What is Unconventional Policy?
Unconventional policy refers to non-typical monetary policy actions carried out by the Federal Reserve, especially since the Global Financial Crisis and Recession of 2007-2009. These actions differ from "normal" or "conventional" policy that existed prior to the crisis.
What are some forms of Unconventional Monetary Policy?
What is Quantitative Easing? What are its goals?
Quantitative easing refers to the purchasing of long-term bonds and securities (such as mortgage-backed securities) from financial institutions by the Federal Reserve. The goals of these Large Scale Asset Purchases, or LSAPS (of which there were three rounds between 2009 and 2014) were to reduce long-term interest rates (to spur borrowing and investment), promote bank lending, provide liquidity in financial markets, and boost economic growth.
Khan Academy Lecture on QE
Non-Technical Guide to QE
Misconceptions about QE
What is Forward Guidance? What are its goals?
Forward Guidance refers to the Federal Reserve's new policy of explicitly/implicitly signalling what it expects the future stance of monetary policy will be, especially in regards to the trajectory of the Federal Funds Target Rate. The goals of Forward Guidance are to increase certainty for businesses and investors and to influence long-term interest rates.
Intro to Forward Guidance (Fed Board Website)
Econbrowser blog post on Forward Guidance
Understanding the Fed's Balance Sheet
Brookings Institution post
Negative Interest Rates:
Ben Bernanke's Blog Post