- International Monetary Fund
- Published Date:
- July 1990
© 1990 International Monetary Fund
Library of Congress Cataloging-in-Publication Data
The Conduct of monetary policy in the major industrial countries: instruments and operating procedures / by Dallas S. Batten … [et al.]
p. cm. — (Occasional paper ; no. 70)
Includes bibliographical references (p.)
ISBN 9781557751430: $10.00
1. Monetary policy—Europe. 2. Monetary policy—Japan. 3. Monetary policy—United States. I. Batten, Dallas S. II. Series: Occasional paper (International Monetary Fund) ; no. 70.
(US$7.50 university faculty members and students)
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The following symbols have been used throughout this paper.
… to indicate that data are not available;
— to indicate that the figure is zero or less than half the final digit shown, or that the item does not exist;
– between years or months (e.g., 1994–95 or January–June) to indicate the years or months covered, including the beginning and ending years or months;
/ between years (e.g., 1994/95) to indicate a crop or fiscal (financial) year.
“Billion” means a thousand million.
Minor discrepancies between constituent figures and totals are due to rounding.
This paper analyzes and describes the instruments and procedures employed to implement monetary policy by the monetary authorities of France, the Federal Republic of Germany, Japan, the United Kingdom, and the United States. These procedures are described using a consistent analytical framework to ascertain the influence of monetary policy on money market interest rates in these countries, and in order to help distinguish movements in these rates that reflect changes in the current stance of monetary policy from those that do not. The analysis indicates that the monetary authorities of these five countries focus mainly on affecting short-term interest rates in implementing monetary policy.
The paper was prepared in the Treasurer’s Department by the staff of Financial Relations Division and has benefited from comments and suggestions made by various officials at the central banks of the five countries reviewed, as well as several colleagues at the Fund. The paper was edited by Esha Ray of the External Relations Department. Ma. Lourdes Yupangco provided valuable assistance in the preparation of the manuscript. The opinions expressed in the paper are those of the authors and do not necessarily represent the views of the Fund.