In order to realize sustainable economic growth and stable prices, the Bank will take measures in an appropriate and timely manner in response to economic and financial developments. Conclusion I have talked mainly about the content of the October Outlook Report as well as expected developments in Japan's economy and the thinking behind the conduct of monetary policy.
Precisely how is this to be done? The textbook way of thinking about monetary policy still runs in terms of quantities. The central bank operates so that some measure of the money stock or liquidity grows in some relation to the desired growth in real output.