The primary way central banks in?uence economic conditions is by adjusting interest rates up or down. However, central banks are constrained from lowering interest rates when rates are already near zero. Because of this Zero Lower Bound (ZLB) during the Great Recession, the Federal Reserve used “forward guidance” and “quantitative easing” as alternatives to cutting interest rates to stimulate the economy. Some central banks have even experimented with setting negative interest rates, and other policy options are also under consideration. In this course, we examine and critique various policy options that central banks have when operating at the ZLB.