Fed Takes Unprecedented Steps to Prop up the Economy

Faculty Fellow Jeff Bergstrand (finance) appeared in the American radio program Marketplace in a podcast titled "Fed Takes Unprecedented Steps to Prop up the Economy". He discussed how The Federal Reserve is taking on new measures to prevent an economic depression by buying back Treasury Bonds and mortgage-backed securities as well as creating programs to support business and consumer lending in order to keep money flowing.

“What’s different this time is it’s not a financial crisis, but we want to prevent a financial crisis,” Bergstrand said. “What this move basically does is provide a line of credit, and it extends that line of credit outside just the banking sector.”