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Explain the Real Bills Doctrine and why it was enacted.
The Real Bills Doctrine aimed to stop or reduce speculative stock market loans by banks. This was enacted to increase loans targeting at firms' investments in capital.
The Fed limited the use of the discount window to banks whose own loans were backed by "real bills" (loans with tangible collateral).
The Fed limited the use of the discount window to banks whose own loans were backed by "real bills" (loans with tangible collateral).
Karteninfo:
Autor: savhighsmith
Oberthema: Economics
Thema: History of Economics
Schule / Uni: UGA
Ort: Athens
Veröffentlicht: 11.12.2010