The safe asset, banking equilibrium, and optimal central bank monetary, prudential and balance-sheet policies

• 成果类型: Article
• 署名作者: Magill, Michael; Quinzii, Martine; Rochet, Jean-Charles
• 署名单位: University of Southern California; University of California System; University of California Davis; University of Geneva; Universite de Toulouse; Universite Toulouse 1 Capitole; Toulouse School of Economics
• 刊物名称: JOURNAL OF MONETARY ECONOMICS
• ISSN/ISSBN: 0304-3932
• DOI: 10.1016/j.jmoneco.2019.02.002
• 发表日期: 2020
• 页码: 113-128
• 关键词: Banking equilibrium; Capital requirements; Prudential policy; monetary policy; Balance sheet policy; quantitative easing; Interest on reserves

摘要

A simple equilibrium model is presented which permits the joint study of optimal Central Bank prudential, monetary and balance sheet policies in the pre and post 2008 Crisis periods. It explains the new policies-the purchase of risky securities (QE), payment of interest on reserves (IR) and use of reverse repo (RRP)-as the response to the lack of safe assets in the economy, and shows why these policies were not needed to achieve optimality before 2008, but were needed for the 2008 Crisis and thereafter. (C) 2019 Elsevier B.V. All rights reserved.