For those of you who have followed me, you no doubt know how I feel about the concept of the monetary policy impotency at the zero lower bound on nominal interest rates (hint: not too highly).
Turns out I am in good company:
[Click Image to Enlarge]
The only economist that answered in the negative making a liquidity trap argument was Robert Hall.
I would be very interested to hear a lucid exposition of Paul Krugman’s current views regarding this question.
Update: Scott Sumner and Marcus Nunes have more on Robert Hall.