$3.5T Not As Big As You Might Think

[pknopp]

Thanks for the links.
Neither one mentions SDRs.
Are we off that claim?

My claim hasn't changed.

 

[Toddsterpatriot]

My claim hasn't changed.

Was your claim that SDRs would replace the dollar?

 

[pknopp]

Was your claim that SDRs would replace the dollar?

You understand my claim.

 

[Flash]

The US is over $28 trillion in debt. The goddamn Democrats want to make it $31 trillion so they can pay off their filthy ass welfare queens, Illegals and Environmental Wackos.

 

[Toddsterpatriot]

You understand my claim.

You don't believe in SDRs? LOL!

 

[pknopp]

The US is over $28 trillion in debt. The goddamn Democrats want to make it $31 trillion so they can pay off their filthy ass welfare queens, Illegals and Environmental Wackos.

View attachment 545820

Just like those who came before them.

 

[elektra]

Yes, it is the Democrats that will destroy the country. It is sad, but they are American Marxist. Democrats are no longer the party of John F. Kennedy or Patric Monyihan.

Democrats are radicals, who do not believe in private property, free speech, or protecting our way of life. They are enamored with the tyrants of the world. They worship the tyrants and kneel at the tyrants feet, begging for riches, trading away pieces of our country.

Dirty and corrupt. That is why they hated Trump and now all of us, because we expose them, we shine a light on them, like cockroaches.

 

[g5000]

So let me get this straight...you are fine with government giving or gifting people that earn $800,000 per year $12,500????? when we are neck deep in serious debt and just had to raise the debt ceiling meaning more printing of money backed by nothing??? are you insane?....

Rambunctious, you must know by now just how much I HATE tax expenditures. They are my number one pet peeve.

 

[Lesh]

Wouldn't paying off the principal on the debt remove money from the economy?

If the Treasury paid off my $10,000 T-Bill, how is that money removed from the economy?

Yes


You have zero understanding of how the Fed works.

The Fed creates money out of thin air and then lends that money out. They lend it to banks at very low interest rates but very large amounts of money. Those banks that receive those loans then lend that money at somewhat higher rates. Those banks lend that money to YOU for mortgages or car loans or business loans or whatever.

When you pay those loans back they go ....poof. they go back to thin air.

Sounds crazy but that's how it works. As long as those loans are rolled over...they create interest and profits.

When loan are paid back they can't generate interest...can they?

That money has been removed from the economy...and that's a problem

 

[Toddsterpatriot]

Yes


You have zero understanding of how the Fed works.

The Fed creates money out of thin air and then lends that money out. They lend it to banks at very low interest rates but very large amounts of money. Those banks that receive those loans then lend that money at somewhat higher rates. Those banks lend that money to YOU for mortgages or car loans or business loans or whatever.

When you pay those loans back they go ....poof. they go back to thin air.

Sounds crazy but that's how it works. As long as those loans are rolled over...they create interest and profits.

When loan are paid back they can't generate interest...can they?

That money has been removed from the economy...and that's a problem

The Fed creates money out of thin air and then lends that money out.

They lend over night to banks at the Fed Discount Window.

They lend it to banks at very low interest rates but very large amounts of money.

Currently, loans to banks are about $500 million. Chickenfeed.

Those banks that receive those loans then lend that money at somewhat higher rates. Those banks lend that money to YOU for mortgages or car loans or business loans or whatever.

Nope. Borrowing overnight to lend for a 30 year mortgage would be stupid.

When you pay those loans back they go ....poof. they go back to thin air.

Why are you talking about the Fed? My comment was about a T-Bill.
That's the US Treasury, not the Fed.

 

[Lesh]

The Fed creates money out of thin air and then lends that money out.

They lend over night to banks at the Fed Discount Window.

They lend it to banks at very low interest rates but very large amounts of money.

Currently, loans to banks are about $500 million. Chickenfeed.

Those banks that receive those loans then lend that money at somewhat higher rates. Those banks lend that money to YOU for mortgages or car loans or business loans or whatever.

Nope. Borrowing overnight to lend for a 30 year mortgage would be stupid.

When you pay those loans back they go ....poof. they go back to thin air.

Why are you talking about the Fed? My comment was about a T-Bill.
That's the US Treasury, not the Fed.

Dude. You have said nothing that refutes what I said. That IS how the Fed and the banks work.

It's all bout the interest.

Money is created out of thin air and when it is paid back that money goes "poof"

 

[Lesh]

Why are you talking about the Fed? My comment was about a T-Bill.

The Fed creates the money that becomes that T Bill

 

[Toddsterpatriot]

Dude. You have said nothing that refutes what I said. That IS how the Fed and the banks work.

It's all bout the interest.

Money is created out of thin air and when it is paid back that money goes "poof"

Dude. You have said nothing that refutes what I said.

You said the Fed loans very large amounts of money to banks.

$500 million, on an $8.5 TRILLION balance sheet, is less than a rounding error.

 

[Rambunctious]

Rambunctious, you must know by now just how much I HATE tax expenditures. They are my number one pet peeve.

Then you can't support this bill....

 

[g5000]

Then you can't support this bill....

Of course not!

 

[Lesh]

Dude. You have said nothing that refutes what I said.

You said the Fed loans very large amounts of money to banks.

$500 million, on an $8.5 TRILLION balance sheet, is less than a rounding error.

https://www.cato.org/publications/commentary/how-federal-reserve-literally-makes-money

Here they are are talking about 2 Trillion. Not 500 million.

In reality ALL money is "CREATED" by the Fed and loaned out to banks who lend it to you.

ALL of it.

That's literally where it comes from.

Where did you think it comes from?

 

[Toddsterpatriot]

The Fed creates the money that becomes that T Bill

Money doesn't become a T-Bill.

 

[g5000]

The Fed creates the money that becomes that T Bill

Uhhhhh...no.

 

[Toddsterpatriot]

https://www.cato.org/publications/commentary/how-federal-reserve-literally-makes-money

Here they are are talking about 2 Trillion. Not 500 million.

In reality ALL money is "CREATED" by the Fed and loaned out to banks who lend it to you.

ALL of it.

That's literally where it comes from.

Where did you think it comes from?

Here they are are talking about 2 Trillion. Not 500 million.

I don't care what they are saying. I care about your silly claim.

In reality ALL money is "CREATED" by the Fed

BZZZT. Wrong. The Fed balance sheet is $8.5 trillion.
M2 is just under $21 trillion.

 

[Lesh]

Here they are are talking about 2 Trillion. Not 500 million.

I don't care what they are saying. I care about your silly claim.

In reality ALL money is "CREATED" by the Fed

BZZZT. Wrong. The Fed balance sheet is $8.5 trillion.
M2 is just under $21 trillion.

But wait...I thought you said the Fed balance sheet was 500 million?