Adair Turner is out with an important new book, Between Debt and the Devil: money, credit and fixing global finance. His analysis, confirming banks create money when lending, and prescription, overt money financing, from such a prominent policy figure is big news.
The below lecture from a stop at the London School of Economics is an excellent primer. His comments on full reserve banking are interesting from a historical perspective but not consistent with our view and not a practical consideration.
The synopsis for the event reads:
"Too much private debt led to the disastrous crisis of 2008. In future public policy must constrain the quantity and influence the allocation of private credit creation. And we should ‘print money’ to escape the post crisis mess. That sounds dangerous – but relying on private credit to drive growth is more so."
The below lecture from a stop at the London School of Economics is an excellent primer. His comments on full reserve banking are interesting from a historical perspective but not consistent with our view and not a practical consideration.
The synopsis for the event reads:
"Too much private debt led to the disastrous crisis of 2008. In future public policy must constrain the quantity and influence the allocation of private credit creation. And we should ‘print money’ to escape the post crisis mess. That sounds dangerous – but relying on private credit to drive growth is more so."
RSS Feed