What are some of the ongoing debates among economists regarding the effectiveness and optimal implementation of contractionary monetary policy?

Jun 17, 2020 ... If the BSP perceives the inflation forecast to exceed the target, then it implements contractionary monetary policy to bring down inflation to ... Jan 23, 2014 ... Central Bank of Solomon Islands maintains tight monetary policy in face of excess liquidity; IMF welcomes stance but tells authorities to ... Contractionary fiscal policy means cutting government spending and raising taxes to reduce aggregate demand. With higher taxes, consumer spending reduces ... May 24, 2017 ... Summary. Using VAR models for the USA, we find that a contractionary monetary policy shock has a persistent negative impact on the level of ... May 21, 2013 ... For example, in the standard New Keynesian model the nominal interest rate can move in either direction after a contractionary monetary policy ... Jun 26, 2024 ... In the United States, growth is expected to slow down and the continued contractionary monetary policy will have a dampening effect on ... In conclusion, contractionary monetary policy causes interest rates to rise because it decreases the money supply, making loans more expensive and leading ... Jun 29, 2023 ... Notes: The chart shows the evolution of stance after two narratively identified contractionary monetary policy shock at time t intended to ... And what is the policy stance of the world as a whole? The tracker highlights significant global trends in monetary policy. For example, central banks around ... Jul 2, 2020 ... A direct benefit of contractionary monetary policy is that it strengthens government budgets. For example, when the Fed's discount rate ...