Middle East Economic Survey

VOL. LIII

No 42

18-Oct-2010

QE2 Is The New Qualitative Easing For The Fed: Will It Be More Effective?

By Shawkat Hammoudeh

Dr Hammoudeh is Professor of Economics and International Business at Drexel University. He can be reached at hammousm@drexel.edu.

During the Great Recession, the US Federal Reserve (the Fed) followed a monetary policy by purchasing $1.7 trillion worth of mortgage-backed securities as part of its quantitative easing (QE) to stimulate the...