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when the fed writes a check to a bank, the money isn't deducted from an account, it's new money created out of thin air. when the fed receives a check from a b
by nerfhammer 7y ago
when the fed writes a check to a bank, the money isn't deducted from an account, it's new money created out of thin air.
when the fed receives a check from a bank, the money doesn't get deposited and stored in some account, the money just stops existing.
- zocoi 7y agoAny source to back this statement? I’m curious if fed actually destroyed the money after repayment
- nerfhammer 7y agoliterally any macroeconomics textbook. it's the whole point of the fed. terms to google: "monetary policy", "open market operations"