Thursday, May 23, 2019

Changing Congressional minds on right to coin

The problem is two, one the CB is government lender of last resort and two, the dollar is a monopoly tax currency.  We cannot solve both in one contract, to uncertain.  Hence, a New Fed, fully functional with agencies in the Fed system is a gain from the monopoly tax dollar, a gain to the New Fed.

It will be the New Fed that has first right of contract renewal. Congress is not likely to name new tax monies in the first 15 years.  Congress would have to go full sandbox, they cannot do that except in steps.  The New Fed is making a long term lease on a government pricing power, and it has a positive price to be paid, currently.

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