As you can see, there is a reasonable amount of uncertainty about the exact level of the neutral rate. Graph 4 also shows the (ex post) real cash rate calculated by deducting the trimmed mean inflation rate from the cash rate.7 When the real cash rate is above the neutral rate, the monetary policy stance is contractionary.
When it is below, the stance is expansionary. As you look at the graph, you can see that this lines up with most assessments of the stance of monetary policy over the past 25 years. It suggests that monetary policy was clearly expansionary in the early 2000s, in 2008 and for the past five years or so.