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To: PIF
And yes new money is physical.

So you believe the government bangs out paper dollars on the printing press, then runs around spending them? They haven't done that since the Lincoln administration. What would be the point? It would all just ends up on bank ledgers anyway.

The Fed creates new money through various means, all of which have the effect of increasing the lending authority of banks. The new money comes into the economy as loans. Have you ever borrowed money from a bank and had them hand you cash?

46 posted on 02/06/2016 12:08:14 PM PST by SeeSharp
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To: SeeSharp

No you misunderstand. Has nothing to do with printing presses - that’s your thing along with the credit business.

Glad you believe so strongly in the Federal government creating money, but again that has nothing to do with new money. That idea must be something you were taught in business school or the like.

Like the other guy said it is about creating wealth where none existed before, and receiving real physical wealth that did not exist. We are not talking about credit which is just a promise with someone else’s money.

Cash from a bank is not new money - new to you, but not new to the economy of the country.

Again: new money is something created by a person from raw materials, sold to someone else in some other country, and the money that comes back is new money.


48 posted on 02/06/2016 12:17:24 PM PST by PIF (They came for me and mine ... now it is your turn ...)
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