statement surrounding this and earlier monetary policy decisions are available on the ecb website. [ 6 ] see ahn et al., 2017, kaplan et al., 2018, auclert, 2019 and kopiec, 2019 for examples of implications for policy effectiveness. slacalek et al., ( 2020 ) also discuss the sensitivity of household exposure to interest rate changes and labour income fluctuations on the transmission of monetary policy. [ 7 ] arrigoni s., boyd l., and mcindoe - calder t., ( 2022 ). household economic resilience. quarterly bulletin 4 – signed article. central bank of ireland. [ 8 ] hfcs data collected by the central statistics office in the second half of 2020. ©2022 central bank of ireland

kazumasa iwata : the conduct of monetary policy under the new framework excerpts of a speech by mr kazumasa iwata, deputy governor of the bank of japan, at a meeting with business leaders, akita, 8 june 2006. * * * the conduct of monetary policy the bank of japan terminated the quantitative easing policy in early march 2006, and is in the process of reducing the outstanding balance of current accounts held by financial institutions at the bank. the outstanding balance, which was at around 30 to 35 trillion yen at the time of the termination, is currently at around 12 trillion yen. some market participants take the view that the pace of reduction may be too fast, and speculate that this may reflect the bank's intention to raise the target for interest rates at an early date. market participants expect the bank to raise the target for interest rates at some point during fiscal 2006, and this expectation has been factored into current market rates. the bank, however, noted when the quantitative easing policy was terminated that it would take a few months before the outstanding balance declined to a level near the reserve requirement. the bank's money market operations have been in line with this policy statement, and the bank has not been accelerating the pace of reduction in order to raise the target for interest rates at an early date. it has been some time since money market transactions were conducted under normal market conditions, so that some rates have risen due to trading friction. nevertheless, on the whole the bank's reduction of the outstanding balance has been carried out in a stable manner. new framework of monetary policy and policy implementation the conduct of monetary policy is now based on the new framework announced in march this year and on the findings from examining the risks affecting the economic outlook that are described in the outlook for economic activity and prices ( hereafter the outlook report ). under the quantitative easing policy, monetary policy was conducted with an emphasis on the underlying trend of the core consumer price index ( cpi ). to be more specific, with the overnight call rate at virtually zero percent, the bank made a commitment to maintain the quantitative easing policy until the year - on - year rate of change in the core cpi registered zero percent or higher on a sustainable basis in order to affect market expectations of the future path of interest rates. 1 this effect is referred to as the policy duration effect. the effectiveness of the quantitative easing policy has been the focus of much debate and criticism. i believe, however,