tag:blogger.com,1999:blog-5713178645208582139.post9105621239258945780..comments2024-03-22T02:37:15.030-05:00Comments on Macro Musings Blog: If Only the Fed Had Been Targeting Nominal IncomeDavid Beckworthhttp://www.blogger.com/profile/04577612979801459194noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-5713178645208582139.post-16522773533641404082008-12-05T20:22:00.000-06:002008-12-05T20:22:00.000-06:00Assume that there were no legal restrictions that ...Assume that there were no legal restrictions that required banks to hold deposits at Federal Reserve Banks. Would the ability of the Federal Reserve Banks to generate their own earnings be affected? The answer is no. To implement its monetary policy objectives, the Federal Reserve would still buy and sell Government securities. Its holdings of Government securities would still represent the Jasonhttps://www.blogger.com/profile/11707747781007743555noreply@blogger.com