[GourmetDan]

"The Fed doesn't issue debt."

That's right. The Fed creates 'fiat' with an accounting entry that it injects into the economy as 'cash' by buying debt. It collects interest on this debt that it 'bought' with an accounting entry. Pretty cool gig, if you can get it.

[Toddsterpatriot]

It collects interest on this debt that it 'bought' with an accounting entry.

Where does all the interest go that they collect?

Break it down for me.