Monetary Policy and Asset Prices
نویسندگان
چکیده
The rst part of this paper surveys the literature on asset prices and monetary policy. The original contributions begin in section 3. Here we consider how two types of shocks associated with asset prices a ect the economy, and the appropriate policy response. The rst set of shocks are ones whose primary impact lies in the future. These shocks a ect the economy by raising asset prices today. The second set are shocks to net worth which directly impact the ability of rms to borrow and consumers to lend.
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