Conference – 2022 The Causes, Challenges and Consequences of the Low Interest Rate Environment

Sydney,

The Reserve Bank of Australia's 2022 annual conference brought together senior central bankers, financial institutions and advisers, academics and industry to discuss the current, policy-relevant issue of the causes, challenges and consequences of the low interest rate environment. It canvassed the possible responses including objectives, instruments and the framework for monetary policy. Importantly, the conference also considered the interactions between the main economic policy institutions.

The Conference was conducted under the Chatham House rule.

Papers

  • Overview
    Bruce Preston and John Simon
    Download 402KB
Section One: Scene Setting and Causes
  • Fiscal, Monetary and Macroprudential Regimes: Incentives-Values Compatibility in Constitutional Democracies
    Presenter: Paul Tucker, Harvard Kennedy School
    Download 375KB
  • Global Trends in Interest Rates
    (presentation) 1.20MB
    Presenter: Marco Del Negro, Federal Reserve Bank of New York

  • Discussant: Bruce Preston, University of Melbourne
    Download 84KB
  • General discussion
    Download 366KB
Section Two: Challenges
  • The Consequences of Low Interest Rates for the Australian Banking Sector
    (presentation) 1.13MB
    Presenter: Anthony Brassil, Reserve Bank of Australia
    Download 1.19MB
  • Discussant: Adam Richardson, Reserve Bank of New Zealand
    Download 417KB
  • General discussion
    Download 267KB
  • The Economics of Low Interest Rates (presentation)
    Presenter: Atif Mian, Princeton University
    Download 1.02MB
  • Discussant: Gianni La Cava, e61
    Download 2.64MB
  • General discussion
    Download 260KB
  • Monetary and Fiscal Institutional Arrangements: Have We Got Them Backwards? (presentation)
    Presenter: Eric M Leeper, University of Virginia
    Download 202KB
  • Discussant: Chris Edmond, University of Melbourne
    Download 215KB
  • General discussion
    Download 277KB
  • Measuring Global Interest Rate Comovements with Implications for Monetary Policy Interdependence
    (presentation) 1.13MB
    Presenter: Renée Fry-McKibbin, Australian National University
    Download 495KB
  • Discussant: Alexandra Heath, Reserve Bank of Australia
    Download 432KB
  • General discussion
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Section Three: Consequences
  • Gazing at r*: A Hysteresis Perspective
    (presentation) 1.04MB
    Presenter: Paul Beaudry, Bank of Canada
    Download 1.62MB
  • Discussant: Michele Bullock, Reserve Bank of Australia
    Download 799KB
  • General discussion
    Download 279KB
  • Rates Normalization Amid Elevated Global Financial Vulnerabilities
    (presentation) 4.82MB
    Presenter: Fabio M Natalucci, International Monetary Fund
    Download 1.58MB
  • Discussant: Warwick McKibbin, Australian National University
    Download 588KB
  • General discussion
    Download 269KB
Section Four: Panel Discussion
  • Wrap-up Panel Discussion
    Moderator: John Simon, Reserve Bank of Australia
    Panellist: John McDermott, Motu Economic and Public Policy Research
    Panellist: Geoff Summerhayes, Zurich Financial Services Australia
    Panellist: Luke Yeaman, Australian Treasury
    Download 833KB
Contributors and Participants