How Central Banks Learn From Their Own Policy Mistakes

Monetary Policy Explained with Fexingo: Central Banks, Money Supply, and Interest Rates · May 25, 2026 · 9m · transcript

Central banks in advanced economies have spent the last two decades making policy errors — and then systematically studying them. In this episode, Lucas and Luna walk through three concrete cases: the Bank of Japan's early 2000s quantitative easing that took a decade to exit, the European Central Bank's 2011 rate hikes that deepened the eurozone crisis, and the Bank of England's 2022 gilt market intervention after a fiscal shock. They explain how each central bank built formal review processes — the Bank of Japan's 'Comprehensive Assessment' in 2016, the…