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Successes and Drawbacks of the Federal Reserve and the Impact on Financial Markets

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  • Muhammad RASHID

    (University of Detroit Mercy United States of America)

Abstract

The purpose of this paper is to provide an outline of the successes and draw backs of the Federal Reserve and the consequent impact on financial markets A review of the relevant literature from Hubbard 2008 and Dowd and Hutchinson 2010 will provide insights into the success and failures of the Federal Reserve and the impact on financial markets Further insights will be drawn from Gorton and Metrick 2013 and their interpretation of the Federal Reserve s actions since its formation Romer and Romer 2013 on the pessimism of monetary policy and Dyugen Bump et al 2013 on their assessment of the effectiveness of emergency liquidity measures

Suggested Citation

  • Muhammad RASHID, 2018. "Successes and Drawbacks of the Federal Reserve and the Impact on Financial Markets," Journal of Advanced Studies in Finance, ASERS Publishing, vol. 9(2), pages 56-59.
    • Handle: RePEc:srs:jasf00:v:9:y:2018:i:2:p:56-59
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    1. Christina D. Romer & David H. Romer, 2013. "The Most Dangerous Idea in Federal Reserve History: Monetary Policy Doesn't Matter," American Economic Review, American Economic Association, vol. 103(3), pages 55-60, May.
    2. Burcu Duygan-Bump & Patrick Parkinson & Eric Rosengren & Gustavo A. Suarez & Paul Willen, 2013. "How Effective Were the Federal Reserve Emergency Liquidity Facilities? Evidence from the Asset-Backed Commercial Paper Money Market Mutual Fund Liquidity Facility," Journal of Finance, American Finance Association, vol. 68(2), pages 715-737, April.
    3. Gary Gorton & Andrew Metrick, 2013. "The Federal Reserve and Panic Prevention: The Roles of Financial Regulation and Lender of Last Resort," Journal of Economic Perspectives, American Economic Association, vol. 27(4), pages 45-64, Fall.
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    Cited by:

    1. Rashid, Muhammad Mustafa, 2019. "A Survey of US and International Financial Regulation Architecture," MPRA Paper 93447, University Library of Munich, Germany.
    2. Rashid, Muhammad Mustafa, 2020. "Case Analysis: Enron; Ethics, Social Responsibility, and Ethical Accounting as Inferior Goods?," MPRA Paper 98441, University Library of Munich, Germany.

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    More about this item

    JEL classification:

    • G0 - Financial Economics - - General
    • G01 - Financial Economics - - General - - - Financial Crises
    • G18 - Financial Economics - - General Financial Markets - - - Government Policy and Regulation
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • G28 - Financial Economics - - Financial Institutions and Services - - - Government Policy and Regulation
    • G3 - Financial Economics - - Corporate Finance and Governance
    • G38 - Financial Economics - - Corporate Finance and Governance - - - Government Policy and Regulation

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