Member Video #22: Collateral Multiplier
Reviewing crucial aspects of the collateral system from the perspective of three source materials. First up, recent findings on the repo market especially the shadow-est part. Then we go over the original collateral multiplier work from Manmohan Singh. Finally, what the Fed’s New York branch has to say about repo fails. Taking the key aspects from each, we can learn a whole lot about what this major part of the monetary shadows really means and can actually tell us.
