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Joined at the hip: monetary and fiscal policy in a liquidity-dependent world

Summary:
by Guillermo Calvo and Andrés VelascoWe study the effects of monetary and fiscal policies when both money and government bonds provide liquidity services.

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by Guillermo Calvo and Andrés Velasco
We study the effects of monetary and fiscal policies when both money and government bonds provide liquidity services.
International Settlement
The Bank for International Settlements (BIS) is an international company limited by shares owned by central banks which "fosters international monetary and financial cooperation and serves as a bank for central banks". The BIS carries out its work through subcommittees, the secretariats it hosts and through an annual general meeting of all member banks. It also provides banking services, but only to central banks and other international organizations. It is based in Basel, Switzerland, with representative offices in Hong Kong and Mexico City.

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