Bullard Says Fed Is Willing to Use Balance Sheet in Different Ways

The transcript discusses the challenges of monetary policy when interest rates are near zero, including the use of forward guidance and quantitative easing. It explores potential strategies for using the balance sheet differently, such as buying mortgage-backed securities. The speaker emphasizes the importance of public health measures in economic recovery and considers future economic scenarios, including the possibility of reversing rate cuts if growth improves.

What are the implications of being near the effective lower bound for monetary policy?

Discuss the role of quantitative easing in the current economic context as mentioned in the text.

What strategies might be considered for using the balance sheet differently?

How does the public health response impact the economy according to the text?

What factors contribute to the potential for raising interest rates in the future?