As many nations are struggling with a situation similar to what is defined as a “liquidity trap” with low or nonexistent inflation and central banks implementing quantitative easing, very low or even negative interests rates. Is the toolbox of monetary policy empty? What happens if the world slips into another recession?
This panel discussion at the Peterson Institute for International Economics hosts the Washington launch of the 18th Geneva Report “What Else Can Central Banks Do?” on September 14, 2016.
PIIE Senior Fellow Joseph E. Gagnon and former PIIE Visiting Fellow Signe Krogstrup present the report, which they coauthored with Laurence Ball of Johns Hopkins University and Patrick Honohan of Trinity College and PIIE. Jason Cummins of Brevan Howard and Carmen Reinhart of the Harvard Kennedy School comment on the report’s recommendations.