Real and Financial Externalities of Non-Traditional Monetary Policy Tools

April 15-16, 2016

Stern School of Business, New York University
New York City

Dear Colleagues and Friends,

It is our pleasure to invite you to attend the 3rd International Conference on Sovereign Bond Markets.

The conference this year focuses on Real and Financial Externalities of Non-Traditional Monetary Policy Tools and is sponsored by the NYU Stern|Salomon Center for the Study of Financial Institutions. Co-sponsors include the University of Michigan|Mitsui Life Financial Research Center, the Research Center SAFE at Goethe University Frankfurt, the Asian Bureau of Finance and Economic Research (Singapore), the CFA Institute (Charlottesville, Virginia) and the Center for Financial Research at Waseda University.

In the wake of the recent financial crisis, monetary authorities around the globe have pursued various non-conventional measures of monetary policy (e.g. large purchases of sovereign bonds and other assets). The most prominent examples include Quantitative Easing (QE) in the United States, United Kingdom and European Union, as well as Quantitative and Qualitative Easing (QQE) in Japan. Yet, both the experience of policymakers with, and the understanding of academics and practitioners of the benefits and costs of these policies remain limited. For instance, Ben Bernanke famously observed that not only “the problem with QE [is that] it works in practice, but it does not work in theory” but also that "one possible cost of conducting additional [QE] is that these operations could impair the functioning of securities markets."

In light of this debate, we solicit theoretical and empirical papers on the impact of entry and exit of non-standard monetary policy tools on:

• Macroeconomic outcomes;
• Firm-level investing and financing;
• Credit and financial intermediation;
• The quality of financial markets,
• Household-level real and financial decisions.

Other related areas may also be considered.

The final program will include both submitted and invited papers. The Conference will also feature a panel discussion on researchers' and practitioners' views on the major outstanding issues in sovereign bond markets and monetary policy making.

The Scientific Committee for the New York City Conference includes:

Robert F. Engle, NYU Stern

Marti G. Subrahmanyam, NYU Stern

Paolo Pasquariello, University of Michigan

Jun Uno, Waseda University

Loriana Pelizzon, SAFE & Goethe University Frankfurt

Toshinao Yoshiba, Bank of Japan

Simone Manganelli, European Central Bank

Michael Fleming, Federal Reserve Bank of New York