Originally Posted by TheDoc

I said the fed doesn't keep books or a ledger, in the idea of an accounting ledger done correctly.

What you explained is a ledger, but only half of one. They probably do record what went out, but they do not record income back in. It's not possible for them to record it all, not all is even set to be paid back - ever, but it still has interest on the money.

At that, they do not directly give out money, a bank does, drawn on a reserve note of some type. Payment back, interest in, etc is to a bank, not the the reserves. Ie: money out, but never in - in relation to the money given out.