IDEAS home Printed from https://ideas.repec.org/h/pal/palchp/978-1-137-41236-2_3.html
   My bibliography  Save this book chapter

Life after QEs

In: The Global Rise of Asian Transformation

Author

Listed:
  • Pongsak Hoontrakul

Abstract

The collapse of Lehman Brothers in 2008 opened a new era of monetary policy. The world’s major central banks—the US Federal Reserve Bank (the Fed), the Bank of England (BOE), the European Central Bank (ECB), and the Bank of Japan (BOJ)—embraced the unconventional measure of quantitative easing (QE) to inject an unprecedented scale of liquidity into the financial system. In addition to the more than $5.8 trillion injection from 2007 to the end of 2013,1 the banks cut short-term policy rates to near zero. Their aim was to prevent the endogenous risk generated within the banking system and credit markets from escalating into a global catastrophe.2 Though the goal was achieved, this strategy risked major unintended consequences on an unprecedented scale.3 And it remains to be seen how long it will take for the reversal of QE to normalize the financial conditions affecting credit and how much collateral damage to the real economy will occur. Certainly the transition will profoundly impact businesses and everyone exposed to borrowing, lending and inflation, potentially for decades.

Suggested Citation

  • Pongsak Hoontrakul, 2014. "Life after QEs," Palgrave Macmillan Books, in: Pongsak Hoontrakul & Christopher Balding & Reena Marwah (ed.), The Global Rise of Asian Transformation, chapter 3, pages 51-82, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-137-41236-2_3
    DOI: 10.1057/9781137412362_3
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:palchp:978-1-137-41236-2_3. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.