3/18/09

Where did the Federal Reserve get $1,050,000,000,000to purchase agency and Treasury securities?

…the Committee decided today


to increase the size of the Federal Reserve’s balance sheet further


 by purchasing up to an additional $750 billion


of agency mortgage-backed securities


 


…the Committee decided to purchase


 up to $300 billion of longer-term Treasury securities


 over the next six months


 


Federal Open Market Committee


The Board of Governors of the Federal Reserve System


March 18, 2009


If the US Constitution says


 


All bills for raising Revenue shall originate in the House of Representatives


 


and the Federal Reserve announces


 


Purchases will be financed through the creation of additional bank reserves


 


to buy agency and Treasury securities


 


is creating money out of nothingness raising revenue


and will some foreign investors become more reluctant


to purchase agency and Treasury securities


because the Federal Reserve is?


 


How can the Fed


unilaterally increase American money supplies?


 


No State shall… make any Thing but gold and silver Coin


 a Tender in Payment of Debts


 


Article I, Section 10, Clause 1


The Constitution of the United States

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