Adaptive learning models offer route out of liquidity traps, paper argues
Empirical studies vary greatly on effects of asset purchase programmes
An analysis of liquidity traps using an adaptive learning approach shows monetary easing policies may allow an economy to break free of these situations under certain conditions, a paper published this month by the Bank of Finland argues.
In Monetary policies to counter the zero interest rate: an overview of research, Seppo Honkapohja, a board member of the central bank, analyses expectations-driven liquidity traps using a macroeconomic model, which gives agents an adaptive learning approach
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe
You are currently unable to print this content. Please contact info@centralbanking.com to find out more.
You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@centralbanking.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@centralbanking.com