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To: rb22982
Think whatever you want.

You finally understand what the Fed can do?

The truth is that the Federal Reserve is itself a highly leveraged financial institution.

The Fed owes no money, how leveraged are they really?

"Creditors of central banks...are at no risk of a loss because the central bank can always create additional currency to meet any obligation denominated in that currency,"

92 posted on 01/27/2009 7:37:57 PM PST by Toddsterpatriot (Havoc has been back since September. Or was it April?)
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To: Toddsterpatriot
""Creditors of central banks...are at no risk of a loss because the central bank can always create additional currency to meet any obligation denominated in that currency," "

Yep--Just tell that to Iceland, Zimbabwe, Weimer, etc!

94 posted on 01/27/2009 7:43:38 PM PST by rb22982
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To: Toddsterpatriot

Maybe you think the fed should just print off $100 trillion and mail it out—we’ll all be rich! LOL!


95 posted on 01/27/2009 7:44:13 PM PST by rb22982
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