I would perhaps be willing to give the benefit of the doubt if the references provided actually corresponded to the text Most recent addition federal reserve governors speech In it I can find nothing that corresponds to Aside from the moral hazard issue the key risk with this tactic cutting interest rates to encourage new debt money creation is that the central bank exposes the financial system to a currency crisis as the growth in the money supply spirals out of control due to the need to save the banks from themselves If I have missed something please show me where in Mishkins text he even refers to a currency crisis saving the banks from themselves debt money creation etc At least these are reputable sources but now youre quoting them in a misleading way I admit readily I could not check the Science Direct piece given the track record of use of references here I would greatly appreciate direct quotes that support the text For anyone else who is able to check the references Im referring to are at Central Bank Intervention Financial Instability and the Federal Reserve as a Liquidity Provider by Frederic S Mishkin