Federal Reserve Balance Sheet

#glossary #economics

The Fed's list of owned assets. They increase (purchase assets) or decrease (sell assets) the size of the balance sheet to both control Treasury bond yields and influence the supply of cash on the open market.

Increasing the balance sheet size stimulates the economy and decreasing the size slows the economy.

• https://www.investopedia.com/articles/economics/10/understanding-the-fed-balance-sheet.asp

• Balance sheet size over time: https://www.federalreserve.gov/monetarypolicy/bst_recenttrends.htm