Negative nominal interest rates: three ways to overcome the zero lower bound

Book, Preprint English OPEN
Willem H. Buiter;
(2009)
  • Publisher: Financial Markets Group, London School of Economics and Political Science
  • Subject: Monetary policy; zero interest rate policy; liquidity trap; quantitative easing | HG Finance | Eisler; Gesell; liquidity trap; Monetary policy; quantitative easing; zero interest rate policy | HF Commerce | HB Economic Theory
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The paper considers three methods for eliminating the zero lower bound on nominal interest rates and thus for restoring symmetry to domain over which the central bank can vary its policy rate. They are: (1) abolishing currency (which would also be a useful crime-fightin... View more
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