You know it's bad when a term like "Quantitative Easing" gets more press than Lindsay Lohan. Many of us, though, don't know what it means exactly. In short, it is a way for the Federal Reserve (the Fed) to help the economy grow by pumping money into the economy. Using supply and demand - let's show what's going on here. If the demand for money remains unchanged while the Fed acts, what happens to the "price" of money? If the price of money goes down, what happens to the quantity demanded of other things like exports and investing in capital?
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