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Also, a substantial portion of that $1T is money that the government owes to itself. For example, the Fed purchased a large amount when it was doing QE. It s
by bryanlarsen 3y ago
Also, a substantial portion of that $1T is money that the government owes to itself. For example, the Fed purchased a large amount when it was doing QE.
It seems silly to count money that moves from one pocket to another within the Federal government.
- cinntaile 3y agoBy that logic it should be fine if the government borrows $999999T (or any other massive number) from itself.
- achandlerwhite 3y agoFrom an interest payment perspective that would be just fine. From a money supply perspective not so good, but that's not what this article is about.
- riku_iki 3y ago> the government owes to itself. For example, the Fed purchased Fed and government are separate entities. That debt can't disappear because "we owe to our-self".