Abstracting and IndexingРИНЦReferativny Zhurnal VINITI RAS Worldcat LCCN Permalink Google Scholar Online availableEastvieweLIBRARY.RU Biblioclub |
Influence of changes of a rate on federal funds on level of percentage risk of banks
Available online: 22 June 2012 Subject Heading: Banking JEL Classification:
In the article the assessment is given to events in the USA preceding a mortgage meltdown of 2007. By means of the graphic analysis the evidence of is produced that entry of a financial system into crisis was in many respects provoked by policy of a targeting of a rate on federal funds. The Federal Reserve System (FRS) actively carried out operations in the open market, causing considerable fluctuations of rates. The conclusion that result was the essential increase in percentage risk of the credit organizations is drawn. Threat of decrease in profit forced banks to look for additional sources of the income, leading up thus all types of risks to critical values. Keywords: Federal Reserve System, federal funds rate, interest rate targeting, interest rate risk, open market operations, financial crisis |
ISSN 2311-8709 (Online)
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