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Reiss Economics
  • What Went Wrong with Economics II
  • Preface: Economics, It’s Not Rocket Science... Is It?
  • 1. Our Money System - most textbooks get it wrong
  • 2. Supply and Demand, often it works in reverse.
  • 3. Savings and unavoidable Ponzi Dynamics
  • 4. Booms and Busts – the Austrians Were on the Right Track
  • 5. Money flows, inflation and unemployment.
  • 6. Monetary Illusions and Unemployment
  • 7. A Growing/Shrinking Money Supply: More Causes and Effects
  • 8. Interest Rates and Investing Against Our Will
  • 9. Investments and Pseudo-investments: Which do Banks Prefer?
  • 10. Pseudo-investment 1: Private Tailgating
  • 11. Pseudo-investment 2: Government Tailgating
  • 12. Pseudo-investment 3: (Most) Share Dealing
  • 13. The Bloated Financial Sector
  • 14. The Private Pensions Casino
  • 15. Land Ownership and Mortgages
  • 16. Restless Bandits and Competition
  • 17. Full reserve banking
  • 18. A Recipe for a More Stable Economy
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Bank purchasing things and money creation

Banks can indeed purchase things by creating new spendable IOUs but one could argue that the reserves that enable the banks to spend in this way (but not reserves in general) should have been considered as part of the money supply all along precisely because they were free for a bank to spend.

Last updated 2 months ago