GhostOnTheHalfShell on Nostr: economics-that-works group #SteveKeen #mmt #economics "Before I show why he fails, I ...
economics-that-works group (npub1xh2…u80r)
#SteveKeen #mmt #economics
"Before I show why he fails, I want to clarify what it means to say that banks create money “out of nothing” (Schumpeter 1934, p. 73). It definitely does not mean that banks create money via magic. What it means instead is that there is no other account from which a bank loan is financed, whereas there is such an account for a non-bank loan."
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https://profstevekeen.substack.com/p/selgins-hot-air-on-bank-money-creation
#SteveKeen #mmt #economics
"Before I show why he fails, I want to clarify what it means to say that banks create money “out of nothing” (Schumpeter 1934, p. 73). It definitely does not mean that banks create money via magic. What it means instead is that there is no other account from which a bank loan is financed, whereas there is such an account for a non-bank loan."
🧵
https://profstevekeen.substack.com/p/selgins-hot-air-on-bank-money-creation