Olli Rehn: The euro beyond 20 - monetary policy in the real economy Keynote speech by Mr Olli Rehn, Governor of the Bank of Finland, at the Conference on financial market policy, at the Economic Council (CDU Wirtschaftsrat Deutschland), Berlin, 29 January 2019. * * * Accompanying slides of the speech.
We need to better understand, in particular, the nonlinearities associated with episodes of financial instability, the potential lack of synchronicity between the real business cycle and the typically longer financial cycle, and the extent to which each policy influences the effectiveness of the other. Second, we have to expand our knowledge of the impact of monetary policy on the non-bank financial intermediation sector.