Tag Archives: Money creation

Money Creation in the U.S. Federal Reserve System

Money creation is a highly controversial and complex process.  To simplify it to a single flow diagram is perhaps an injustice to the nuances of the process.  However, to make the muddy waters slightly less murky, here is a summary … Continue reading

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Banking enables us. It’s Credit allows us to invest and flourish. However, it does this by somewhat arbitrarily creating Debt through the Fractional Reserve Banking Model. How so?

sources: Radio Free NJ, Web of Debt For every $100 you deposit the bank, the bank earns roughly $4 from it and, in the process, creates $900 out of thin air. Those new to this concept may be a little … Continue reading

Posted in Banking | Tagged , , , , , , | 3 Comments