"In Central Bank Governance and Oversight Reform, the distinguished contributors tackle this and a range of other key questions surrounding the balance of central bank authority with accountability and constraints. They discuss the conflicting public attitudes towards the Fed. The authors...

"At the center of the financial market crisis of 2007-2008 was a highly unusual jump in spreads between the overnight inter-bank lending rate and term London inter-bank offer rates (Libor). Because many private loans are linked to Libor rates, the sharp increase in these spreads raised the cost...

This paper considers three simple rules-based strategies to improve and maintain financial stability. The first reforms the rules of bankruptcy to handle large financial institutions with a minimum of disruption. The second would focus macro-prudential policy on setting permanent and appropriate...

This paper presents evidence that the recession of 2007-2009 and the weak recovery have both been caused by poor economic policies, including a shift toward more discretionary, more interventionist and less predictable actions. While these policies may have led to temporary growth spurts,...

This paper shows that deviations from more rules-based policies that worked well in the Great Moderation or NICE (Non-Inflationary Consistently Expansionary) period have been a factor in the deterioration of economic performance in recent years. The policy deviations explain why the volatility...

A simple exit rule from the extraordinary measures taken by the Federal Reserve in the past two years is proposed. The rule describes the joint path of the interest rate and the level of reserves. The rule has several attractive properties including a predictable return to traditional monetary...

This paper examines two explanations for the recent spate of complaints about crossborder monetary policy spillovers and calls for international monetary policy coordination, a development that contrasts sharply with the monetary system in the 1980s, 1990s and until recently. The first...