Question

has the recent Fed policy associated with credit easing increased or decreased the Fed's demand for...

has the recent Fed policy associated with credit easing increased or decreased the Fed's demand for T-bills?

Homework Answers

Answer #1

Recent Fed policy associated with credit easing has increased the Fed's demand for T-bills

Credit easing is a group of policy tools used by central banks to make credit and liquidity more readily available in times of financial stress. Credit easing happens when central banks purchase private assets such as corporate bonds. In response to the Great Recession, the Federal Reserve engaged in credit easing by purchasing large sums of Treasuries and mortgage-backed securities.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
1. The demand for healthcare has: a) increased because there is more pollution. b) decreased because...
1. The demand for healthcare has: a) increased because there is more pollution. b) decreased because birthrates are lower. c)increased because more illnesses are treatable. d)decreased because people are healthier today. 2.Global care seeks to lower health care costs by: a)providing insurance to everyone arounmd the globe. b)insuraing people with pre-existing conditions. c)caring for all the issues related to one diagnosis. d)providing care for the unemployed cost-free. 3.The primary benefit of a Fees for Service (FFS) health plan is: a)prices...
discuss the role of finance in the healthcare services industry. Has this role increased or decreased...
discuss the role of finance in the healthcare services industry. Has this role increased or decreased in importance in recent years? What is the impact of the Affordable Care Act (ACA) on the role of finance?
"Over the past twenty years, the price of personal computers has decreased in spite of increased...
"Over the past twenty years, the price of personal computers has decreased in spite of increased demand for personal computers. This can best be explained by:" A."suppliers of personal computers are unresponsive to price changes, meaning that prices have not increased even though demand has increased." B."demanders of personal computers are very price responsive, meaning that consumers will not put up with higher computer prices." C."computers are an inferior good, so increased demand simply results in lower prices." D. a...
The common agricultural policy of the European Union has: a Increased American farm exports to the...
The common agricultural policy of the European Union has: a Increased American farm exports to the EU b Decreased American farm exports to the EU c Lowered the price of American farm exports to the EU d Not affected the price of American farm exports to the EU
Due to advanced technology, the price of substitute goods for higher education has increased in demand;...
Due to advanced technology, the price of substitute goods for higher education has increased in demand; therefore, please illustrate by constructing a supply and demand graph, the direction in which the curves will shift and state the new equilibrium price and quantity; for example, state whether price and quantity increased, decreased, or are indeterminate. Please explain your rationale based on the determinants of demand and supply.
An F/I has $5 million in cash reserves with the Fed in excess of its reserve...
An F/I has $5 million in cash reserves with the Fed in excess of its reserve requirements, $5 million in T-bills, and a credit line of $10 million to borrow in the Repo market. It currently has lent $2 million in the Fed Funds market and borrowed $1 million from the Federal discount window to meet its seasonal needs. A. What are the bank's total available sources of liquidity (in $-millions)? B. What are the bank's current total uses of...
suppose The Fed has observed the economy is experiencing demand-pull inflation in a positive output gap....
suppose The Fed has observed the economy is experiencing demand-pull inflation in a positive output gap. Discuss the monetary policy process and tools that can be used to address an inflationary output gap. DC picked graphically the impact of these policy actions in the AD-AS model. What happens to the equilibrium price level and output level?
1. According to the linked article, the Fed has stated that it is committed to keeping...
1. According to the linked article, the Fed has stated that it is committed to keeping interest rates low and is actively buying US Treasury Bonds. ("increasing asset purchases" refers to the Fed's actions to buy US Treasury bonds). Given the current state of the economy do you agree or disagree with this policy? For full credit your answer must state: (a) whether you agree or disagree (choose one - you can't argue this both ways!); (b) a one or...
Exhibit 1 The Wall Street Journal article “Jobs and the Fed” is a criticism of the...
Exhibit 1 The Wall Street Journal article “Jobs and the Fed” is a criticism of the supposed efforts of the Fed to be more transparent. In 2012, the Fed announced, to much fanfare, that it was going to follow the “Evans Rule”; specifically, when the unemployment rate dropped to 6.5% it would begin tightening (or at least lower the degree of easing) of open market operations in an effort to guard against a rapid increase in inflation. However, the recent...
An auditor has determined that a client’s ‘days in receivables’ ratio has slowly increased over the...
An auditor has determined that a client’s ‘days in receivables’ ratio has slowly increased over the last three years. Which of the following could be a possible reason for this? A. The client has hired a collection agency which is extremely efficient at collecting. B. The receivables have been secured as collateral for a recent capital asset purchase. C. The accounts receivable department has implemented a new IT system, making collections much quicker and more efficient. D. The accounts receivable...