Abstract
My thesis studies the effect of QE on wealth distribution. It analyzes how the QE1 policy in Unite States between 2008 and 2010 affects wealth inequality, which has been well documented in empirical literature but the channels of these effect are rarely discussed in theoretical literature. In this paper, I set up a general equilibrium model with financial sectors to study these channels and shows that MPC mechanism plays an important role that affects wealth inequality. Meanwhile this paper also studies the cross effect between QE and macroprudential policy. Based on the model I also do some quantitative analysis,from which findings are consistent with the data.