Ever since the Global Financial Crisis of 2008-09, inflation rates in the leading developed economies have remained below target. This is despite the fact that interest rates have remained at exceptionally low levels. Japan and the Eurozone have experienced sub-target inflation and negative interest rates for several years, but recently it seems the US and UK might be travelling along the same path.

On completing this eSeminar, you will be able to explain why inflation rates remain below target, and how policy-makers can escape from the low-inflation, low-interest-rate trap.

1) Monetary Policy
- What every student of economics learns in class about interest rates
- Problems with the Liquidity Preference theory
- Irving Fisher’s findings
- Historical applications
- Current applications
2) Fiscal Policy
- Can fiscal policy help?
- The interaction of monetary & fiscal policy
3) Conclusion

This eSeminar is suitable for practitioners in the financial services industry who would like to understand more about how monetary policies and fiscal policies impact inflation.