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The Crash is past. Comes now Inflation. | 60 comments (60 topical, 0 editorial, 0 hidden)
Re: The Crash is past. Comes now Inflation. (4.00 / 2)
European Tribune - The Crash is past. Comes now Inflation.
One of the side effects of the TAF is that U.S. bank reserves have fallen below zero; there is currently a quiet debate going on whether or not negative bank reserves is a problem or not, given the emergency measures the Fed has implemented.  
I don't understand how it is possible for reserves to be negative, can you explain how this happened? The US (unlike the UK) does have a reserve requirement. Is the Fed not enforcing its own banking regulations? Are the banks now technically insolvent?

We have met the enemy, and he is us — Pogo
by Migeru (migeru at eurotrib dot com) on Wed Mar 5th, 2008 at 06:12:37 AM EST

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The Crash is past. Comes now Inflation. | 60 comments (60 topical, 0 editorial, 0 hidden)
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