When central banks engage in quantitative easing, they are acting in their role as banker to the government.

Question

Quizplus · Accepted Answer

Quantitative easing is a monetary policy tool used by central banks to inject money directly into the economy, primarily by purchasing government securities or other securities from the market to lower interest rates and increase liquidity, rather than acting as a banker to the government.

When Central Banks Engage in Quantitative Easing, They Are Acting