It’s spooky that nobody is talking about this. The questions are:
(1) What does one do with $170 trillion?; and
(2) Who loaned the banks the money?
I think we can all figure out #2. More to come on #1.
*Update: This graph indicates ‘billions’ on the left axis, which may be the correct unit. But this differs from the Federal Reserve data, which states that bank reserves have swung in the trillions. I don’t know which is correct. To be continued.
* Update II: I meekly and humbly admit an error in my math [goddamn calculator batteries, slam, slam, slam, ricochet]. The correct unit is billions. My apologies for bad information.