Yield curve control has long history – BoJ’s Amamiya
Policy has roots in work of John Maynard Keynes
Controlling long-run yields is not as untried a policy as many warn, according to Masayoshi Amamiya, an executive director at the Bank of Japan.
Speaking to the Financial Markets Panel Conference, Amamiya said yield curve control of the kind the BoJ is pursuing was suggested during the Great Depression by John Maynard Keynes.
"I see no reason why you should not reduce the rate of interest on your long-term government bonds to 2.5% or less with favourable repercussions on the whole bond market,"
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