Jeremy Stein, the Moise Y. Safra Professor of Economics and Chairman of the Department of Economics at Harvard University, discusses the COVID-19 credit programs recently implemented by the Federal Reserve and the US Treasury.
Recording Time Stamps (01:58) What does the Fed do and what are the current lending programs? (09:29) Lender of last resort: how the Fed helped solvent companies in 2008-2009 (17:54) How has COVID affected businesses differently from 2008-2009? (25:35) Venture capitalists of last resort: how the Fed can structure financial support during uncertain times (30:35) Primary Market Credit and Main Street programs explained (39:05) Pitfalls in the current lending structures and possible modifications (48:37) Does less discriminate lending lead to inflation? (54:13) The difficulty of models in an uncertain time and what the market is telling us