This note represents debt of the Federal Reserve Banks. Like other banks, they are not owned by the government. They buy these notes from the Treasury for about 4¢ and use them at face value, keeping the profits for “operations” and returning leftovers to the treasury. By its favors, it controls wealth. Because of its existence:
Treasury Department Gross Tax Collections:
Amount Collected by Fiscal Year
This note represents debt of the United States. Notice the heading “United States Note”. The Treasury prints this note for about 4¢. It then spends the note at face value. It also accepts these notes for payment of taxes. Although not backed by coins, its supplies are known and fixed. Any profit made stays in the Treasury to benefit the people.