Looking back, one might reasonably argue that during that time the Committee's explicit forward guidance for both the federal funds rate and asset purchases contributed to a situation where the stance of monetary policy remained too accommodative for too long-even as inflation was rising and showing signs of becoming more broad-based than previously thought.
History is rife with examples of when excessive and prolonged search for yield ended badly. 4/8  BIS Central Banker's Speeches  The third channel relates to bank business models. In most economies, the banking system is integral to the provision of credit to households and businesses and therefore the efficient transmission of monetary policy.