00000nam 2200000za 4500 9.828455 CaOODSP 20221123094558 cr ||||||||||| 161201s2016 oncd ob f000 0 eng d CaOODSP eng eng fre n-cn--- FB3-5/2016-49E-PDF Shukayev, Malik. Monetary policy tradeoffs between financial stability and price stability [electronic resource] / by Malik Shukayev and Alexander Ueberfeldt. [Ottawa] : Bank of Canada, c2016. ii, 44 p. : graphs. Staff Working Paper, 1701-9397 ; 2016-49 "November 2016." Includes bibliographical references. "We analyze the impact of interest rate policy on financial stability in an environment where banks can experience runs on their short-term liabilities, forcing them to sell assets at fire-sale prices. Price adjustment frictions and a state-dependent risk of financial crisis create the possibility of a policy tradeoff between price stability and financial stability. Focusing on Taylor rules with monetary policy possibly reacting to banks’ short-term liabilities, we find that the optimized policy uses the extra tool to support investment at the expense of higher inflation and output volatility"--Abstract. Abstract in French. gccst Interest rates gccst Banks gccst Monetary policy gccst Financial analysis Ueberfeldt, Alexander. Bank of Canada. Staff working paper (Bank of Canada) 1701-9397 ; 2016-49 (CaOODSP)9.806221 PDF 997 KB https://publications.gc.ca/collections/collection_2016/banque-bank-canada/FB3-5-2016-49-eng.pdf