Monetary Policy Measures in a Persistent Low Inflation World

February 5, 2015, 3:00 AM EST
Frankfurt am Main, Germany
Peter Praet (Solvay Business School at Université Libre de Bruxelles; former Chief Economist, European Central Bank), Eric Rosengren (Federal Reserve Bank of Boston), Lucio Vinhas de Souza (Moody's Investor Service) and Adam S. Posen (PIIE)

The Peterson Institute for International Economics (PIIE) and Moody's Investor Service held their eighth joint high-level event on sovereign risk and macroeconomics, titled "Monetary Policy Measures in a Persistent Low Inflation World," on February 5, 2015, in Frankfurt am Main, Germany. Peter Praet, chief economist and member of the Governing Council of the European Central Bank (ECB), and Eric Rosengren, president of Federal Reserve Bank of Boston provided keynote presentations. The event was organized and hosted by Lúcio Vinhas de Souza, managing director and sovereign chief economist, Moody's Investors Service, and Adam S. Posen, president, PIIE.

Participants gave their perspectives on:

  • the measures central banks need to operate in the current environment,
  • the impact of domestic monetary policies on exchange rates and trade, and
  • the risks to financial stability from diverging monetary policies.

Event Materials

Agenda

Opening Remarks
Lúcio Vinhas de Souza, Managing Director, Sovereign Risk Group, Moody's Investors Service

Panel 1
Monetary Policy Decisions and Global Imbalances

Moderator
Lúcio Vinhas de Souza, Managing Director, Moody's Investors Service

Panelists
Adam Posen, President, Peterson Institute
Patrick Honohan, Governor, Central Bank of Ireland
Steven Kamin, Director of International Finance, Federal Reserve

Keynote
Lessons from the US Experience with Quantitative Easing
Eric Rosengren, President, Federal Reserve Bank of Boston

Luncheon Keynote
New Monetary Policy Measures for the Euro Area's Pursuit of Price Stability
Peter Praet, Chief Economist and Member, Governing Council, ECB

Panel 2
All that Remains—New Monetary Instruments Post-crisis

Moderator
Adam Posen, President, Peterson Institute

Panelists
Paul Tucker, former MPC Member, Bank of England paper [pdf]
Ángel Ubide, Senior Fellow, Peterson Institute
Natacha Valla, Deputy Director, CEPII

Panel 3
Financial Stability When Rates Are Rising

Moderator
Dietmar Hornung, Associate Managing Director, Moody's Investors Service

Panelists
Hans-Helmut Kotz, SAFE/CFS, Goethe University Frankfurt
Krishna Guha, Vice-Chairman, Evercore ISI
Alastair Wilson, Managing Director, Moody's Investors Service

Closing Remarks
Adam Posen, President, Peterson Institute for International Economics