Redefining Monetary Policy Limits: Towards an Expansion of its Role in Economic Development

Mariano Beltrani () and Juan Cuattromo ()
Additional contact information
Mariano Beltrani: University of Buenos Aires
Juan Cuattromo: University of Buenos Aires

Ensayos Económicos, 2012, vol. 1, issue 67, 121-168

Abstract: The current paradigm concedes a passive role to monetary policy on economic development. In fact, the almost exclusive objectives of moderating economic cyclical fluctuations and achieving price stability (in the short-, medium- and longterm) are considered the (only) means by which the central bank can facilitate the expansion of productive capacity. Contrary to this view, as a result of a critical and comprehensive review of the literature, the present work concludes that monetary policy can play an active role in real economy expansion, extending its powers to guide a financial intermediation process directed to economic, productive and social development.

Keywords: central banks; crisis; economic development; financial system; macroprudential policy; monetary policy; social development (search for similar items in EconPapers)
JEL-codes: E44 E50 G20 O23 (search for similar items in EconPapers)
Date: 2012
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.bcra.gov.ar/pdfs/investigaciones/67_Beltrani.pdf Spanish version (versión en Español) (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bcr:ensayo:v:1:y:2012:i:67:p:121-168

Access Statistics for this article

Ensayos Económicos is currently edited by Germán Feldman

More articles in Ensayos Económicos from Central Bank of Argentina, Economic Research Department Contact information at EDIRC.
Bibliographic data for series maintained by Federico Grillo ().