What are the arguments for and against rules-based versus discretionary monetary policy?

Expansionary and contractionary policies emphasize however differ and it is safe to say that they are indeed two ends of a spectrum. For instance, expansion ... This heterogeneity primarily stems from the less favorable labor market responses of minority groups to contractionary monetary policy. These findings emphasize ... Nov 2, 2023 ... ... contractionary effects of disinflation. Smart fiscal policy can help restore price stability while lessening the impact of the cost-of ... Between 2009 and 2015, contractionary monetary policy gave non- state banks a strong incentive to take advantage of the lax regulatory environment of shadow ... A contractionary monetary policy will raise interest rates, discourage borrowing for investment and consumption spending, and cause the original demand curve ( ... Jan 16, 2015 ... Working Paper No. 521. By Benjamin Nelson, Gabor Pinter and Konstantinos Theodoridis ... To explain this 'waterbed' effect, we propose a standard ... Mar 4, 2025 ... Contractionary fiscal policies are measures governments take to reduce their spending and increase taxes, leading to a decrease in economic ... Jan 13, 2025 ... Contractionary monetary policy has the opposite effect on GDP, employment, and inflation. The. Fed chooses whether to make 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 ... "The Monetary Policy Debate Since October 1979: Lessons for Theory and Practice." Federal Reserve Bank of St. Louis Review 87, no. 2, part 2 (March/April ...