Word: short-term
(lookup in dictionary)
(lookup stats)
Dates: all
Sort By: most recent first
(reverse)
...Federal Reserve announced Wednesday afternoon that it was lowering its target short-term interest rate to 1%. Big deal. Almost everybody was already expecting the half-point rate cut that the Fed delivered, and the actual federal-funds rate (as opposed to the target rate) has mostly been below 1% for the past three weeks anyway. The stock market's reaction? A yawn, as the Dow closed down 74 points...
...government debt would struggle to cover their costs and still pay a positive return to investors. The Fed has a new facility in the works, the Money Market Investor Funding Facility, that's intended to ease these pressures. Once that's up and running, don't be surprised if short-term interest rates keep dropping, even to 0% - as was the case in Japan from 1999 to 2006. The Fed would literally be giving money away...
...that wouldn't be the end of it. In November 2002, during his first stint on the Fed - as a mere member of the board, not the chairman - Bernanke gave a now somewhat infamous speech about what central banks could do to fend off deflation even after short-term interest rates hit zero. The Fed could target longer-term interest rates, he argued. It could buy private securities, not just Treasuries. It could, figuratively speaking, drop money out of helicopters...
...tuition rather than new and improved programming may work in the short-term but will be ineffective in the long-term. Instead, the government must make a more concerted effort to develop special-needs programs within the existing public education infrastructure. The money should be channeled directly into the public schools in order to overhaul current failures in the system and make public schools more appropriate learning environments for all students with special needs.Reconstructing schools’ special education capacities is undoubtedly a long-term goal, so the government should explore a number of concrete measures to immediately improve educational...
...deepening of the crisis. Earlier this year, while Icelandic banking executives offered interviews to calm investors, the Financial Times published an influential story revealing an ongoing investigation into hedge funds trying to destabilize the country. Last month, the liquidity freeze made it impossible for Glitnir to roll over its short-term debt, as the krona suddenly depreciated and interest rates soared. Fear rapidly spread to the United Kingdom and the rest of Europe, where residents had deposited billions in the other two Icelandic banks attracted by their high interest rates. Amidst the banking run that immediately followed, the British government...