Transcripts of the monetary policymaking body of the Federal Reserve from 2002–2008.

Yes. But if they really want a week-long loan, do we really want to be encouraging our depository institutions coming in to just roll it over one day after one day after one day after one day. It seems to me, that really changes the nature of the way most of our primary credit has been made. For us, in particular, the collateral that most banks use for primary credit is not the sort of securities that they can pull in and pull out very easily—a lot of it is loan collateral and securities of that type. If you really want more collateral on these longer- term loans, making it more than just one day, it seems to me, is too short. I am just wondering if it makes more sense, so that we don’t drastically change the nature of the primary credit window, to say it is longer than 30 days or some other time frame. I realize it is going to be a discrete point at which it turns over. But I just think it would be very awkward, and I don’t think it is really necessary for the very short term end.

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