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So I heard that 80% of the money supply in circulation was printed over the last 18 months. I suspect that 'might' have something to do with inflation.
by meatsauce 4y ago
So I heard that 80% of the money supply in circulation was printed over the last 18 months. I suspect that 'might' have something to do with inflation.
- ChrisPebble 4y agoThat sounds implausible. It looks to be somewhere around 21%. https://fred.stlouisfed.org/series/CURRCIR https://fred.stlouisfed.org/series/CURRCIR
- supertrope 4y agoThe Federal Reserve took strong measures to make sure another credit crunch did not happen. They let banks exchange their illiquid treasury bond holdings for cash. This increases what gets counted in the currency base. They cut the reserve ratio requirement to 0%. They did QE. They even proposed buying corporate bond ETFs and just this announcement eased the market stress in the bond market. They did swap lines with other central banks. They pulled out every stop short of negative interest rates in order to ensure businesses in peril could draw upon existing lines of credit and then tap the capital markets to raise cash.