Fractional-reserve lending vs. Creating money to purchase bonds

[FireWalker]

Money has been sea shells, atoms of gold or electronic bits at one time or another.
It did not stop politicians from spending other peoples money.
Keynes is a dream come true for those feeding at the spending trough
and a nightmare from hell for those bearing the debasement burden.
In truth Keynes argued that in good times a surplus
should be used to pay down debt. Don't hold your breath on that.
No rule or regulation will prevent the strong from preying on the weak.
It is the way of the world. Can a hungry lion sit next to a gazelle and chew grass?

All true. But, legally and accounting-wise, that journal entry can be fixed. It would require the Fed to only lend something of value. That places the Fed on the side of fiscal responsibility.

At the moment, the Fed assumes no risk when purchasing bonds.