The Fed's large-scale purchases of mortgage-backed securities had a very small empirical impact on the mortgage market (per Hoover/Stanford estimation work) while transforming monetary policy into something resembling fiscal or credit-allocation policy, raising concerns about Fed independence.

causalpending

Speaker

John Taylor

Evidence Quote

I don't think that those purchases of mortgages have been very effective

Source

John Taylor on the State of the Economy 07/19/2010EconTalk
Created: 6/15/2026, 9:17:28 AM

My Notes

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