Although the Federal Reserve had traditionally made discount loans only to ________,in response to to the financial crisis in 2008 the Fed made primary dealers eligible for discount loans as well.

Question

Quizplus · Accepted Answer

The Federal Reserve traditionally made discount loans only to commercial banks. However, during the 2008 financial crisis, the Fed extended this facility to primary dealers, which include investment banks, to stabilize the financial system.

Although the Federal Reserve Had Traditionally Made Discount Loans Only