#USD, #YEN, #EURO, #GBP arent printed by the government so I dont know what you are talking about. The major currencies are only created through loans by the commercial banking system.
Now I'm wondering where we get the cash from? Is it printed by a private body or the government body? If it's non of these options above, then what is it?
I understand the aspect that the US Federal reserve controls the supply of US dollars, and that the major currencies are created through loans by the commercial banking system, as you rightly said.
However, in some of the underdeveloped and developing economies of the world, the Federal Government plays a crucial role as these Commercial Institutions are not fully independent, like the US Federal Reserve
Now I'm wondering where we get the cash from? Is it printed by a private body or the government body? If it's non of these options above, then what is it?
Certainly!
I understand the aspect that the US Federal reserve controls the supply of US dollars, and that the major currencies are created through loans by the commercial banking system, as you rightly said.
However, in some of the underdeveloped and developing economies of the world, the Federal Government plays a crucial role as these Commercial Institutions are not fully independent, like the US Federal Reserve
But that isn't the concern of this piece. Just like I said in the 4th thread:
But that isn't the concern of this piece. Just like I said in the 4th thread:
"threads 1 - 3 actually portrays what many people think, especially those who don't understand the idea of #scarcity in #currency and #economics."
So this piece actually sets out to debunk that assumption and clarify the idea of scarcity as well as its importance.
Thank you so much for responding to my thread