New publication: “De senaste årens penningpolitik – ‘leaning against the wind’ ” (“Monetary policy during the last few years – leaning against the wind,” in Swedish), Ekonomisk Debatt 3/2014, 6-24. Continue reading
Category Archives: Articles
New publication: “Monetary Policy Trade-Offs in an Estimated Open-Economy DSGE Model” (with Malin Adolfson and Stefan Laséen, Sveriges Riksbank, and Jesper Lindé, Federal Reserve Board)
Leaning Against the Leaners
Article in Central Banking 24-2 (November 2013) 27-36.
There is much debate in Sweden and further afield about the use of monetary policy – rather than macro- and micro-prudential tools – to ‘lean against the wind’ as a way of preventing dangerous bubbles building up in economies. This article looks at whether, under a mandate of flexible inflation targeting, household debt should be introduced as an additional target for monetary policy. It also reviews how to conduct policy evaluation, drawing on six years of experience gained as a policymaker at the Sveriges Riksbank.
Debattartikel i Expressen: Tacka räntehökarna för växande skulder
“Istället för att begränsa hushållens skulder har penningpolitiken ökat skuldsättningen – Riksbanken måste nu ta konsekvenserna”, skriver Lars E.O. Svensson
Debattartikel i Expressen, sidan 4, Debatt, torsdag 28 november 2013: Continue reading
“Rör in Svensson” – Editorial in Dagens Nyheter
“Rör inte Svensson“, main editorial (in Swedish), Dagens Nyheter, January 27, 2013
“Ränterebellens sista strid”
“Ränterebellens sista strid” (“The policy-rate rebel’s last fight,” in Swedish), article by Claes Lönegård in Fokus No. 4, January 25, 2013
“Stefan Ingves och Anders Borg delar upp riket mellan sig”
Editorial by Peter Wolodarski in Dagens Nyheter, December 16, 2012, about Riksbank decision to increase its foreign-exchange reserves: “Stefan Ingves och Anders Borg delar upp riket mellan sig” (“Stefan Ingves and Anders Borg split the country among themselves”, in Swedish)
“Ett grovt övertramp av Gernandt”
Reply by Hans Tson Söderström, Dagens Nyheter, October 10, 2012: “Ett grovt övertramp av Gernandt” (“A Gross Violation by Gernandt,” in Swedish)
Editorial: “The Tunnel Vision of the Riksbank”
Editorial in Dagens Nyheter, September 5, 2012, “Riksbankens tunnelseende“, (“The Tunnel Vision of the Riksbank,” in Swedish)
Comment on Michael Woodford, ‘Inflation Targeting and Financial Stability’
“Comment on Michael Woodford, ‘Inflation Targeting and Financial Stability’,” Sveriges Riksbank Economic Review 2012:1, 33-39. PDF
Article: “Challenges for the Riksbank – Monetary Policy and Financial Stability”
New article: “Challenges for the Riksbank – Monetary Policy and Financial Stability” (“Utmaningar för Riksbanken – penningpolitik och finansiell stabilitet,” in Swedish), Ekonomisk Debatt nr 5 2012, årgång 40, 17-29. Swedish
Background Félix Neubergh Lecture 2011, University of Gothenburg, November 17, 2011 Full Neubergh Lecture, Lars E O Svensson
“No Spring Chicken”, by Erik Wahlin
New article by Erik Wahlin in Affärsvärlden, June 7, 2012: “Ingen duvunge direkt” (“No Spring Chicken,” in Swedish)
“What is the Executive Board’s View of the Monetary Policy?”
“What is the Executive Board’s View of the Monetary Policy?” (“Hur ser direktionens på penningpolitiken?”, in Swedish), minutes from the Swedish Economics Association’s (Nationalekonomiska föreningens) meeting at the Stockholm School of Economics, May 11 2012, Ekonomisk Debatt 6/2012, 74-95. Swedish
New article in Dagens Nyheter by Tomas Ernhagen and Göran Zetterberg: “Big Risk of Economic Contraction if the Riksbank Increases the Interest Rate”
New article in Dagens Nyheter by Tomas Ernhagen and Göran Zetterberg: “Big Risk of Economic Contraction if the Riksbank Increases the Interest Rate” (in Swedish), Dagens Nyheter, October 23, 2010.
Handbook chapter: “Inflation Targeting”
Handbook chapter: “Inflation Targeting,” in Friedman, Benjamin M., and Michael Woodford, eds., Handbook of Monetary Economics, Volume 3b, chapter 22, Elsevier, 2011.
Inflation targeting is a monetary-policy strategy characterized by an announced numerical inflation target, an implementation of monetary policy that gives a major role to an inflation forecast that has been called forecast targeting, and a high degree of transparency and accountability. It was introduced in New Zealand in 1990, has been very successful in terms of stabilizing both inflation and the real economy, and as of 2010 has been adopted by about 25 industrialized and emerging-market economies. This chapter discusses the history, macroeconomic effects, theory, practice, and future of inflation targeting.
JEL classification: E52, E58, E42, E43, E47
Keywords: Flexible inflation targeting, forecast targeting, optimal monetary policy, transparency