Is Tapering the same thing as Quantitative Tightening?
- Keith&Jacqueline
- Sep 8, 2022
- 1 min read
Updated: Dec 22, 2022
No. Tapering is the process of reducing the pace of quantitative easing (QE), but the balance sheet is still being expanded, though at a slower rate. Quantitative tightening (QT) reduces the balance sheet. Simply put, tapering occurs between QE and QT.
Comments