Finally, in 2003, Congress authorized any Federal Reserve asset to back Federal Reserve note
17 letter, Curtiss Greer states: "Last week in my bank I asked whether I could deposit federal reserve notes
into my account.
In addition to requiring an elastic currency, the Federal Reserve Act also authorizes the Federal Reserve to issue Federal Reserve notes
to depository institutions through the Federal Reserve Banks.
Substituting privately issued money for Federal Reserve notes
may have important implications for the behavior of the money supply because it affects bank reserves and the interest sensitivity of the monetary aggregates.
Even less were the Founders subject to the modern delusion that a paper promise to pay (such as a Federal Reserve Note
) not only can substitute for real money for a while, but even can supplant it permanently.
Treasury Note or a Federal Reserve Note
as if there were no differences.
Part of the agreement's headline reads: "United States of America: Federal reserve notes
department in agreement with Kenya government under the authority of Kenya Central Bank."
Before passage of the Wyoming Legal Tender Act, the laws of that state required that all debts be paid in Federal Reserve notes
or in coins issued by the government of the United States.
was consolidated into Federal Reserve Notes
, United States Notes, and Silver Certificates; privately issued bank notes were eliminated.
In particular, Rogoff proposes that, at a minimum, large-denomination Federal Reserve notes
First, currency (Federal Reserve Notes
) increased from $758 billion to $1,407 billion, an average annual growth rate of about 6 percent.
Yet, we've seen four years of the Federal Reserve--now on its third quantitative-easing program--experimenting with its own type of greenback program, creating new money out of thin air in the form of credits in Federal Reserve Notes
to purchase trillions of dollars of bonds from big banks and hedge funds.