Can’t Fed and Treasury directly pump the (consumer) money supply by distributing a stimulus payment, issuing Treasury notes, and then buying those Treasury notes right back?
I referenced this earlier; i.e. the Fed printing money and giving it right to the consumer.
This has the potential to be hyper-inflationary, much more so than lending money to banks.
A better idea would be for the Fed to open up credit lines directly to consumers and business with something (salary, revenue) as collateral. Prove you make money and the Fed lends you money. Customers could use this to pay down high interest debt and give the economy some breathing room.
