The Fed's $3 Trillion Problem | Maroon Macro & Joseph Wang
Forward Guidance
00:00
The Role of Regulators in Banking
Banks can add hundreds of billions of dollars of long duration treasury bonds viewed as a risk off hedge to their balance sheet. It has nothing to do with they think deflation is coming, right? And it can just be based due to a change in the SLR exemption ratio,. Joseph: A lot of what the banks do has to do with regulatory constraints that Maroon Maroon mentioned.
Transcript
Play full episode
