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09-04-2016, 05:00 PM
An honorable member of the Coffee Shop Has Just Posted the Following:
The list of unconventional measures has been extensive. There was quantitative easing (QE), or purchases of long-term government bonds, once short-term rates were already zero. This was accompanied by credit easing (CE), which took the form of central-bank purchases of private or semi-private assets – such as mortgage- and other asset-backed securities, covered bonds, corporate bonds, real-estate trust funds, and even equities via exchange-traded funds. The aim was to reduce private credit spreads (the difference between yields on private assets and those on government bonds of similar maturity) and to boost, directly and indirectly, the price of other risky assets such as equities and real estate.
if current conditions in the advanced economies remain entrenched a decade from now, helicopter drops, debt monetization, and taxation of cash may turn out to be the new QE, CE, FG, ZIRP, and NIRP. Desperate times call for desperate measures.
https://www.project-syndicate.org/co...oubini-2016-04 (https://www.project-syndicate.org/commentary/new-range-of-unconventional-monetary-policies-by-nouriel-roubini-2016-04)
Click here to view the whole thread at www.sammyboy.com (http://singsupplies.com/showthread.php?227961-Unconventional-Monetary-Policy-on-Stilts&goto=newpost).
The list of unconventional measures has been extensive. There was quantitative easing (QE), or purchases of long-term government bonds, once short-term rates were already zero. This was accompanied by credit easing (CE), which took the form of central-bank purchases of private or semi-private assets – such as mortgage- and other asset-backed securities, covered bonds, corporate bonds, real-estate trust funds, and even equities via exchange-traded funds. The aim was to reduce private credit spreads (the difference between yields on private assets and those on government bonds of similar maturity) and to boost, directly and indirectly, the price of other risky assets such as equities and real estate.
if current conditions in the advanced economies remain entrenched a decade from now, helicopter drops, debt monetization, and taxation of cash may turn out to be the new QE, CE, FG, ZIRP, and NIRP. Desperate times call for desperate measures.
https://www.project-syndicate.org/co...oubini-2016-04 (https://www.project-syndicate.org/commentary/new-range-of-unconventional-monetary-policies-by-nouriel-roubini-2016-04)
Click here to view the whole thread at www.sammyboy.com (http://singsupplies.com/showthread.php?227961-Unconventional-Monetary-Policy-on-Stilts&goto=newpost).