Eric Lonergan on Helicopter Drops and How to Improve Monetary Policy
Macro Musings with David Beckworth
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Is There a Difference Between Interest Rate and Deposit Rate?
The european central bank is doing so, if you imagine a central bank with two interest rates. It has an interest rate on reserves, which are the deposits,. But then it also has an interest Rate when it lends to the banking sector under the teltro program. The e c p suddenly has two interest raits. All of a sudden, i think they've got a monetary bazuka. I have not met anybody who can explain to me how that isn't a dynamite stimulus?
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