How might higher borrowing costs lead to slower job creation or even job losses?

Jun 5, 2011 ... As Congress considers policies to foster economic growth, arguments have been made that the traditional expectations of fiscal policy, ... Frequently asked questions. What is monetary policy? The findings suggest that wealth inequality increases after a contractionary monetary policy shock, with the effects becoming more pronounced over time. The ... Monetary policy affects the amount of money in the economy and the costs of borrowing. Find the latest data on interest rates in the UK, US and Eurozone. Between 2009 and 2015, contractionary monetary policy gave non- state banks a strong incentive to take advantage of the lax regulatory environment of shadow ... At the same time, the unemployment rate is very low. In this case, the Fed might decide to use contractionary monetary policy to bring inflation back to the ... Mar 1, 2014 ... Second, contractionary monetary policy shocks increase capital inflows into the bond market consistent with the prediction of the uncovered ... Contractionary monetary policy systematically increases inequality in labor earnings, total income, consumption and total expenditures. Furthermore, monetary ... Following an unexpected contractionary monetary policy shock, (constrained) expanding sectors respond primarily by lowering prices, while (unconstrained) ... Apr 21, 2023 ... Specifically, we find that total household consumption begins to decline five days after a contractionary monetary policy shock. Consumption ...