4 ms·

It is not different from just creating money, it is exactly how money is created. Please read the PDF linked by yrro upthread.

• afiori 7y ago
  It is not creating money, it is turning credit into money.
  • phaemon 7y ago
    Sure, because you know more about money creation than the central bank for the UK. Read the damn pdf and learn something.
    • afiori 7y ago
      For sure I don't know more, but I am trying to make sense of what is being said in common terms: if banks can get free magical loans it is still a loan, if banks can just make money out of nothing then that is creating money. I don't doubt that the financial effect is what they say it is, but that does not look like what I would call creating money.