> Money is fungible, whether held in highly liquid market assets or cash. As long as the government pulls in consumption (e.g. flows) that would not be transact

> Money is fungible, whether held in highly liquid market assets or cash. As long as the government pulls in consumption (e.g. flows) that would not be transacted absent its intervention, it is creating money. Please write more clearly and less stridently because this is very difficult to parse. As best I can tell, you are redefining money to be anything "liquid", and then pointing out that if the government insures a bond or guarantees to repo it, for example, it becomes liquid and so total money has increased. Well, OK, you can play definition games with your own private meaning of "money", and it's true that the term is a bit ill-defined, so more precise thinkers wouldn't speak of "money" at all, they'd speak of specific assets and liabilities (e.g. reserves, currency in circulation, deposits, etc) to avoid some interlocutor bumping in with "well akshually..." But seeing as how I was on a public forum using commonly understood terms, I stuck with that informal language. Specifically, I was responding to a post trying to trace "where the money came from" to support an increase of ETFs, and I pointed out that it doesn't come from anywhere at all, because money is a stock and can support any flow. What matters is the return offered by the investment - if there is a good return, there will be money to fund the investment. That is true regardless of how you define money. It's a basic fact about stocks and flows. A small stock can support a large flow and a large stock may have a small flow. The flow will be whatever it needs to be based on the return provided. So trying to trace "where the money comes from" when speaking of macro-economic investment is a goofy and unproductive thing to do. But it's not nearly as unproductive as arguing "well akshually money is anything that is liquid and the government can make anything liquid" - as that statement adds no informational content to a discussion of ETF funding.