Post
Topic
Board Economics
How can the interest on reserves be higher than the federal funds rate.
by
theonewhowaskazu
on 09/10/2014, 00:21:59 UTC
> Federal Reserve paying 0.25% on excess reserves.
> Banks lending reserves to each other at 0.08%.

WTF is going on here.

Sources:
http://www.bloomberg.com/quote/FDFD:IND
http://www.federalreserve.gov/releases/h3/current/