Misconceptions of Monetary Policy
Scott challenges the common belief that monetary policy has been loose, pointing out that the increase in the Fed's balance sheet is not equivalent to printing money. He highlights the historical context of contractionary policy in the early 30s and the use of quantitative easing during Herbert Hoover's presidency.In this clip
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EconTalk
Scott Sumner on Money, Business Cycles, and Monetary Policy
Related Questions
The purchase of government securities from the public by the FED will cause: A. Commercial bank reserves to decrease B. The interest rate to increase C. The money supply to increase D. Demand deposits to decrease
In the United States, monetary policy is the responsibility of the: A. U.S. Congress. B. Department of Commerce. C. U.S. Treasury. D. Board of Governors of the Federal Reserve System.
What is the role of monetary policy in the episode John Taylor on Fiscal and Monetary Policy and the clip Quantitative Easing Two Analysis? Also, what is the role of monetary policy in the episode John Taylor on Rules, Discretion, and First Principles and the clip The Monetary Policy Debate?