Econ Comments & Analysis
Bloomberg View | The Economic Monster Called Deflation
Why is deflation so troubling to central bankers? First, with chronic deflation, debts rise in real terms. Their nominal value remains fixed, yet nominal incomes and profits -- the wherewithal to service those debts -- tend to fall. So bankruptcies leap, and lending, the driver of much economic growth, atrophies.
Blogs
WSJ | Fed Reverse Repos Again See Demand Surge As Treasury Navigates Tax Time
A shortage of Treasury securities is driving very strong demand for a tool the Federal Reserve is testing in hopes that it may one day give the central bank better control over short-term interest rates.
