Lesson 1 is that, “...in a crisis, central banks need to show flexibility”, as Charlie Bean describes the expansion of the Bank of England’s balance sheet in pursuit of both its financial and price stability objectives. Furthermore, the crisis has also prompted permanent changes in monetary frameworks such as the expansion by the Bank of England in the range of collateral it will accept in some operations.
Other news
Give your feedback
Thanks! Would you like to give more detail? Press Spacebar or Enter to select