About the Federal Reserve's notes being a liability or not of the Fed:
I think James Ahiakpor has exagerated the significance of his
observation that a defective US note may be returned to the Fed, and a
good one obtained in its place
If I buy a bucket and discover it has a hole, then by both common law
and consumer law I have the right to a refund or exchange from the
retailer.
Does that make the the value of sold buckets a liability of the
retailer?
I would not have thought so.
I guess there is a contingent liability there: equal to the value of
buckets sold that are defective, but that would be an almost negligible
percentage of the total value sold.
William Coleman