Skip to main content

Quantitative easing

Quantitative easing is the creation of new money out of 'thin air' by a central bank, and its injection into the banking system. The aim is to increase the amount of deposits in private banks so that, by way of deposit multiplication, they can increase the money supply by increasing debt (lending).
'Quantitative' refers to the money supply; 'easing' refers to reducing the pressure on banks.[1] A central bank can do this by using this new money to buy government bonds (Treasury securities in the United States) in the open market, or by lending the new money to deposit-taking institutions, or by buying assets from banks in exchange for currency, or any combination of these actions. These have the effects of reducing interest yields on government bonds, and reducing inter-bank overnight interest rates, and thereby encourage banks to loan money to higher interest-paying bodies

http://en.wikipedia.org/wiki/Quantitative_easing

Comments

Popular posts from this blog

When the President Sounds the Alarm, But the Government Looks Away.

A President's Moral Warning Israeli presidents traditionally avoid political confrontation. Their role is largely ceremonial and symbolic, intended to unify rather than divide. Yet Herzog chose to speak openly about something many observers have documented for years: the erosion of moral restraints. His language was unusually severe. Warning of what he called " a terrible process of brutalization " within Israeli society, Herzog lamented that " there are segments among us that are barely shocked by violence anymore " while " certain other segments treat it lightly." Perhaps most alarming was his warning that extremist conduct is no longer confined to society's fringes. Such behavior, he said, is " threatening to enter the mainstream ." The significance of the speech lies not merely in what was said, but in who said it. When a country's ceremonial head of state feels compelled to warn that brutality is becoming normalized, the ...

Hajo Meyer: Auschwitz, Zionism, and the Courage to Say “Never Again Means Never Again”

Hajo Meyer did not speak from ideology. He spoke from Auschwitz . Born in Germany in 1924, Meyer survived the Nazi machinery of annihilation and emerged with a conviction that would shape the rest of his life: the Holocaust was not a Jewish lesson alone—it was a human one . To betray that universality, he believed, was to betray the dead. Late in life, Meyer became one of the most unsettling voices in Jewish ethical discourse —not because he denied Jewish suffering, but because he refused to let that suffering be weaponized . The Moral Core of The End of Judaism (2005) In his seminal book, The End of Judaism: An Ethical Tradition Betrayed , Meyer argues that Judaism is not defined by land, power, or ethno-nationalism , but by an ethical tradition rooted in justice for the vulnerable. One of his central claims is uncompromising: “ Judaism is not a bloodline or a state . It is an ethical tradition. When that tradition is abandoned , Judaism ends — regardless of who claims ...

ACTIVE CITIZEN WORKSHOP

Active citizen workshop held in Mid city hotel Near Dera Adda Multan at October 28, 2010 with the coordination of Awaz Foundation and British council. It was four days workshop that ended at October 31, 2010. There were 29 Participants in this workshop from varieties of culture, ages, education, social standard, mental approach and gender. It was like a group of flowers with different colors,size and different perfumes. Mr. Sultan and Ms. Shabnum Ayyub were Facilitator of this workshop who performed their assigned tasks beautifully and effectively. CRITICAL APPRECIATION OF THIS WORKSHOP AS AN OBSERVER AND PARTICIPANT The scope of this workshop was to make realize the youth of this area that they have abundance of qualities too much that can bring a good CHANGE, the change that is long desire of our homeland. Decreasing the trust deficit between each others, between different social groups, between peoples of rural areas and urban areas. Understanding to each others that is key in this ...

De dollarization a nightmare for global power elite.

" First and foremost, the weakening of the U.S. dollar would begin if Saudi Arabia accepted local currencies for oil trade. If Saudi Arabia demands that other countries pay in local currencies only, then demand for the U.S. dollar would dip drastically. The move could lead to the dollar facing a depreciation in the international forex and currency markets . A weak dollar would make imported goods more expensive in the United States and potentially impact the overall U.S. economy. Secondly , other nations will begin to diversify their reserves and accumulate other currencies apart from the U.S. dollar . The development would increase demand for other local currencies and put them in direct competition with the dollar. Central Banks around the world will keep reserves of all currencies and commodities like gold, making the USD dip. Thirdly , and in conclusion, Saudi Arabia might not make such a decision as their currency, the Riyal, is pegged to the U.S. dollar. Therefore, if the ...

Israel Bombs Gaza Hospital — To Save the World From a Camera.

  So, Israel has a brand-new defense for bombing a hospital: there was a camera . Yes, you read that right. The Israel Defense Forces — the most “moral army in the world” (their words, not ours) — turned the Nasser Hospital in Khan Younis into rubble because, allegedly, Hamas had placed an “observation camera” there. No proof, of course. Just a statement. And what did this surgical strike against a lens achieve? At least 20 people killed. Among them: five Palestinian journalists working for Reuters, AP, and Al Jazeera . Also hospital staff, patients, and rescue workers who rushed in after the first explosion — only to be hit again by Israel’s infamous “double tap” strike. But don’t worry, Israel assures us , six of the dead were militants . How convenient. How retroactively tidy. Never mind that one of those “terrorists” was Hussam al-Masri — a Reuters photojournalist livestreaming from the hospital staircase. His weapon? A tripod and a LiveU unit. In Israel’s eyes, that’...