The bears talk about how the fed buys treasury bonds

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1. Peter Klein argues that during a recession it would be bad policy to bail out banks, stop foreclosures and to stimulate the economy.

2. The bears talk about how the Fed buys Treasury bonds from “the J. P. Morgan.”

3. Among the possible solutions to the Fed having created over a trillion dollars of excess reserves is to raise the required reserve ratio.

4. Hunter Lewis suggests that the Fed’s QE programs may have really been aimed at bailing out the government in the face of the resistance of foreign banks to buying more U.S. debt.

Reference no: EM131451948

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