It seems the "experts" have difficulty understanding the current
complex state of government regulations.

http://www.econbrowser.com/archives/2008/11/update_on_fdic.html

"Update on FDIC guarantee fees
from Econbrowser by James Hamilton

On Saturday I noted that details of the FDIC guarantees of fed funds
implemented on October 14 could introduce a substantial wedge between
the fed funds target and the effective fed funds rate. Rebecca Wilder
argues that this could not be affecting the current effective fed
funds rate due to details of the "opt out" provision. Here I provide
some further discussion of this point.

I believe that Rebecca Wilder is correct that I was misinterpreting
the FDIC October 16 technical briefing...."
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