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Press, Journal Article
42
SPRING 2016
MONETARY POLICY UNMASKED: OUR TAKE ON NEGATIVE INTEREST
RATES
With four European central banks and one Asian central bank using NIRP (or “negative
interest rate policy”), economics textbooks that teach that interest rates can’t go below
zero are out of date. What did our professors get wrong, where is the real floor on inter-
est rates and what does it all mean? (oh, and why did I have to pay $120 for that relic of a
textbook?) We inquire.