Pawnbroker of Last Resort

Paul Krugmanのブログより:
And the Fed is afraid that this will lead to a vicious spiral of financial collapse. So it’s responding by doing something different from normal monetary policy: by lending to banks with securities as collateral, it is arguably in effect buying securities other than T-bills. [Add: Waldman calls the Fed “Wall Street’s genial pawnbroker”, and one of Yves Smith’s commenters goes one better and calls the Fed the “pawnbroker of last resort.” Ouch!]

by stupid-market | 2008-03-09 09:57 | Economy
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