Feb 11, 2023
What is the difference between Federal Reserve printing money and the US government borrowing money? And if there is a difference, should we prefer one over the other?
Given all the discussion lately about the debt ceiling, the arguments about it, the arguments to just eliminate it and allow the government to continue borrowing an unlimited amount and the Federal Reserve potentially having to step in and print the money for that.
The lines can get kind of blurred as to what is printing, what is borrowing whenever the government spends.
So, I’m going to break down for you the three types of government income that are even possible. How it funds its expenses. And then you’ll be able to see which one is preferable.
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