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The Alphabet Soup Explained: An Analysis of the Special Lending Facilities at the Federal Reserve

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Author Info
Matthew Sherman
Abstract

This paper looks at the trends in activity at the Federal Reserve’s newly-created special lending facilities, hoping to provide a better understanding of their operation and significance within financial markets. These facilities were created in response to the financial crisis and have expanded the Fed's balance sheet by over $1 trillion in terms of total assets. This sum is larger than the total price tag of the recent federal stimulus as well as the bank bailout authorized by the TARP. Yet both of these government responses have received enormously more public scrutiny than any of the actions taken by the Federal Reserve.

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File URL: http://www.cepr.net/documents/publications/alphabet-soup-2009-07.pdf
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Publisher Info
Paper provided by Center for Economic and Policy Research (CEPR) in its series CEPR Reports and Issue Briefs with number 2009-24.

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Length: 17 pages
Date of creation: Jul 2009
Date of revision:
Handle: RePEc:epo:papers:2009-24

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Related research
Keywords: Federal Reserve; special lending facilities;

Find related papers by JEL classification:
G - Financial Economics
G2 - Financial Economics - - Financial Institutions and Services
G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Mortgages
G24 - Financial Economics - - Financial Institutions and Services - - - Investment Banking; Venture Capital; Brokerage
G28 - Financial Economics - - Financial Institutions and Services - - - Government Policy and Regulation
H - Public Economics
H2 - Public Economics - - Taxation, Subsidies, and Revenue
H25 - Public Economics - - Taxation, Subsidies, and Revenue - - - Business Taxes and Subsidies
E - Macroeconomics and Monetary Economics
E5 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit
E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies

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This page was last updated on 2009-11-14.


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