Treasuring cash: Why does the U.S. Treasury have so much cash at the Fed?

The graph above shows the operational account that the U.S. Department of the Treasury has with the Federal Reserve. This account is basically equivalent to the checking accounts individuals and businesses have with their banks. Indeed, the Federal Reserve acts as the U.S. government’s bank. And...

Treasuring cash: Why does the U.S. Treasury have so much cash at the Fed?