The only way the Fed can create money is by adding securities to their balance sheet.
BFS!
I always thought the Fed bought Treasuries (usually) from a Primary Dealer and credited their account at the Fed with newly created money. I await your explanation of how it really works.
127 posted on 04/30/2008 6:08:01 AM PDT by Toddsterpatriot
(Why are doom and gloomers, union members and liberals so bad at math?)