Federal Reserve Bank of Cleveland: Information Effect of Monetary Policy is Optimal, Not Self-Defeating, Find Cleveland Fed Researchers
July 03, 2020
July 03, 2020
CLEVELAND, Ohio, July 3 -- The Federal Reserve Bank of Cleveland issued the following news release:
As the Federal Reserve has become more transparent about its decisions, the general public has begun to regard the federal funds rate as not only a benchmark interest rate, but also as a signal about the state of the economy.
In this Economic Commentary, Cleveland Fed researchers Wesley Janson and Chengcheng Jia investigate what the information effect of monetary policy . . .
As the Federal Reserve has become more transparent about its decisions, the general public has begun to regard the federal funds rate as not only a benchmark interest rate, but also as a signal about the state of the economy.
In this Economic Commentary, Cleveland Fed researchers Wesley Janson and Chengcheng Jia investigate what the information effect of monetary policy . . .