What is Nostr?
bobby / Bobby
npub10cn…94en
2024-01-20 02:45:58
in reply to nevent1q…flxm

bobby on Nostr: The Fed thinks it will pay this off in 2027!! Imagine any business that operates in a ...

The Fed thinks it will pay this off in 2027!! Imagine any business that operates in a loss that long!

“But what happens when its costs exceed its income? In this case, the Fed creates a “deferred asset,” which is a negative liability whose value is the cumulative value of the shortfall in earnings. Once the Fed returns to earning a positive net income, it will pay down the value of the deferred asset until it reaches zero, at which point the Fed will resume sending remittances to the Treasury. As of Nov. 8, 2023, the Fed had accumulated a deferred asset of $116.9 billion. In April 2023, the New York Fed estimated that the Fed will return to positive net income in 2025. Combining those New York Fed projections with the latest data on net income, we estimate that the Fed will carry this deferred asset until mid-2027, after which it will resume transfers to the Treasury.”

https://www.stlouisfed.org/on-the-economy/2023/nov/fed-remittances-treasury-explaining-deferred-asset#:~:text=For%20most%20of%20the%20past,2022%2C%20remittances%20due%20became%20negative.
Author Public Key
npub10cnmvpgt7ppgzhlw8rpm359twwqz5yrjd5v06k8uelv9z4u359ss2k94en