That sounds like it could make our market illiquid. New solution. Don't give the banks free money. Give money to everyone with a loan. Then if someone needs more they can borrow it from a bank. Where would the bank get the cash? They can pay it to savers with interest.
If when there is a liquidity problem the fed give to the people we flip the whole game upside down. Then the bank has to rent purchasing power from us.
That sounds like it could make our market illiquid. New solution. Don't give the banks free money. Give money to everyone with a loan. Then if someone needs more they can borrow it from a bank. Where would the bank get the cash? They can pay it to savers with interest.
If when there is a liquidity problem the fed give to the people we flip the whole game upside down. Then the bank has to rent purchasing power from us.
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