The Unassuming Economist

From a paper by Khadijah Iddrisu, Joshua Yindenaba Abor, Osman Issah, and Felix Owusu Gyebi:

“This chapter investigates the crucial role of monetary policy in shaping economic outcomes and promoting inclusive growth, particularly during periods of economic uncertainty. It begins by defining monetary policy and detailing the tools used by central banks, including unconventional methods like quantitative easing (QE) and forward guidance. The discussion highlights the importance of central bank independence (CBI) for protecting policy decisions from political influence and bolstering market credibility. It addresses the challenges central banks face in implementing monetary policy and provides an overview of inclusive growth. The chapter further explores how monetary policy impacts inclusive growth, examining its specific role during economic uncertainty. It also analyses the challenges, opportunities and future prospects of monetary policy in fostering inclusive growth amid economic instability. This thorough analysis emphasises the dynamic nature of monetary policy and its essential function in stabilising economies while advancing equity and development.”