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February 6, 2018 5:32 AM

the Federal Reserve bought tens of trillions of dollars of T-bills from the Treasury. They did this in order to lower the bond rates as a way to incentivize equity. In other words, the Federal Reserve tipped the scales in favor of corporations at the cost of the public. No, they bought T-bills on the ‘open market’ from banks. They also bought mortgage backed securities (MBS) from the banks too. The point of that was to give the banks cash so they wouldn’t fail. They also thought that “creating” all that extra cash would help generate some inflation because when… Read more »

February 6, 2018 12:14 PM
Reply to  Teodrose Fikre

Stupid or Evil really is the question. Never in the history of the world have nations been able to borrow their way out of debt, it is debt that eventually kills empires. Close. Actually it is private debt that kills empires. There is no such thing as government debt, since we left the gold standard. The Government can print as many dollars as it wants to, as long as it doesn’t have debts denominated in foreign currency all it has to do is punch in some numbers on a keyboard and it has the dollars to pay off any amount… Read more »

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