Work

Central Bank Digital Currency and the Future of Monetary Policy

Year: 2017

Type: report

Abstract: We consider how a central bank digital currency (CBDC) could transform all aspects of the monetary system and facilitate the systematic and transparent conduct of monetary policy.In particular, we find that CBDC can serve as a practically costless medium of exchange, secure store of value, and stable unit of account.To achieve these criteria, CBDC would be accountbased and interest-bearing, and the monetary policy framework would foster true price stability.

Source: National Bureau of Economic Research

DOI: 10.3386/w23711

Authors: Michael Bordo, Andrew Levin

Institutions: Rutgers, The State University of New Jersey, Dartmouth College, Hoover Institution, Cato Institute, National Bureau of Economic Research, Stanford University

Language: English

Topic: Monetary Policy and Economic Impact

Subfield: General Economics, Econometrics and Finance

Field: Economics, Econometrics and Finance

Domain: Social Sciences

Open Access status: green

Funder: Sveriges Riksbanken

OpenAlex ID: W2747287349

Cites: 95

Cited by: 545

Related to: 10