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That seems to focus on the wrong section. Section 10.8 illustrates how commercial banks create money by lending. What the blog entry you linked to talk about
by digi_owl 9y ago
That seems to focus on the wrong section.
Section 10.8 illustrates how commercial banks create money by lending.
What the blog entry you linked to talk about is government deficits, and how the textbook clash with the MMT idea of governments regulating the money supply via expenditure and taxes (effectively creating money as they buy goods and services, and destroy it via taxation).