Okay I’m hoping someone can explain this to me because I’m having a hard time understanding this.
Per Federalreserve.gov bank reserve requirements were set to 0% in 2020 which essentially means banks can (infinitely?) loan out as much money as they want/can with no reserves. Which is inflationary in nature. Does anyone know why the Federal Reserve wouldn’t increases the reserve limit along with raising rates to curb inflation? Which apparently is their main goal.
Second question, are we actually living in a ponzi?
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