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Loaning money "into the economy" doesn't destroy reserves.

If the banks with these $4 trillion in reserves decided to make $4 trillion in new loans, that money ends up as reserves in other banks. And those banks would still get interest on those reserves. Durr.

1 posted on 12/24/2015 10:30:21 AM PST by Toddsterpatriot
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To: Toddsterpatriot

Never enough! Fed, “Buy our worthless Treasury bills, notes & bonds.”


2 posted on 12/24/2015 10:39:46 AM PST by stocksthatgoup (Trump and Cruz are not attacking each other. Why don't their follows take note)
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To: Toddsterpatriot

Never enough! Fed, “Buy our worthless Treasury bills, notes & bonds.”


3 posted on 12/24/2015 10:39:47 AM PST by stocksthatgoup (Trump and Cruz are not attacking each other. Why don't their follows take note)
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To: Toddsterpatriot

So they are bailing out the TBTF banks again?


4 posted on 12/24/2015 10:41:09 AM PST by PAR35
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To: Toddsterpatriot

So that’s why we don’t have high inflation, they’r keeping the money out of the public.


12 posted on 12/24/2015 1:29:34 PM PST by stockpirate (IF ISIS IS CONTAINED THEN THE REFUGEES CAN GO HOME!)
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