Policy interest rate: Difference between revisions
imported>Doug Williamson (Create page. Sources: linked pages, Focus Economics webpage https://www.focus-economics.com/economic-indicator/policy-interest-rate) |
imported>Doug Williamson (Add examples. Sources: linked pages.) |
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''Source: Focus Economics webpage. June 2020'' | ''Source: Focus Economics webpage. June 2020'' | ||
Examples include the US Fed funds rate, the European Central Bank's interest rate on its main refinancing operations, and the UK's Official Bank Rate. | |||
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* [[Committee on the Global Financial System]] | * [[Committee on the Global Financial System]] | ||
* [[Effective lower bound]] | * [[Effective lower bound]] | ||
* [[European Central Bank]] | |||
* [[Fed funds]] | |||
* [[Forward guidance]] | * [[Forward guidance]] | ||
* [[Global Financial Crisis]] | * [[Global Financial Crisis]] | ||
* [[Interest rate]] | * [[Interest rate]] | ||
* [[Lending operations]] | * [[Lending operations]] | ||
* [[Main refinancing operations]] | |||
* [[Margin compression]] | * [[Margin compression]] | ||
* [[Negative interest rate policies]] | * [[Negative interest rate policies]] | ||
* [[Non-performing loan]] | * [[Non-performing loan]] | ||
* [[Official Bank Rate]] | |||
* [[Quantitative easing ]] | * [[Quantitative easing ]] | ||
* [[Reserve requirements]] | * [[Reserve requirements]] | ||
Revision as of 21:47, 8 June 2020
Central banks - monetary policy - interest rates.
"The policy interest rate is an interest rate that... the central bank sets in order to influence the evolution of the main monetary variables in the economy...
The policy interest rate determines the levels of the rest of the interest rates in the economy, since it is the price at which private agents - mostly private [commercial] banks - obtain money from the central bank.
These [commercial] banks will then offer financial products to their clients at an interest rate that is normally based on the policy rate."
Source: Focus Economics webpage. June 2020
Examples include the US Fed funds rate, the European Central Bank's interest rate on its main refinancing operations, and the UK's Official Bank Rate.
See also
- Central bank
- Committee on the Global Financial System
- Effective lower bound
- European Central Bank
- Fed funds
- Forward guidance
- Global Financial Crisis
- Interest rate
- Lending operations
- Main refinancing operations
- Margin compression
- Negative interest rate policies
- Non-performing loan
- Official Bank Rate
- Quantitative easing
- Reserve requirements
- Sterling Monetary Framework
- Supply side policy
- Unconventional monetary policy
- Zero lower bound
- ZLB problem
