/biz/ - Business & Finance

[Anonymous No.53353656]

People say that the Federal Reserve prints money, but I've learned that banks create money out of thin air when they loan it to people. Which one is true?

Also, how is the US able to contunally borrow money and not paid back anything? Imagine some guy kept saying he'll give you your money back with interest yet you've given him over $10,000 and he hasn't paid back a single cent. Why would you keep giving money to him?

[Anonymous No.53353723]

Former Central Banking Kike here now friendly White Christian weekend BBQer here allow me to explain.
In order to print new money blood must be exchanged by a few key players. These key players are often not seen by the public outside of their skinsuits which makes them look like completely normal politicians and bankers and not the reptilian overlords that they are. Fun fact: human trafficking victim are the means of settlement for all transactions as fiat metals crypto are all worthless to these people. Basically any crypto claiming to be a means of settlement is trying to scam you. They know as well as I do that blood is the currency of the realm.
Thanks for reading! Hope that clears things up for you guys!

[Anonymous No.53353753]

>>53353723
top-shelf faggotry ser

[Anonymous No.53355111]

>>53353753
He may be a faggot but he's a correct faggot.

[Anonymous No.53355177]

I'm not going to compress 9 credit hours of economics classes into a 4chan post. You should keep in mind that the Federal Reserve creates money and only the Treasury can print money.

Here's some deep lore for you though, for you troubles. Anyone telling you that the Federal Reserve prints money is wittingly or unwittingly part of a pyramid scheme perpetrated by the Koch brothers back in the day, and the John Birch Society. The fact that they use the word "print" instead of "create" is deliberate. It's a quick way to know who you're talking to.

[Anonymous No.53356010]

>>53355177
Write a longer post fgt, explain with mote detail and some supporting links.

[Anonymous No.53356041]

>>53353656
both are true, traditionally expansion of the monetary base (inflation) is caused by new mortgages against new real estate, but in recent years central banks buying assets with newly printed money have been the driver. This is why we are experiencing this inflation - as a fallout of the 2020 liquidity injections

[Anonymous No.53356121]

>>53355177
>ha HA! you see the money is not actually necessarily printed on paper, it is digital, so therefore it doesn't matter the same

lmao

[Anonymous No.53357596]

>>53353656
Only the latter is true. The Fed basically does not exist. It exists in the same way that "Better Call Saul" exists in the mind of its viewers.

[Anonymous No.53357754]

>>53353656
Both. Federal reserve creates money and loans it to commercial banks. Those banks use the money on their balance sheets to create more money when people get loans.
The fed doesnt insert money directly into the economy even though it creates it from scratch. Not yet anyway.

[Anonymous No.53357896]

pic related is the clearest explanation

[Anonymous No.53358664]

>>53357754
There's 0 reserve requirement. Banks can create money through loans like they wish.

[Anonymous No.53359092]

>>53358664
I didnt mention reserves. I mentioned balance sheets. Banks wont lend infinite money because they have to do accounting on it