Interesting article by my former colleague @D_W_Wilcox. I have to disagree with him though. I think #yieldcurve control would be more effective than the by-now standard tools of forward guidance and asset purchases (QE). See below for some thoughts. https://twitter.com/PIIE/status/1283830704233680903

In addition to the two possibilities that @D_W_Wilcox mentions, there is a third and most likely one: The targets are seen as credible, and by virtue of that credibility rates remain within the desired range. This would be very effective: The desired result with no purchases.

I would think that the Fed would target a portion of the curve at least in line with its view of how long the funds rate might have to stay at zero. In that sense, YCC would reinforce, not muddle, the Fed's communication.

Asset purchases are not incompatible with YCC. A credible YCC could free up the Fed from the need of purchasing securities with maturities up to the targeted one and allow it to concentrate them to longer maturities. The impact of longer-duration purchases would be stronger.