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To: RC one
Where does the US government spend FRNs?

Wars. jet fighters and other military equipment and defense projects. welfare. various government operations. etc

The government spends FRNs on those things? What, are you 100 years old? LOL!

The fed purchases plenty of those securities.

Your original graph didn't show that.

Every dollar in circulation represents an IOU.

Not a Treasury IOU.

If all the bank loans were paid, no one could have a bank deposit, and there would not be a dollar of coin or currency in circulation.

LOL! Bonds, notes and bills would allow currency in circulation without bank loans. Think commercial paper and money market accounts.

Federal Reserve Notes, in circulation today, represents a debt owed to the Federal Reserve System.

FRNs are a liability of the Fed.

The Federal Reserve System only issues money when a rate of return is paid on that money to keep it in circulation.

Maybe you can tell me the rate of return paid on my $20?

And so contrary to what one might believe, bank interest is never paid out of a debtor's assets.

That's funny. When I pay my mortgage, I pay using my assets.

couldn't have said it better myself.

That's not saying much.

49 posted on 06/08/2014 10:27:52 PM PDT by Toddsterpatriot (Science is hard. Harder if you're stupid.)
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To: Toddsterpatriot

Wow you’re smart. So what’s your take on the US economy?


54 posted on 06/08/2014 10:50:14 PM PDT by driftdiver (I could eat it raw, but why do that when I have a fire.)
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To: Toddsterpatriot
The government spends FRNs on those things? What, are you 100 years old? LOL!

You're obfuscating the argument because you know you're wrong. Numbers on a computer screen still represent federal reserve notes and federal reserve notes, be they actual paper or characters ion a computer screen, still represent a debt owed to the federal reserve bythe US government/US taxpayers.

Being rude, dicky, and complicated doesn't make you right I'm afraid.

Your original graph didn't show that.

It wasn't intended to and that doesn't change the facts either.

couldn't have said it better myself.

That's not saying much.

Again, being rude and dicky doesn't help your case. These were the words of a former credit Manager of the Federal Reserve Bank of Atlanta, one Robert H. Hemphill. You seem to think you know more than him. I don't think you do.

The facts are clear, any and all federal reserve notes in circulation, be they actual paper notes or characters on a computer screen, represent a debt owed to the federal reserve banking cabal by the tax payers of the Unites States. All legal tender originates with the federal reserve bank and they don't just let us use it for free.

Congress requires money to pay bills. When taxes are insufficient to cover their liabilities, they issue a treasury note to the federal reserve bank WHICH IS AN IOU AND which then creates, via smoke and mirrors, circulating federal reserve notes.

This is nothing new. How it all works is well documented.

Bottom line: you're wrong.

59 posted on 06/08/2014 11:19:44 PM PDT by RC one (Militarized law enforcement is just a nice way of saying martial law enforcement.)
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