Roger Farmer has a great post showing how the maturity composition of outstanding US debt lengthened as the Fed embarked on its program of buying long dated securities. As Summers reportedly put it, while the Fed was engaged in quantitative easing, the Treasury was doing 'quantitative contraction'. And surely the two arms of government should be better coordinated than that.
Share this post
What the left hand buyeth, the right hand…
Share this post
Roger Farmer has a great post showing how the maturity composition of outstanding US debt lengthened as the Fed embarked on its program of buying long dated securities. As Summers reportedly put it, while the Fed was engaged in quantitative easing, the Treasury was doing 'quantitative contraction'. And surely the two arms of government should be better coordinated than that.