Where Do Banks Get Their Money? Fractional Reserve Banking

Do Banks Create New Money out of Thin Air? **Re-posted after the events of the credit crunch and 700 bailout packages, enjoy the read and learn how the banks got themselves in this mess.** Here’s the story. Banks keep on lending money, but where do they get it from? Do they borrow from bigger banks … Continue reading Where Do Banks Get Their Money? Fractional Reserve Banking

More Ideas on What Can be Done About the Banking System

This post started off as a comment for our ‘Where do Banks Get Their Money?” article. It has now graduated to our top page for more exposure. OK, quite a good few people have a good grip on the nature of the problem and there are slight variations expressed above but let’s now hear some … Continue reading More Ideas on What Can be Done About the Banking System

Big Banks Should Fail? Links Collection on the Subject

In the free-market enterprise–that which North America is founded on and so cherishes–you’re suppose to permit the market to shed uncompetitive and incompetent firms. When push comes to shove, if you under perform or make huge mistakes that not only make you uncompetitive, but threaten your survival, you’re permitted to die a slow (or sometimes … Continue reading Big Banks Should Fail? Links Collection on the Subject