SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Semi Equipment Analysis
SOXX 283.56-1.7%Nov 17 4:00 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Gottfried who wrote (71591)2/12/2016 10:07:43 PM
From: Sam  Read Replies (1) of 95427
 
But the interest on that loan would be higher because the bank must recover the money they paid to another institution to hold the bank's unused [not lent out] money.

Or the interest on the loan might be slightly less because making the loan means that the bank won't have to pay that extra money to the Fed. What the CB would be doing is applying a stick instead of a carrot (punishing the bank slightly for not making loans as opposed to giving them something when they make loans).
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext