Tuesday, November 24, 2020

You have to put it in a legislated account

Mnuchin Plans to Put $455 Billion Beyond Yellen’s Easy Reach

Mr.Munchkin, you can do nothing except leave it to drift back into reserve balances. 

You have no legislative authority, thus no place to hide it until you get a budget.  We are not making budgets with you anymore.  This guy is bonehead. The opposition will create a virtual account with 455 billion, called the 'Munchkin is an idiot account'. Perfectly legal, and it owns all of those tiny little miniscule accounts pumped by the Munchkin without legal authority.  

This is how the Munchkin made money, trading on some government induced hedge and using insider information.  None of these Trump boneheads are on the side of Due Process banking.
A Treasury spokesperson confirmed a Bloomberg report saying that the reclaimed money will be put into the Treasury's General Fund, but denied that moving it out of the Exchange Stabilization Fund would put the funds off limits.

The funds are tied to expiring Fed lending programs for mid-size businesses, municipal bond issuers and other borrowers, the spokesperson said, adding that any new use, including renewing the facilities, would require congressional approval.

Yellen will give it back to the lending program where it will, again, sit on reserve balances, then it expires, and is returned to reserve balances.

There is now debt backing up that money, so by putting that money in reserve balances, that money avoids taxing itself to pay its own debt costs, a perfect tax dodge, except we don't tax Treasury. One solution is take that money and buy back some debt. Then the money self cancels, get deleted from the chain.

Munchkin is an idiot, and here is a rule:

Money in a treasury account that cannot be allocated by legislation is money that stays in the treasury account. There is no authority, nowhere, in double entry accounting,that can move it from the Treasury account except our friends in the chambers. 

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