Peter Stella, 20 September 2013

QE is still on, but central banks are pondering exit pathways. Exit requires vacuuming up excess reserves, winding down massive securities holdings, and restoring normal interest rates – all without killing the recovery. This column points to the importance of a seemingly technical issue – the impact of the exit on the supply of high-quality collateral. This matters since collateral plays a critical role in today’s credit and money creation processes. When reducing excess reserves, the ‘how’ matters as much as the ‘when’ and ‘how much’.

Pablo Guidotti, 08 January 2010

Pablo Guidotti, Director of the School of Government at the Universidad Torcuato Di Tella and former deputy minister of finance in Argentina, talks to Romesh Vaitilingam about the challenges facing monetary and fiscal policy-makers as they plan their exit strategies from the extraordinary measures taken to deal with the global crisis. The interview was recorded at the Global Economic Symposium in Schleswig-Holstein in September 2009.

Paul De Grauwe, 24 September 2009

A key issue at the G20 is coordinating exit strategies. Empirical research suggests that demand spillovers from fiscal policy are sufficiently small that uncoordinated exits from fiscal stimulus are unlikely to threaten global demand. This column argues that research is flawed as it was based on data and theory for economies near full employment – not today’s situation. G20 leaders need to address fiscal and monetary stimulus coordination exit strategies.


CEPR Policy Research