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MONETARY POLICY: PRICES VERSUS QUANTITIES

Published online by Cambridge University Press:  13 September 2023

Ben Broadbent
Ben Broadbent*
Affiliation:
Deputy Governor for Monetary Policy, Bank of England, London, UK
*
Corresponding author: Ben Broadbent; Email: DGMPOffice@bankofengland.co.uk
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Abstract

Should the transmission of monetary policy be understood in terms of its impacts on interest rates and bond yields, or monetary aggregates? This article considers the relationship between those aggregates and inflation, both over the past and more recently. And explains how the MPC takes account of “QT” in its forecasts.

Keywords

Monetary transmission mechanismMonetary policyMonetary aggregatesQuantitative tighteningE51E52E58
Type
Research Article
Information
National Institute Economic Review , Volume 263 , Spring 2023 , pp. 27 - 46
Copyright
© The Author(s), 2023. Published by Cambridge University Press on behalf of National Institute Economic Review

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Footnotes

Speech was given at the National Institute of Economic and Social Research.

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