Whoops, I should have said: If you're a bank and you borrow money at 3% from the Federal Reserve; because, the economy is improving, which is increasing demand for loans from your costumer, and you use the money borrowed from the Fed to make loan to customers at 5%, then the spread is a couple of points, (eg percentage points or the bank's profit margin.). FYI, a bank's inventory is money, (eg its merchandise).
This is the way money is really created, by the FEd, not buy the government starting up the proverbial printing presses. LOL Regards, LelandJ On 11/12/2010 04:32 PM, Leland Jackson wrote: > If you're a bank and you borrow money at 3% from the Federal Reserve; > because, the economy is improving making, which is increasing demand for > loans from your costumer, and you use the money borrowed from the Fed to > make loan to customers at 5%, then the spread is a couple of points, (eg > percentage points or the banks profit margin.). A bank's inventory is > money. > > This is the way money is really created, not buy the government starting > up the proverbial printing presses. LOL > > Regards, > > LelandJ > _______________________________________________ Post Messages to: [email protected] Subscription Maintenance: http://leafe.com/mailman/listinfo/profox OT-free version of this list: http://leafe.com/mailman/listinfo/profoxtech Searchable Archive: http://leafe.com/archives/search/profox This message: http://leafe.com/archives/byMID/profox/[email protected] ** All postings, unless explicitly stated otherwise, are the opinions of the author, and do not constitute legal or medical advice. This statement is added to the messages for those lawyers who are too stupid to see the obvious.
