'Many failings were revealed by the on-going financial crisis. The reputations of bankers and regulators have been shredded. But the reputation of academic macro-economists also joined them in the dust-bin. In this important new book Chadha and Holly take stock of the lessons of the financial crisis and the unconventional measures that have had to be adopted, in order to bring academic analysis to bear on the extraordinary events of recent years, and to restore dignity to our profession.' Charles Goodhart , Emeritus Professor of Banking and Finance, London School of Economics and Political Science

'A wide-ranging examination of central bank actions during the financial crisis using state-of-the-art methods.' Glenn Rudebusch, Executive Vice President and Director of Research, Federal Reserve Bank of San Francisco

'This is an excellent first installment in a series of books that examines the implications of the financial crisis for the field of macroeconomics. The various chapters, written by a blend of top academics and central bank economists who are in the frontline, cover both the theory and the practice of how monetary policy ought to respond to financial crises.' Frank Smets, Director General of the Directorate General Research, European Central Bank