Quantitative easing

[wellinghall]

Taking a leaf out of philmophlegm's book -

Can someone (maybe the estimable philmophlegm himself) explain quantitative easing to me? More specifically - how can the government both be selling gilts to the market, and buying back gilts from the market, at the same time?

Thank you!

Comments

[philmophlegm.livejournal.com]

True. I was just worried that this is going to turn into a series...

[wellinghall.livejournal.com]

Have no fear! There may be one or two follow-up questions on points of detail in your comment, but I'm not angling for a job as Governor of the Bank of England. (Or doorman there, no matter how nice their coats).