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Quantitative easing is just a fancy newspeak-doublespeak word for monetizing debt. Basically the treasury bond auction has functionally failed and the Fed has
by davidj 16y ago
Quantitative easing is just a fancy newspeak-doublespeak word for monetizing debt. Basically the treasury bond auction has functionally failed and the Fed has to step in a buy the bonds because nobody else wants them.
- colindoc84 16y agoThis is not true. The fed is targeting specific medium term bonds. It isn't buying every bond on offer, which is what it would do during a failed auction.