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0 pointssmanek15y ago0 comments

If they bought the bonds from the treasury instead of the market, the newly printed money would be in the hands of the treasury. They want it in the hands of the private sector - which makes sense.

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ahi15y ago

Treasury bonds finance Federal spending which ends up in the hands of the private sector--a much broader swathe of the private sector. Buying them from the private sector just means a select group of banks get to slice off a chunk before it gets to the rest of the economy.

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