The Bottom Line

with contributors from Associated Bank

July 2013


The unintended consequences of quantitative easing

The Federal Reserve’s program of quantitative easing has caused the size of its balance sheet to increase from its long-term average level of about $800 billion to its current $3.5 trillion. This flood of liquidity may have been necessary to pull us through the Great Recession. However, any program of this size contributes to distortions and volatility. And that is where we sit today.

Posted at 09:59 AM | Permalink | Comments: 1

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