How can I edit Is the Federal Reserve buying too many Mortgage Backed Securities? to make in on topic?

I just mean if Federal Reserve bought so many MBS that if the mortgages default, financial crisis of 2008-2009 will happen again.

  • $\begingroup$ Even if all of the FEDs MBSs default, that would not, in itself, deepen the crisis. The Fed could just choose to eat the losses or even completely forgive the debt. No skin off their back. If too many MBSs owned by other banks default, that would of course deepen the crisis. $\endgroup$ – Keith Knauber Apr 6 '20 at 3:58

You must log in to answer this question.

Browse other questions tagged .