See, for example, Willem H. Buiter, “The Simple Analytics of Helicopter Money: Why It Works – Always,” Economics 8, 1–53, 2014; and Jordi Gali, “The Effects of a Money-Financed Fiscal Stimulus,” CEPR Discussion Paper 10165, September 2014.
Ladies and gentlemen, let me now, as my fourth observation, address the issue of how a New Economy would influence monetary policy in the long run, in other words how it would affect the long-term prospects for real interest rates. Again, there is unfortunately no simple answer.