Why the Federal Reserve is pouring money into the financial system
The money absolutely impacts the economy and the individual. If the fed were not providing this printed money to the banks, the banks would need to do some combination of the following to increase liquidity:<p>1) Increase interest rates to attract new deposits<p>2) Sell assets — such as foreclosed homes now in the banks possession<p>With house prices at all time highs and interest rates at all time lows, both 1&2 sound great to me and absolutely have a direct impact on me.