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Thursday, 19 February 2015

Total capital represents the profit the Fed has earned.

http://en.wikipedia.org/wiki/Federal_Reserve_System#cite_note-91

Total capital represents the profit the Fed has earned, which comes mostly from assets they purchase with the deposit and note liabilities they create. Excess capital is then turned over to the Treasury Department and Congress to be included into the Federal Budget as "Miscellaneous Revenue".

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