Because instead of limiting
the overall availability of credit like it did in the past, the Fed now limits the credit available to other prospective borrowers by grabbing more for itself, which it then passes on to the U.S. Treasury and to housing agencies whose securities it purchases.
«
Credit availability in April was unchanged
overall, but the components told different stories,» says Joel Kan, associate vice president
of economic and industry forecasting for the MBA, in a statement.