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Fed Provides Liquidity to Stave Off Credit Crunch
December 12, 2007 Macroeconomics

Read more here.

  1. Will we ever learn who ends up with the funds?

  2. How will we be assured that this is temporary liquidity? In other words, the Fed needs to take this money back.

  3. Where is the line between bank recapitalization and temporary liquidity injections?

My take – an overhyped mortgage crisis is going to be managed into a real one. Sunspots!

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