The conversation between human and AI assistant.
Quantitative Easing: Why is QE used to buy Government Bonds? Why not give direct to consumers?
But wouldn't giving money directly to consumers have a similar effect on the economy?
It's possible, but there are a few reasons why QE is often used instead of direct payments. For one, it's more difficult to target direct payments in a way that would effectively stimulate the economy. QE also helps to keep interest rates low, which can make it easier for businesses and consumers to borrow money and invest in the economy.