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Understanding helicopter money

Manthos Delis ()

MPRA Paper from University Library of Munich, Germany

Abstract: What are the policy tools in times of economic crises? What are the tools that governments and central banks have against the coronavirus crisis? This article briefly explains how several types of monetary policy can currently work, placing an emphasis on a form of helicopter money directed to affected firms. The proposition is that this type of monetary policy should be avoided in general, but it might yield beneficial results in the current European economy.

Keywords: Monetary policy; Helicopter money; Unconventional tools; Government debt (search for similar items in EconPapers)
JEL-codes: E5 E50 G0 G01 (search for similar items in EconPapers)
Date: 2020-04-07
New Economics Papers: this item is included in nep-cba, nep-mac and nep-mon
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:99548

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