By that time, older Americans will constitute about 19 percent of the U.S. population, a greater share than of the population of Florida today. This coming demographic transition is the result both of the reduction in fertility that followed the postWorld War II baby boom and of ongoing increases in life expectancy.
The US Fed has coined the term “credit easing” 1 to cover such policies. All these measures involve changes in either the composition or the size of central bank balance sheets. While all are aimed at sustaining the flow of credit in the economy, some do so by working on credit demand, while others aim to stimulate the supply of credit.