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No, no, quite the contrary. I mean, money itself is an illusion, but within that illusion, understanding accounting and credit money creation is absolutely fund
by jonahbenton 4y ago
No, no, quite the contrary. I mean, money itself is an illusion, but within that illusion, understanding accounting and credit money creation is absolutely fundamental. Read this paper.
https://www.bankofengland.co.uk/quarterly-bulletin/2014/q1/money-creation-in-the-modern-economy https://www.bankofengland.co.uk/quarterly-bulletin/2014/q1/m...
- olalonde 4y agoThanks for the link. I read "The Mystery of Banking"[0] recently and understand more or less how it works. I realize that it's not the most neutral source but I haven't found any of the other side's arguments very convincing either (including this Bank of England paper though I just read the first few pages, planning on reading it fully later). [0] https://www.amazon.com/Mystery-Banking-Murray-N-Rothbard/dp/1933550287 https://www.amazon.com/Mystery-Banking-Murray-N-Rothbard/dp/...
- jonahbenton 4y agoGood link- with respect, to my personal mental model the von mises stuff is a near total misunderstanding both of the mechanics and of the dynamics. Credit in particular seems to be a mystery to them, yet in anthropological terms humans- and other creatures- have credit/reputation accounting in their heads, long predating even organized math. But I have not engaged their arguments directly in depth. I do all my reading on kindle, that one is only print but I will aim to track down a digital version of their arguments.