IDEAS home Printed from https://ideas.repec.org/h/elg/eechap/18346_26.html
   My bibliography  Save this book chapter

Creating a system-wide asset-based reserve system

In: All Fall Down

Author

Listed:
  • .

Abstract

Creating an asset-based reserve system would require changes in the way the Fed conducts monetary policy and in the structure of its balance sheet as well as the balance sheets of private financial firms. As it does now in transactions with dealers in government securities, the Fed purchases assets from (and subsequently returns them to) the asset side of private financial firms’ balance sheets. Tables in this chapter show these changes for the Fed as a shift of bank reserves from the liability to the asset side of its balance sheet and a shift in repurchase agreements and financial sector discounts to the liability side of its balance sheet. The central bank would earn interest on the repos it holds and the collateral it holds for discounts in exchange for the interest-free liabilities it creates for private institutions.

Suggested Citation

  • ., 2018. "Creating a system-wide asset-based reserve system," Chapters, in: All Fall Down, chapter 26, pages 171-175, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:18346_26
    as

    Download full text from publisher

    File URL: https://www.elgaronline.com/view/9781788119481.00039.xml
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Pereira, Guillermo Ivan & Specht, Jan Martin & Silva, Patrícia Pereira & Madlener, Reinhard, 2018. "Technology, business model, and market design adaptation toward smart electricity distribution: Insights for policy making," Energy Policy, Elsevier, vol. 121(C), pages 426-440.
    2. Eghbal Akhlaghi, Vahid & Campbell, Ann Melissa & de Matta, Renato E., 2021. "Fuel distribution planning for disasters: Models and case study for Puerto Rico," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 152(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:elg:eechap:18346_26. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Darrel McCalla (email available below). General contact details of provider: http://www.e-elgar.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.