More on how money is created
Debunking Economics - the podcast
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Understanding Government Deficits and Banking Dynamics
This chapter explores the intricate relationship between government deficits, banking operations, and money creation. It explains how government spending and the issuance of bonds influence bank reserves and public deposits, ultimately benefiting the private sector's financial equity. Additionally, it challenges common perceptions of government debt, framing it as an asset rather than a burden for future generations.
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