Did anyone spot the real twist in Operation Twist?

Discussion in 'Economics' started by Ash1972, Sep 25, 2011.

  1. Ash1972

    Ash1972

    QE3, aka Operation Twist, is about both buying AND selling bonds, i.e. balance sheet neutral overall.

    QE1 and QE2 were just about buying up tons of bonds and sticking them on the Fed's loaded balance sheet. No more, said the shareholders.

    Yes, the Fed is a private company with shareholders, and is generally expected to turn a profit..