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ECO 561 Week 5 DQ 4

ECO 561 Week 5 DQ 4

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ECO 561 Week 5 DQ 4 -

How do mortgage backed securities work? Why did banks think that selling mortgage backed securities would relieve them of the risks involved with mortgage lending? How did the banks indirectly come to once again be exposed to mortgage lending risk? What happened to bank reserves during the mortgage debt crisis? How did the Fed respond?

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