The Term Auction Facility (TAF) was designed by the Federal Reserve to inject emergency short-term funds into all depository institutions, both large and small, as a supplement to the lender of last resort discount window offerings. We examine the evolution of the Federal Reserve's design of the...

The Covid-19 Pandemic and policy response rattled the USTreasury markets. Conventional US Treasuries, inflation adjustedUS Treasuries, and the relationship between the two developed inways such that ignoring changes in real interest rates yielded dis-torted inflation expectations estimates....

Starting on December 18, 2008 the Federal Reserve began paying 25 basis points (bps) on the reserves of depository institutions. Theory argues that the rate paid on reserves establishes a floor for the federal funds market. Nonetheless, the effective federal funds rate has stayed well below this...