RaysGoodLiquor

[quote]The Federal Reserve doesn't have to have any "hard" assets backing anything, nor does it need to given its mission. [/quote] So why do they (until recently maybe?) predominantly buy treasuries? If the value of the asset after they purchase it is not relevant, why not buy ... anything? Tra...

[quote] Ray, no disrespect intended but a bunch of us actually have professional experience in this field. Based on your questions you don't. There's nothing wrong with that, I don't understand a lot of other professions myself but I don't pretend that I do and am willing to sit back and learn in t...

[quote] Who's balance sheet? Be specific[/quote] The balance sheet of the federal reserve bank which bought the asset....

Here's some more improper terminology being used by the law which creates the fed: [quote] Federal reserve notes, [u]to be [b]issued[/b] at the discretion of the Board of Governors of the Federal Reserve System [/u]for the purpose of making advances to Federal reserve banks through the Federal res...

[quote]Ummmmmm.....I'll have to go with 'snob' on that one. [/quote] You can be both. ...

Thanks for wasting my time....

[quote] [quote] All of the treasury obligations, mortgages, etc. that the Fed buys in exchange for newly issued dollars. [/quote] This doesn't happen. You really need to read up on how the Fed works.[/quote] Done. [quote] Open market operations--purchases and sales of U.S. Tr...

[quote]I can explain it to you, but I can't understand it for you. [/quote] Then please explain it to me. What is the fed using to buy the mortgage securities it is obtaining? ME[quote] All of the treasury obligations, mortgages, etc. that the Fed buys in exchange for newly issued dollars....

[quote]Think about what you're saying: the dollar is backed by dollars. That is really what you're saying. [/quote] The dollar is backed by promises to pay a debt in dollars. Yes. [quote] U.S. government debt issued by the Treasury Department are dollar investments which pay interest. If the ...

[quote] It is a mistake to ascribe "sense" to airline prices. The best thing is simply to look for the loopholes and exploit them.[/quote] If more people actually did that, the prices would probably start to make more sense in response....