How to Grow the Economy
use of is the required reserve ratio, the discount rate and open market operations. One thing about the required reserve ratio in relation to the Great Recession is that a wide number of banks failed due to the economic travails that came about. Indeed, many banks were completely eviscerated while others were held in receivership and were gobbled up by the remaining banks. Beyond that, banks had to under go "stress tests" using revised fraemworks and tests and even the surviving banks were subjected to that. Indeed, one of the factors that would dictate the results of these tests would be… Continue Reading...
