D62 - Externalities

• Monetary Policy Tradeoffs Between Financial Stability and Price Stability

  Staff Working Paper 2016-49 Malik Shukayev, Alexander Ueberfeldt

  We analyze the impact of interest rate policy on financial stability in an environment where banks can experience runs on their short-term liabilities, forcing them to sell assets at fire-sale prices.

  Content Type(s): Staff Research, Staff Working Papers Topic(s): Financial stability, Monetary policy framework, Transmission of monetary policy JEL Code(s): D, D6, D62, E, E3, E32, E4, E44, G, G0, G01