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  • What does FED do with the interest it earns?

    FED came into existance in 1913 for the purpose of controlling the money supply by lending to banks at higher or lower interest rates. I just read from wikipedia that this interest after expenses goes to the treasury. I think this interest must be a LOT. What does the treasury do with this amount? Case...
    Posted to Economics Questions (Forum) by Gautham Anil on Sun, Sep 5 2010
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