Chapter 17 Data Exploration Question #5: Prior to the financial crisis of 2007-2009, the Fed seldom reduced its holdings of Treasury securities. Plot for the 2007-2009 period the Feds Treasury holdings (FRED code: TREAST) and its total assets (FRED code: WALCL) on a weekly basis. Did the Feds practices change during the crisis? If so, how? (Hint: Examine Table 17.1 to help with your response.)

FRED Assets: Securities Held Outright: U.S. Treasury Securities: All: Wednesday Level - Assets: Total Assets: Total Assets (Less Eliminations From Consolidation): Wednesday Level 2,400,000 2,200,000 2,000,000 1,800,000 1,600,000 Millions of U.S. Dollars 1,400,000 1,200,000 1,000,000 800,000 600,000 400,000 2007-05 2007-09 2008-01 2008-05 2008-09 2009-01 Source: Board of Governors of the Federal Reserve System (US) FRED Assets: Securities Held Outright: U.S. Treasury Securities: All: Wednesday Level - Assets: Total Assets: Total Assets (Less Eliminations From Consolidation): Wednesday Level 2,400,000 2,200,000 2,000,000 1,800,000 1,600,000 Millions of U.S. Dollars 1,400,000 1,200,000 1,000,000 800,000 600,000 400,000 2007-05 2007-09 2008-01 2008-05 2008-09 2009-01 Source: Board of Governors of the Federal Reserve System (US)