Re:FDIC set to take First Republic Bank into receivership
by closeparen on Saturday April 29, 2023 @12:01PM
(#35754156)
The government needs money to buy goods and services. Extra cash chasing the same pool of goods and services is definitely inflationary.
It also needs money to do weird, dark magic with bank balance sheets so that businesses can continue to acquire the capital to maintain and grow the supply of goods and services. It’s less clear what extra money sloshing around the financial system does. In the post-2008 era, people were freaking out about it not doing enough.
It also needs money to do weird, dark magic with bank balance sheets so that businesses can continue to acquire the capital to maintain and grow the supply of goods and services. It’s less clear what extra money sloshing around the financial system does. In the post-2008 era, people were freaking out about it not doing enough.