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US Rates: IORB, WFC, SLR, Oh My!

At Any Rate

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Economic Implications of Eliminating Interest on Reserve Balances

This chapter explores the consequences of removing the Interest on Reserve Balances rate, including potential government savings and challenges for the banking sector. It examines the effects on bank profitability, liquidity management, and short-term interest rates, as well as broader monetary policy implications.

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