Treasury borrowing directly from the Federal Reserve is closely monitored by Congress since:

Question

Quizplus · Accepted Answer

Treasury borrowing directly from the Federal Reserve is closely monitored by Congress because it is highly inflationary, equivalent to printing money, and causes increases in total income, spending, and the money supply. These actions can significantly impact the economy by increasing inflation and affecting the value of the currency.

Treasury Borrowing Directly from the Federal Reserve Is Closely Monitored