To: justshutupandtakeit
Well the Deposits of the earnings of the FR at Treasury were almost $30 Billion in 2001. That is about right. But the problem is the Federal Reserve has no motivation to maximize 'earnings' for the Treasury. The Federal Reserve is a black hole of spending and has accumulated roughly 1/2 trillion dollars in buildings and real estate. The Federal Reserve is in essence a huge beuracratic institution that is wholey subsidized by the fact they create money and charge interest. The Fed performs a neccessary function, but lacks an effective method to keep it in check.
To: Always Right
Geez, the Fed does not CHARGE interest to the Treasury. It receives interest from the treasury like anyone else who buys Bonds.
It is not charged with maximizing profit for the Treasury.
I have no argument about its spending nor about the value of its holdings. Nor would I argue that it cannot be better managed but certainly not by those who know nothing about its operations. That includes most of its critics here.
157 posted on
04/15/2003 2:57:50 PM PDT by
justshutupandtakeit
(RATS will use any means to denigrate George Bush's Victory.)
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