Since federal reserve profits go back to treasury, why doesn't the...

[asv31692]

...government always borrow money from the fed? WHY DOESN'T THE GOVERNMENT ALWAYS BORROW FROM THE FEDERAL RESERVE INSTEAD SINCE THOSE PROFITS THAT THE FEDERAL RESERVE GETS WILL BE RETURNED TO THE TREASURY?

instead of borrowing from anyone else like investors or foreign governments or foreign banks etc.

 

[Yoit'sMe]

They have been and there's part of our problem, the Federal Reserve can print all the notes it wants (money) so it devalues the dollar. It's sort of a Ponzi scheme, you can only get away with it for so long and need to borrow some real money to keep it from spinning out of control.

 

[DynaFlowHum]

The Fed has no money. They just print more phony money which causes existing money to be de-valuated.