Wednesday, January 5, 2022

Helicopter money & Quantitative easing

 

Helicopter money

Helicopter money is the term used for a large sum of new money that is printed and distributed among the public, to stimulate the economy during a recession or when interest rates fall to zero. It is also referred to as a helicopter drop, in reference to a helicopter scattering supplies from the sky.

Quantitative easing

Quantitative easing (QE) is something a central bank can do to help the economy. It is done by buying bonds or other assets. With this, the interest rate will decrease and the rate of inflation will go up. It is usually used when inflation is very low or negative.

Innovative finance topics along with their simple meanings

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