Praet explores QE transmission channels

peter-praet

The European Central Bank (ECB) could achieve greater portfolio rebalancing and signalling effects by buying sovereign rather than corporate bonds, according to chief economist Peter Praet.

Speaking at the Peterson Institute for International Economics last night in Washington, DC, Praet discussed the different transmission channels associated with each policy.

"Purchases of different asset classes will affect private sector financing conditions to varying degrees as they will activate different

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