FPI Comments on Federal Reserve Action
April 17, 2020 Recently, the Federal Reserve took a welcome step forward for states struggling in the wake of the pandemic by creating a new way to lend money directly to states and municipalities. Through the Municipal Liquidity Facility, New York and other states struggling with a sudden drop-off in much-needed revenue can now access the funds needed to cover essential services. While this is helpful in the short-term, states will need to borrow until their revenues recover. And that would require the facility to be expanded: loan [...]