Vapid Criticisms The current problem is the intersection of inflation vs interes

Vapid Criticisms
The current problem is the intersection of inflation vs interest rates to suppress it, and no possibility of buyback from the treasury on 2% securities that they could then re-issue at 5% at tiny cost to taxpayers.

This would prevent both SVB failure AND contagion because it was a simple liquidity problem caused by the delta in interest rates due to the killing of the bond market by the treasury by increasing interest rates. I don’t see distortion out there. I see debt out there. But not distortion.

The government, treasury, and fed must choose a delicate balance of regulation that doesn’t constrain investment, but maybe constrains debt expansion, and maybe just consumer debt expansion, and to do that the treasury would have to bring (almost) ALL credit (credit money) expansion IN HOUSE.

Because no one is going to run an economy today on 100% reserves unless the want the entire financial sector to move somewhere that doesn’t.

Cheers