Fed Digital Dollars Are Part of Debate Over Coronavirus Stimulus

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Fed Digital Dollars Are Part of Debate Over Coronavirus Stimulus
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Separate House and Senate Bills provide for Federal Reserve digital dollars as part of a broader effort to reduce the shock of the economic shutdown related to the coronavirus

While it may not make it to the finished coronavirus economic stimulus and support package now being weighed in Congress, there is a push from some legislators to give the Federal Reserve a new tool some believe could radically reshape how it conducts monetary policy.

At issue are so-called digital dollars and the accounts that would hold them. Separate House and Senate bills propose creating these two things as part of a broader effort to reduce the shock of the economic shutdown related to limiting the spread of the coronavirus.

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