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Federal Reserve Bank of St. Louis
Economic Synopses
Taming the long-term spreads
Massimo Guidolin
Yu Man Tam

Given the size of the underlying markets, cutting the cost of capital to firms and households by reducing the yields required on long-term corporate bonds and mortgages is a key policy objective.

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Massimo Guidolin & Yu Man Tam, "Taming the long-term spreads" , Federal Reserve Bank of St. Louis, Economic Synopses, number 26, 2009.
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Keywords: Government securities ; Monetary policy ; Interest rates
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