Norges Bank

Workshop on Low Interest Rate and Unconventional Monetary Policy

Norges Bank, online, 21-22 June 2021

21 June 2021, Oslo 2:55pm / London 1:55pm / NYC 8:55am

14:55 – 15:00 Opening remark by Ole Christian Bech-Moen (Executive Director, Monetary Policy Division, Norges Bank)

15:00 – 16:30 Session 1: Where is the research frontier on unconventional monetary policy?

Session chair: Torbjørn Hægeland (Executive Director, Financial Stability Division, Norges Bank)

  • Florian Heider (ECB), Farzad Saidi (Boston University), and Glenn Schepens (ECB), “Banks and negative interest rates”.
    Discussant: Falko Fecht (Frankfurt School of Finance and Management)
  • Saroj Bhattarai (University of Texas at Austin) and Christopher Neely (Federal Reserve Bank of St. Louis), “An analysis of the literature on international unconventional monetary policy”.
    Discussant: Rafael Repullo (CEMFI)

16:30 – 16:45 Coffee break

16:45 – 18:30 Session 2: Low rates and bank profitability

Session chair: Carola Müller (CEMLA)

  • Cynthia Balloch (LSE) and Yann Koby (Brown University), “Low rates and bank loan supply: Theory and Evidence from Japan”.
    Discussant: Mark Egan (Harvard Business School)
  • Miguel Ampudia (ECB) and Skander van den Heuvel (Federal Reserve Bank Board of Govenors), “Monetary policy and bank equity values in a time of low interest rates”.
    Discussant: Andrea Polo (LUISS, Universitat Pompeu Fabra and EIEF)
  • Carlo Altavilla (ECB), “Monetary policy, negative interest rate and bank profitability”.
    Discussant: Stephan Luck (Federal Reserve Bank of New York)


June 22, 2021, Oslo 2:30pm / London 1:30pm / NYC 8:30am

14:30 – 16:15 Session 3: Effectiveness of negative policy rates

Session chair: Henrik Borchgrevink (Norges Bank)

  • Christian Bittner (Bundesbank and Goethe University Frankfurt), Diana Bonfim (Banco de Portugal and Católica Lisbon), Florian Heider (ECB), Farzad Saidi (Boston University), Glenn Schepens (ECB), and Carla Soares (Banco de Portugal), “Why so negative? The effects of monetary policy on bank credit supply across the Euro Area”.
    Discussant: Fergal McCann (Central Bank of Ireland)
  • Margherita Bottero (Banca d’Italia), Camelia Minoiu (Federal Reserve Board of Govenors), José-Luis Peydró (Imperial College London), Andrea Polo (LUISS, Universitat Pompeu Fabra and EIEF), Andrea F. Presbitero (IMF), and Enrico Sette (Banca d’Italia), “Negative monetary policy rates and portfolio rebalancing: Evidence from credit register data”.
    Discussant: Valeriya Dinger (University of Osnabrück and Leeds University Business School)
  • Gauti B. Eggertsson (Brown University), Ragnar E. Juelsrud (Norges Bank), Lawrence H. Summers (Harvard University), and Ella Getz Wold (Norges Bank), “Negative nominal interest rates and the bank lending channel”.
    Discussant: Giovanni Dell’Ariccia (IMF)

16:15 – 16:30 Coffee break

16:30 – 17:15 Session 4: Keynote speech by Loretta Mester (Federal Reserve Bank of Cleveland), “Low interest rates and financial stability”.

Session chair: Kasper Roszbach (Norges Bank)

17:15 – 18:25 Session 5: Forward guidance

Session chair: Karsten R. Gerdrup (Norges Bank)

  • Leif Brubakk (Norges Bank), Saskia ter Ellen (Norges Bank), Ørjan Robstad (Norges Bank), and Hong Xu (Avinor), “The macroeconomic effects of forward guidance”.
    Discussant: Jeff Campbell (University of Notre Dame and Tilburg University)
  • Brent Bundick (Federal Reserve Bank of Kansas City) and Andrew Lee Smith (Federal Reserve Bank of Kansas City), “Should we be puzzled by forward guidance?
    Discussant: Leonardo Melosi (Federal Reserve Bank of Chicago)


Organising committee: Jin Cao, Ragnar Juelsrud, and Kasper Roszbach

Published 22 April 2021 09:00