The Federal Reserve Board's army of economists are the ultimateumbrella people: They prepare for rain on sunny days.

Even though no Federal Open Market Committee (FOMC)member has forecast a recession in the next three years, a shakyglobal environment has clouded the U.S. economic outlook. With thecentral bank's main policy rate stuck at zero since December 2008,that means Fed staff is probably already mulling other ways tostimulate growth.

Here are three tools at Fed policy makers' disposal—along withtheir benefits and drawbacks.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including and

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.