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The paper from Bank of England is the best explanation I have read about how money is created. https://www.bankofengland.co.uk/quarterly- https://www.bankofeng
by kennethh 5y ago
The paper from Bank of England is the best explanation I have read about how money is created.
https://www.bankofengland.co.uk/quarterly- https://www.bankofengland.co.uk/quarterly-
bulletin/2014/q1/money-creation-in-the-modern-economy
As someone else said earlier in the thread most of the money created is by commercial banks when someone take out a loan.
- bserge 5y agoCan I get a few million to be repaid in the next 200 years? Could really use that loan.
- actually_a_dog 5y agoOnly 200 years? Think bigger. In 2014, the UK paid back a debt that was originally issued in 1720, and that's not even the oldest government debt out there. https://historyofyesterday.com/the-oldest-debts-in-history-2aec42cdb207 https://historyofyesterday.com/the-oldest-debts-in-history-2...
- imtringued 5y agoWell... Austria issued 100 year bonds. I'm sure you could get investors on board by issuing bonds. I don't think a bank is going to accept that offer.
- neilwilson 5y agoIt's never repaid, only refinanced. To repay the loan at country level, those holding the equal and opposite savings have to spend the money to create the tax flow that pays off the loan. Since people tend to want to save over time, that doesn't happen.