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A comment on Fed takes over AIG. Parent comment

Re:Fed takes over AIG by quasimojo on Wednesday September 17, 2008 @12:20AM (#306676)
where does the treasury and fed get the money? THEY PRINT IT

a 1982 law lets treasury notes be redeemed with CREATED accounts, as in one of the partner banks of the reserve simply creates a new account by punching in the digits, and they assign it to you

once again, this is law since 1982

this is why US treasuries have 100% certainty inside the USA while the US dollar still exists

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Re:Fed takes over AIG by azharcs on Wednesday September 17, 2008 @12:28AM (#306680)
Wouldn't that increase inflation.
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Re:Fed takes over AIG by corentin on Wednesday September 17, 2008 @02:34AM (#306755)
Printing money is by definition inflation (so, yes).
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Re:Fed takes over AIG by nradov on Wednesday September 17, 2008 @10:21PM (#307796)
Yes it will increase inflation, but not enough to overcome the deflation currently under way due to credit destruction. Real inflation is a monetary phenomenon driven by the availability (or lack thereof) of cash and credit. Most lenders have been withdrawing credit at rapid pace.
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Re:Fed takes over AIG by steveplace on Wednesday September 17, 2008 @07:33AM (#306921)
That's why they fudge a little bit when they report CPI and PPI data.
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Re:Fed takes over AIG by albertcardona on Wednesday September 17, 2008 @01:27AM (#306716)
Inflation is yet another form of taxation. A subtle, criminal one, that undermines your savings while you sleep.
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Re:Fed takes over AIG by huherto on Wednesday September 17, 2008 @10:43AM (#307041)
Do you know for a fact that they will print it?

I would imagine they would have other alternatives.

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