Estimation," Finance and Economics Discussion Series 2018-072. Board of Governors of the Federal Reserve System (U.S.).

Lunsford, Kurt G. (2018), "Understanding the Aspects of Federal Reserve Forward Guidance," Working Paper no. 18-15. Federal Reserve Bank of Cleveland.

Nakata, Taisuke (2015). "Credibility of Optimal Forward Guidance at the Interest Rate Lower Bound," FEDS Notes. Washington: Board of Governors of the Federal Reserve System, August 27.

Nakata, Taisuke (2018). "Reputation and Liquidity Traps," Review of Economic Dynamics, vol. 28 (April), pp. 252–268.

Nakata, Taisuke, Ryota Ogaki, Sebastian Schmidt, and Paul Yoo (2018). "Attenuating the Forward Guidance Puzzle: Implications for Optimal Monetary Policy," Finance and Economics Discussion Series 2018–049. Board of Governors of the Federal Reserve System (U.S.).

Nakata, Taisuke, and Sebastian Schmidt (2019). "Gradualism and Liquidity Traps," Review of Economic Dynamics, vol. 31 (January), pp. 182–199.

c. Yield Curve Targeting

Andrés, Javier, J. David López-Salido and Edward Nelson (2004). "Tobin's Imperfect Asset Substitution in Optimizing General Equilibrium," Journal of Money, Credit and Banking, vol. 36 (August), pp. 665–690.

Carlstrom, Charles T., Timothy S. Fuerst, and Matthias Paustian (2017). "Targeting Long Rates in a Model with Segmented Markets," American Economic Journal: Macroeconomics, vol. 9 (January), pp. 205–242.

5. Communication Practices

Bundick, Brent, and A. Lee Smith (2018). "Does Communicating a Numerical Target Anchor Inflation Expectations? Evidence & Bond Market Implications," Federal Reserve Bank of Kansas City Research Working Paper 18-01.

Bundick, Brent, and Trenton Herriford (2017). "How Do FOMC projections Affect Policy Uncertainty?" Federal Reserve Bank of Kansas City Economic Review, vol. 102 (Second Quarter), pp. 5-22.

Kahn, George, and Andrew Palmer (2016). "Monetary Policy at the Zero Lower Bound: Revelations from the FOMC's Summary of Economic Projections." Federal Reserve Bank of Kansas City Economic Review, vol. 105 (First Quarter), pp. 5-37.

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Last Update: April 12, 2019