Monetary policy

Clinical research has found that a doctor’s reassurance promotes health outcomes and healing. With central banks, it is the same. […]

The RBNZ needs urgent clarification that the Monetary Policy Committee will only pursue monetary goals, even under conditions of quantitative easing. […]

As the Reserve Bank takes on fiscal functions, its political neutrality and commitment to monetary stability, as well as maximum sustainable employment, need to be re-emphasised. […]

Unless you have a mortgage or you are the Minister of Finance, it is a world you would not want to inhabit. But for millions of Europeans, that may soon be reality. We can only hope that even after the RBNZ’s next cut, New Zealanders will not contemplate going into the topsy-turvy world the Germans are about to enter. […]

Given the past and current closeness of Treasury and the Reserve Bank, should not a monitoring agent be more removed from the object it is supervising? […]

Adrian Orr has his work cut out. He will migrate the Reserve Bank towards a changed operating model while having to maintain its credibility for keeping prices relatively stable. […]

With its new Policy Targets Agreement, the Reserve Bank has arrived in Wonderland. It looks as if it has a new employment target. But it is (thankfully) subject to interpretation. […]

The best way for a central bank to achieve both low inflation and low unemployment is to make it pursue price stability alone. […]