Radical Difference Between Monetization 1 and QE2 by Daniel R. Amerman
By Daniel R. Amerman, CFAOverview It's official: the Federal Reserve announced on November 3rd that it will create approximately $600 billion of new money to fund US Treasury bond purchases, and will also utilize another $250-$300 billion of money that had been previously created (also out of the nothingness). The usual term in the media for these planned purchases is "QE2", as in the second round of quantitative easing.
The "2" in "QE2" implies that this is something that has been done before. This implication is dead wrong....."
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