Abstract: This paper constructed a NK-DSGE model with financial structure to analyze whether monetary policy including financial asset price stability objectives can more effectively smooth the economic fluctuation under different financial structures. The results showed that: (1) compared with traditional monetary policy, monetary policy including financial asset price stability objectives can not only better smooth macroeconomic fluctuations, reduce the duration of fluctuations, but also can improve social welfare. (2) Under the extended monetary policy framework, the central bank needs to flexibly adjust the control intensity of various variables according to the level of financial structure based on the heterogeneous correlation between the financial structure and the fluctuations of macro-control variables under different types of shocks. (3) Under the extended monetary policy framework, when the economic system is faced with unsustainable technological shock, investment marginal efficiency shock or financial shock, the higher the level of financial structure, the better the improvement effect of social welfare. The research provided beneficial enlightenment for macroeconomic regulation policies, especially monetary policy decision-making, or it may provide new ideas and new gripper for strengthening the effect of macroeconomic regulation and control as well as building a balanced development path that takes both financial stability and economic stability into account in the new period. 

Key Words: Financial Asset Prices; Financial Structure; Monetary Policy; Economic Fluctuations