HACKER Q&A
📣 TekMol

Trillions of new Dollars and Euros have been printed – where are they?


In the USA, about 5 Trillion have been created:

https://fred.stlouisfed.org/series/M2SL

In Europe it was similar. Also trillions have been created.

Where is all that money?

It must be on the bank accounts of some peopl, companies, institutions, right? But where? And how did it get there?

I for sure do not have it. My bank account did not get bigger during Corona.

Any "Corona winners" here?

  👤 GFischer Accepted Answer ✓
https://www.investopedia.com/articles/investing/081415/under...

Basically, banks are the ones that get the money.

The Federal Reserve buys Treasuries or other financial papers with the "new" money.

Banks can then turn around and loan that money.

So, institutions and individuals in good terms with banks are then which benefit from the "new" money (if you get easy loans, you can get real estate, buy stocks, etc...)

👤 muzani
Gov has been paying out lots of financial aid. Loans have had much more generous terms and lower qualifications. Some of it is propping up the real estate bubble.

Usually the middle class are the only ones who don't benefit from it.

👤 Shadonototra
In the pocket of the same people who ruined the world in 2008

In an attempt to stop inflation, central banks, yet again, ruined their own people

The people with the money probably went investing in Asia instead

👤 markus_zhang
Just follow the balance sheets.