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xmustangxx t1_jdxprsb wrote

Reply to comment by Temperature_Foreign in The economy in 2023 for dummies by Temperature_Foreign

Omg you just keep going with nonsense. I want you to go to a balance sheet for JPM or BAC etc and tell me exactly how much they’ve “borrowed” from the government to in turn lend. Do you think the fed funds rate is a rate the fed lends money at? 😂 so confused. That is the rate banks charge each other for overnight lending if needed. Are you talking about the discount window? That is a “lender of last resort” and banks know there’s a stigma around using it. Just repeating your misinformation doesn’t make it any less false. Stop. Go actually learn this stuff. Stop posting until then

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tjonesmachine93 t1_jdxyj84 wrote

In fairness to OP and in gratefulness to all here, he’s learning more by posting this than most people will stirring though 2-3 college econ classes.

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[deleted] t1_jdxxabo wrote

It’s interesting that of all the things you were irked by, the “printing” of cash theme wasn’t one. There’s no “printing.” That’s one of the really really frustrating misconceptions that I guess bothers me more than anyone else.

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TrumpMeister99 t1_jdzinbl wrote

Please don’t bother with these people. If you try to explain what CoCos are they’ll be thinking cereal

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Temperature_Foreign OP t1_jdy00g2 wrote

Whatever G. The point remains that higher interest rates means higher rates the banks have to charge. You are essentially nitpicking instead of focusing on the greater point

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xmustangxx t1_jdy3w1f wrote

Stop again. Go google “how do banks make money”. You need to learn about what the spread is and it has nothing to do with butter or your moms legs

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Explod3 t1_je14qaw wrote

Not always the case. Rising interest rates typically help banks due to increasing margin. “Rapidly” rising interest rates hurt everyone. Please read more.

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