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Monetary Policy

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Monetary Policy stories:

Bernanke's Confirmation Hearing Scheduled
Nov 20th, 2009 - New York Times
Ben S. Bernanke has finally been scheduled for a confirmation hearing for a second four-year term as Federal Reserve chairman. The Senate Banking Committee will question him on Dec...
BOJ Faces Pressure to Loosen Policy
Nov 20th, 2009 - Wall Street Journal
TOKYO -- Even as some central banks begin to roll back easing steps amid signs of economic recovery, the Bank of Japan faces mounting pressure to loosen its policy as deflation tightens its grip on the nation's economy.
BOJ May Signal Rates to Stay Low on Deflation Threat
Nov 19th, 2009 - Bloomberg
Nov. 20 (Bloomberg) -- The Bank of Japan will probablysignal today that it’s in no hurry to raise interest rates fromnear zero amid mounting government pressure to combat deflation.
Fed's Plosser: Policy shouldn't tackle energy prices
Nov 19th, 2009 - Reuters
NEW YORK (Reuters) - Central banks should not respond to wild swings in food and energy prices with monetary policy unless expectations of inflation become unhinged, a senior U.S...
Long-Term Treasury Prices Fall After Bullard, CPI
Nov 18th, 2009 - Wall Street Journal
NEW YORK (Dow Jones)--Longer-term Treasury prices fell and shorter-term Treasurys eked out modest gains Wednesday following remarks from a Federal Reserve official that suggested interest rates could stay low for several years to come.

Monetary Policy videos from YouTube:

2:59
E5. Introduction to Monetary Policy
This video provides a brief introduction to monetary policy - one of the main elements of economic policy.
2:59
AP Macro - Ch 15 - Expansionary Monetary Policy
A three minute review of the graphs that explain how an increase in the money supply by the Fed affects interest rates, autonomous investment, real GDP and price level.
9:47
Money as Debt: The Flawed Monetary Policy (1 of 5)
Austrian Monetary Theory (Same as Ron Paul's thinking): Why the fed reserve is flawed. Please comment on this thoery
7:55
Ron Paul on Monetary Policy
In his latest C4L update, Congressman Ron Paul discusses recent events that will have a significant impact on monetary policy, talks about the dollar, and answers a question concerning the IMF.

Monetary Policy from WikiPedia:

This article is part of the series:

Monetary policy is the process by which the government, central bank, or monetary authority of a country controls (i) the supply of money, (ii) availability of money, and (iii) cost of money or rate of interest, in order to attain a set of objectives oriented towards the growth and stability of the economy. Monetary theory provides insight into how to craft optimal monetary policy.

Monetary policy is referred to as either being an expansionary policy, or a contractionary policy, where an expansionary policy increases the total supply of money in the economy, and a contractionary policy decreases the total money supply. Expansionary policy is traditionally used to combat unemployment in a recession by lowering interest rates, while contractionary policy involves raising interest rates in order to combat inflation. Monetary policy is contrasted with fiscal policy, which refers to government borrowing, spending and taxation.