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Aug 26, 2015 at 14:52 comment added dismalscience The Fed's payment of 0.25% interest on excess reserves does not explain (at least, not by itself) why banks are not engaging in more lending. There's a good explainer from FRBNY on this: libertystreeteconomics.newyorkfed.org/2012/08/…
Aug 26, 2015 at 12:50 vote accept user38869
Aug 26, 2015 at 11:45 history answered suriv CC BY-SA 3.0