clearly that is what they did and I was not sure that the Fed did not plan it this way.

Dec 21, 2018·1 min read

clearly that is what they did and I was not sure that the Fed did not plan it this way. What better way to make the banks healthier then this opportunity for easy money

ATrigueiro

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…tunately, despite Bernanke’s efforts, the banks responded to this crisis by reducing their lending. Some argue that they instead availed themselves of an arbitrage opportunity, borrowing funds from the Fed at virtually no interest and using those funds to invest in Treasury bonds which, though yielding low interest at the time, still yielded higher interest than the Fed was charging (Congressional Oversight Panel, 2009). Some argue that this is why the banks performed so well whil…

Ben Bernanke and the Great Recession

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Michael Greiner