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TOPICS
1. The first topic is concerned with the POLICY DILEMMA FACING CENTRAL BANKS around the world, should they tighten, loosen or leave alone monetary policy?
What are the main features of the economic environment faced by central banks?
How are the major central banks responding in terms of the policy tools they have available to them?
What have been the outcomes of monetary policy over the last five years?
Evaluation covers the relative merits of monetary policy, notably the successes of monetary policy and its limitations and negative consequences.
To what extent have our existing models and theories of the economy broken down (obvious models and theory to refer to are the monetary transmission model and the Phillips curve relationship)?
What alternatives are there to stimulate the economy?
How is central bank policy complicated by considerations beyond the domestic economy?
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