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What Is Money?

Money For the Rest of Us

CHAPTER

How Banks Create Money

In the short term, there's only a limited amountf output we can create. And so the responsibility of government is to not create too much money. So why collect taxes at all? Well, it gets back to this inflation issue. If we didn't collect taxes, then there would be too much money created. All taxes due is actualy. They take money out of the system,. It destroys money. Taxing destroys money. Ad and so its just digits. This is how banks create money by making loans. Deposits create money. Or our loans create deposits, which is money. Is what i'm trying to say. Now, why isn't anyone talking about this?

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