I am no economist or anything but when central banks say liquidity boost is that a form of quantitative easing? And India is doing it when the rupee hit an all time low against the dollar? Is it sensible?
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I am no economist or anything but when central banks say liquidity boost is that a form of quantitative easing? And India is doing it when the rupee hit an all time low against the dollar? Is it sensible?
Short answer: yes, although quantitative easing can be achieved in a number of different ways.
Mike Maloney’s Hidden Secrets of Money documentary series has a nice animation that explain how the US central bank interacts with the treasury and private banks.
https://www.stlouisfed.org/open-vault/2019/august/open-market-operations-monetary-policy-tools-explained