IF all the money just ends up in reserve deposits by the banks what is the point of them? It is not increasing the Velocity of money. Won't it make sense to just print the 85 billion a month and send checks to people instead?
They just want to push up the asset value of certain things and make sure bank deposits are large enough to cover the bad debt.
I dont know how many more QE's its gonna take to see they are nothing more than printing money and giving it to the banks. The fed is a bank for the banks by the banks.
The Fed has virtually stopped paying interest on reserves in an attempt to get banks to seek a higher return elsewhere.