Replies

To: Justa

Removing $85b/month from the GDP (Fed spending) reduces yearly GDP

Fed bond buying doesn't add to GDP. If it did, it would have added 6% to GDP when it began.

If the Treasury cut spending by $85b/month, I agree, it would reduce GDP.

48 posted on 10/15/2013 6:48:32 AM PDT by Toddsterpatriot (Science is hard. Harder if you're stupid.)

To: Toddsterpatriot

I see your point. However I consider Treasury’s issuance of bonds as deficit spending.

50 posted on 10/15/2013 7:22:45 AM PDT by Justa

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