4 ms·
not sure what you mean by this. QE is essentially creating money. Though, in our current economy more money was created by loans especially mortgages than QE.
by ShivShankaran 4y ago
not sure what you mean by this. QE is essentially creating money. Though, in our current economy more money was created by loans especially mortgages than QE.
QT is the processes of reducing money supply so is paying off the loans. If more people pay off the loan than new people taking up loans due to higher interest rates, the money supply falls.
- Aunche 4y agoActually the website is fine. I mean that the OP was double counting money injected in the economy by adding up legislative actions and executive actions with federal reserve actions. If you consider bonds money, then QE isn't injecting new money because that removes bonds. If you don't consider bonds money, then the stimulus spending isn't injecting new money, because that was funded through bonds.