Posts Tagged ‘qunatitative easing’

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Why Wasn't "Money Printing" (Fed, ECB, etc.) Followed by High Inflation? A One Minute Explanation

To fight against recession and give life to the economy, the central banks like the Fed lower the interest rates and also print huge amounts of money. At the height of the quantitative easing program, the Fed printed about $85 billion per month. However, it did not result in high inflation. A lot of the currency created by the Fed ended up being reserves in the banking system rather than to circulate directly into the economy. It is also […]