Quantative Easing and the Impact on the Economy Analytical Essay by flcircle

Quantative Easing and the Impact on the Economy
This paper explains the quantitative easing strategy and discusses its impact on the economy.
# 146830 | 1,920 words | 17 sources | APA | 2010 | US
Published on Jan 18, 2011 in Business (Finance, Investment and Banking) , Economics (Inflation) , Economics (International) , Political Science (Fiscal Policy (economy))


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Description:

In this article, the writer discusses the quantitative easing strategy and looks at how countries use it to stabilize the economy. The writer describes the use by other countries (Japan and United Kingdom) as well as the United States. The writer provides the history of use of this strategy and then discusses those currently implementing the policy. Finally, the writer examines lessons learned. The writer concludes that the economy issues discussed have made it clear that the world is too interconnected for nations to go it alone in their economic, financial, and regulatory policies and that international cooperation is thus essential if the crisis is to be addressed successfully.

Outline:
Quantitative Easing Historical Use
Current Users
Global Impact
Lessons Learned
Conclusion

From the Paper:

"It was estimated in 2008 that $675 billion dollars were needed to boost the economy in the United States; to date, an excess of $2 trillion dollars have been introduced into the economy via the Quantitative Easing (QE) strategy (Federal Reserve, 2010a). This is the second use of this strategy to boost the economy and other countries have used it as well. Japan and the United Kingdom within the last decade have used this strategy with mixed reviews on the success. Technologically, the actions implemented in the US will affect both the developed world and emerging nations. In a recent press release by the Board of Governors of the Federal Reserve System announced the committee intends to purchase $600 billion of securities at a pace of $75 billion per month to the end of 2011(2010). This paper will examine the results when this strategy is implemented by a country to solve an inflation situation."

Sample of Sources Used:

  • Anderson, R. (2010). The first U.S. quantitative easing: The 1930s. Economic Synopses, The Federal Reserve Bank, 17.
  • Anonymous (2009). Monetary Policy Roundtable. Bank of England Quarterly Bulletin, 49(3), 238 -241.
  • Bank for International Settlements (BIS), (2008). BIS 78th annual report, part 6, 92-127.
  • Bank of England (2008). Quantitative easing explained: Putting more money into our economy to boost spending. Retreived from www.bankofengland.co.uk
  • Benford, J., Berry, S., Nikolov, K., Young, C., & Robson, M., (2009). Quantative easing. Bank of England Quarterly Bulletin, 49(2), 90 - 101.

Cite this Analytical Essay:

APA Format

Quantative Easing and the Impact on the Economy (2011, January 18) Retrieved September 29, 2023, from https://www.academon.com/analytical-essay/quantative-easing-and-the-impact-on-the-economy-146830/

MLA Format

"Quantative Easing and the Impact on the Economy" 18 January 2011. Web. 29 September. 2023. <https://www.academon.com/analytical-essay/quantative-easing-and-the-impact-on-the-economy-146830/>

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