The Contrarian Take offers up a concise quarterly accounting of Federal Reserve, Foreign Central and US Bank purchases (monetization) of U.S. government debt...
U.S. Government Debt Monetization, September 2012
The Federal Reserve buys or monetizes US government debt - US Treasury and Agency securities, the latter representing the now unconditionally government-guaranteed debt of Fannie Mae and Freddie Mac - simply by writing a check on itself...
Foreign Central Banks monetize US government debt too, buying US dollars by printing their own currencies with which to do it; then, turning around and promptly parking those dollars in US Treasury and Agency securities...
The combined monetization activities of the Federal Reserve and Foreign Central Banks are...
