Optimize IAS
  • Home
  • About Us
  • Courses
    • Prelims Test Series
      • LAQSHYA 2026 Prelims Mentorship
      • Prelims Test Series 2025
    • CSE Integrated Guidance 2025
      • ARJUNA PRIME 2025
    • Mains Mentorship
      • Arjuna 2026 Mains Mentorship
  • Portal Login
  • Home
  • About Us
  • Courses
    • Prelims Test Series
      • LAQSHYA 2026 Prelims Mentorship
      • Prelims Test Series 2025
    • CSE Integrated Guidance 2025
      • ARJUNA PRIME 2025
    • Mains Mentorship
      • Arjuna 2026 Mains Mentorship
  • Portal Login

Tapering

  • December 18, 2021
  • Posted by: OptimizeIAS Team
  • Category: DPN Topics
No Comments

 

 

Tapering

Subject – Economy

Context – THE US Federal Reserve said that it will curtail its extraordinary policy support for the American economy more quickly than predicted and underscored its plans to hike interest rates three times next year.

Concept –

  • Fed tapering is the gradual reduction in the bond buying program of the US Federal Reserves.
  • Tapering is the gradual winding down of central bank activities used to improve the conditions for economic growth.
  • Tapering activities is primarily aimed at interest rates and investor expectations of what those rates will be in the future.
  • These can include conventional central bank activities, such as adjusting the discount rate or reserve requirements, or more unconventional ones, such as quantitative easing (QE).
  • In layman terms, it can be said that in ‘Quantitative Easing , there is increase in dollar supply and in Fed tapering, there is decrease in dollar supply.

To know more about Tapering, please refer August 2021 DPN.

economy Tapering

Recent Posts

  • Daily Prelims Notes 23 March 2025 March 23, 2025
  • Challenges in Uploading Voting Data March 23, 2025
  • Fertilizers Committee Warns Against Under-Funding of Nutrient Subsidy Schemes March 23, 2025
  • Tavasya: The Fourth Krivak-Class Stealth Frigate Launched March 23, 2025
  • Indo-French Naval Exercise Varuna 2024 March 23, 2025
  • No Mismatch Between Circulating Influenza Strains and Vaccine Strains March 23, 2025
  • South Cascade Glacier March 22, 2025
  • Made-in-India Web Browser March 22, 2025
  • Charting a route for IORA under India’s chairship March 22, 2025
  • Mar-a-Lago Accord and dollar devaluation March 22, 2025

About

If IAS is your destination, begin your journey with Optimize IAS.

Hi There, I am Santosh I have the unique distinction of clearing all 6 UPSC CSE Prelims with huge margins.

I mastered the art of clearing UPSC CSE Prelims and in the process devised an unbeatable strategy to ace Prelims which many students struggle to do.

Contact us

moc.saiezimitpo@tcatnoc

For More Details

Work with Us

Connect With Me

Course Portal
Search