Fiotakis, Schmieding on the Great Helicopter Money Debate

The transcript discusses central banks' strategies for signaling inflation expectations, focusing on Japan's fiscal policy and the yen's strength. It examines the Fed's influence on market volatility and rate hikes, and the need for monetary easing to manage real rates. The Bank of Japan's policy challenges and market expectations are also analyzed, highlighting the importance of central bank resolve in influencing inflation expectations.

What challenges do central banks face in maintaining inflation expectations?

In what ways can the behavior of the Bank of Japan be characterized in terms of its monetary policy decisions?