“”The change essentially allows the Fed to denote losses by the various regional reserve banks that make up the Fed system as a liability to the Treasury rather than a hit to its capital. It would then simply direct future profits from Fed operations toward that liability.
This enhances transparency by providing clearer, more frequent, snapshots of the central bank’s finances, analysts say. The bonus: the number can now turn negative without affecting the central bank’s underlying financial condition.””
______
It is becoming a Brave New World where the government makes something more obscure but says that it enhances transparency.
“It is becoming a Brave New World where the government makes something more obscure but says that it enhances transparency.”
Well said this has become a well used tactic they try to change the facts by (propaganda)changing the dialogue. Fits right in with obama pushing new spending.