What You Need To Know About QE & Low Rates 1

QE has contributed to lower interest rates

We now know that QE does not work through the bank Reserves channel. But what about the interest rate channel?

Modern central banking does, after all, revolve around trying to control interest rates in the economy in a bid to stimulate or temper growth based on levels of inflation.

Does QE’s dampening effect on interest rates help stimulate economic growth?

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