Letter Sent to FED chair
January 6, 2017
Uncategorized
Letter sent to Chair of Federal Reserve and its community functions
To the chair of the Federal Reserve Bank Janet Yellen, and others
Please, when you are addressing the educators on January 12, 2017 please address this concept of NewOldMoney. It comes from the history of the FED in that it bailed out so many segments of the private sector since 2008 but it in that time it has failed to bail out urban mom with age 0-6 at risk children. They are short the capacity to deliver their children really ready to read, count and understand positive expectations as the first things first thing to do to cut off the gap in growth economics, education, emotions and ethics.
The FEDS role within monetary policy is all powerful as demonstrated in this post. https://www.newyorkfed.org/markets/mbs_faq.html
The FEDS role in a concept of NewOldMoney is all over this blog. https://www.usavaluesii2.com/blog/
Mortgage Backed Securities purchased by FEDERAL RESERVE BANK of NEW YORK, never done before 2009 and 2010. 1.25 trillion dollars created and used to bail out the industry because cash flows were congested in the private sector. Decision made by Federal Open Market Committee and the funds were created overnight.
First the FED creates the money on its books by debiting cash and crediting reserves or equity. Then it spends the cash on these mortgaged backed securities putting the cash liquidity into the marketplace to solve the congestion for the private sector. This is controlled by the FOMC as a part of monetary policy which is done independent of congress or the president.
The FED has unlimited money through this process. It relieves constraints in the private sector through this process. There should be no constraint in finding the NewOldMoney for really-ready to read skills in urban communities.
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