{"product_id":"floored-george-selgin-9781948647083","title":"Floored!: How a Misguided Fed Experiment Deepened and Prolonged the Great Recession","description":"\u003cp\u003eIn October 2008, as the U.S. economy plunged, the Federal Reserve began paying interest on banks' reserve balances. The resulting switch to a \"floor system\" of monetary control, in which changes in the interest rate on reserves, rather than reserve creation or destruction, became the Fed's chief tool for influencing economic activity, was to have far-reaching consequences--almost all of them regrettable.\u003c\/p\u003e\u003cp\u003eBesides intensifying the downturn by causing banks to hoard reserves, the floor system all but destroyed the market for unsecured interbank loans that had been banks' ordinary \"first resort\" source of last-minute liquidity. By depriving the Fed's asset purchases of the ability to stimulate investment and spending, it also compelled the Fed to compensate by purchasing assets on an unprecedented scale. All of this resulted in a substantial increase in the Fed's role in allocating scarce credit. Finally, by severing the ordinary connection between the stance of monetary policy and the extent of the Fed's asset holdings, the floor system risks turning the Fed's balance sheet into a fiscal-policy playground.\u003c\/p\u003e\u003cp\u003e\u003cem\u003eFloored \u003c\/em\u003e offers a matchless account of our post-crisis monetary system's history and shortcomings.\u003c\/p\u003e\u003cbr\u003e\u003cbr\u003e\u003cb\u003eAuthor:\u003c\/b\u003e George Selgin\u003cbr\u003e\u003cb\u003eISBN-10:\u003c\/b\u003e 1948647087\u003cbr\u003e\u003cb\u003eISBN-13:\u003c\/b\u003e 9781948647083\u003cbr\u003e\u003cb\u003ePublisher:\u003c\/b\u003e Cato Institute\u003cbr\u003e\u003cb\u003eLanguage:\u003c\/b\u003e English\u003cbr\u003e\u003cb\u003ePublished:\u003c\/b\u003e 10\/22\/2018\u003cbr\u003e\u003cb\u003ePages:\u003c\/b\u003e 230\u003cbr\u003e\u003cb\u003eFormat:\u003c\/b\u003e Paperback\u003cbr\u003e\u003cb\u003eWeight:\u003c\/b\u003e 0.65lbs\u003cbr\u003e\u003cb\u003eSize:\u003c\/b\u003e 8.50h x 5.50w x 0.52d","brand":"George Selgin","offers":[{"title":"Paperback","offer_id":44043006804223,"sku":"9781948647083","price":16.95,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0662\/2982\/9887\/files\/img_761c02a8-f343-4af0-96ac-4de1e1f5b2fc.jpg?v=1684964746","url":"https:\/\/www.whiterainbookhouse.com\/products\/floored-george-selgin-9781948647083","provider":"WR Book House","version":"1.0","type":"link"}