Clarida Says Yield Curve Control Is in Fed's Tool Kit

The transcript discusses the potential role of yield curve control in monetary policy, highlighting its complementarity with forward guidance and asset purchase programs. While not currently being considered for deployment, it remains a tool in the central bank's toolkit. Historical and international examples, such as the Reserve Bank of Australia and the Fed in the 1940s, are mentioned to illustrate its application.

What is the primary role of yield curve control as discussed by the committee?

• To replace forward guidance

• To complement forward guidance and asset purchase programs

• To be the main tool for monetary policy

• To be used independently without other tools

What was emphasized in the July meeting minutes regarding yield curve control?

• It is the main focus of the committee

• It is not currently being considered for deployment

• It is the only tool in the toolkit

• It is being deployed immediately

Which central bank recently used a version of yield curve control?

• Bank of Japan

• Reserve Bank of Australia

• European Central Bank

• Bank of England

When did the Fed previously use yield curve control?

• In the 2000s

• In the 1960s

• In the 1980s

• In the 1940s

What is the current stance of the committee on deploying yield curve control?

• It is being deployed immediately

• It is not currently planned for deployment

• It is the primary tool being used

• It is being phased out