Federal Reserve programs during the recent financial crisis sought to provide liquidity to individual firms or industries. An interesting additional question is whether the aggregate amount of liquidity in the economy was appropriate before and during the recent financial crisis.

The boom in real estate prices during the early 2000s and the subsequent bust were key factors underlying the recessions in the United States and Europe.

Current excess reserves could create a massive increase in the money supply if banks significantly increase their lending or investing.

FDI flows from overseas parent companies contracted, but intracompany debt and reinvested earnings were affected much more than equity FDI.>

Our finding is consistent with some recent, substantial volatility in the U.S. corporate bond market and leaves open a possibility that additional, future shocks to default premia may have long-lived effects.

During 1932, with congressional support, the Fed purchased approximately $1 billion in Treasury securities.

The Nordic bank resolution is widely regarded as among the most successful in history. ; Also issued as Monetary Trends, April 2009

Would financial markets and the economy have been better off if the Fed pursued a policy of quantitative easing sooner?

Experience demonstrates that raising reserve requirements is surely not the best way to eliminate excess reserves.

Caution is necessary when making inferences based solely on aggregate loans data.