5 ms·
I don't think most people realize the current required reserve ratio is literally zero. https://www.federalreserve.gov/monetarypolicy/reservereq.htm https://ww
by OnlineGladiator 4y ago
I don't think most people realize the current required reserve ratio is literally zero.
https://www.federalreserve.gov/monetarypolicy/reservereq.htm https://www.federalreserve.gov/monetarypolicy/reservereq.htm
- dannyw 4y agoHonour system for the financial industry. What could go wrong.
- pbourke 4y agoI was trying to find out more about this. The reserve ratio was replaced by an “ample reserves” policy, wherein the Federal Reserve pays an increased interest rate on reserves (a slight discount from the federal funds rate). I wonder how this has played out in reality - do banks have more or less reserves than before this policy change?
- dantheman 4y agoIt's just fraud, demand deposits shouldn't be lent out.
- NovemberWhiskey 4y agoAnd what do you think the relevance of that is, exactly?