In the News

Monetary Policy - The US Fed Tapers QE

Graham Watson

4th November 2021

The Federal Reserve has announced that it is tapering its bond-buying programme, launched in the wake of the coronavirus pandemic.

Since the start of the pandemic, the US has engaged in a programme of bond-buying akin to Quantitative Easing worth $120bn per month. That will be reduced by $15bn this month and tapered thereafter. It's an attempt to reduce monetary stimulus and normalise the conduct of monetary policy.

Graham Watson

Graham Watson has taught Economics for over twenty years. He contributes to tutor2u, reads voraciously and is interested in all aspects of Teaching and Learning.

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