If Customer B repays the loan, the new money disappears but the money made in interest stays. Eventually does a bank get to a point where it has enough real money, that it can lend it out instead of increasing the money supply?
Interesting. What is the difference between Treasury Money and money coming from the Federal reserve? Was the 700 billion of Treasury money at that time a loan that had to be paid back while today, they're simply increasing the money supply?
Why are the feds able to inject so much money into the system these days without much push back? While during the 2008 Crisis Hank Paulson had such difficulty with getting 700 billion injected?