00:00Is that tax money that the Fed is spending?
00:02It's not tax money.
00:03The banks have accounts with the Fed
00:07much the same way that you have an account in a commercial bank.
00:10So to lend to a bank, we simply use the computer
00:13to mark up the size of the account that they have with the Fed.
00:17So it's much more akin, although not exactly the same,
00:20but it's much more akin to printing money than it is to borrowing.
Commenti