MungoBrush wrote:Fletch wrote:That article outlined the process, finishing with "granting a monopoly of banking activities to the public sector"
That is the government having the power to create money rather than private banks.
Capital reserves under fractional reserve banking don't mean what you think it means either. As no deposits actually leave the bank in the process of making a loan, how could it?
You obviously do not have the faintest clue as to how the banking system operates
Banks are under the continual governance and supervision of the sovereign bank
They can only make loans up to the limits approved by the central bank
You do not understand the difference between the manufacturing process and the governance process.
It's no different to Apple contracting out it's chip manufacturng to a Chinese company.
How does a Dollar, Pound, Euro come in to existence mungo?