History has shown that monetary activism is a chief cause of financial booms and busts. The Fed’s unconventional monetary policies have distorted interest rates and asset prices, misallocated credit, encouraged risk taking, increased leverage, penalized savers, and increased uncertainty—all of which have had a negative effect on productive investment, innovation, and growth. The new issue of Cato Journal, featuring papers from Cato’s 34th Annual Monetary Conference, brings together leading scholars and policymakers to examine the link between unconventional monetary policy and financial fragility.

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