3 (Fall 1981): 1–17; C. Sims , “Fiscal Policy, Monetary Policy and Central Bank Independence,” (paper delivered to Economic Policy Symposium, Jackson Hole, Wyoming, August 25–27, 2016); F. Bianchi and L.  - 11 There is an emerging consensus that effective macroprudential policies can also give monetary policy more room to manoeuvre.
For example, during a period in which policy interest rates are low for a long time, a tightening of mortgagefinancing rules or eligibility criteria can lean against a buildup in financial vulnerabilities such as elevated household debt. That allows more room for monetary policy to focus on bringing inflation to target.