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To: TexasGator
"When a loan is made by the commercial bank, the bank creates new demand deposits and the money supply expands by the size of the loan."

In other words the bank literally creates most of the money it loans out od thin air as an accounting gimmick, less their reserve requirements.

Most money isn't printed by the government, it's created through bank loans.

36 posted on 02/07/2024 5:06:55 PM PST by SecondAmendment (The history of the present Federal Government is a history of repeated injuries and usurpations ...)
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To: SecondAmendment

“In other words the bank literally creates most of the money it loans out od thin air as an accounting gimmick, less their reserve requirements.”

You should open a bank!


58 posted on 02/08/2024 7:50:57 AM PST by TexasGator
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