Re:The U.S. government’s failed 1890s attempt to forge unity...
by billytetrud on Sunday June 13, 2021 @01:49AM
(#27490108)
> Government debt is the sole constraint on bank lending as well as loan growth.
Are you saying that government debt is the primary asset that banks balance loan liabilities against? I don't quite follow this. Can't a bank simply loan someone money by creating deposits for that person, and balance that against the asset that is the loan instrument? Why does government debt have anything to do with it?
Are you saying that government debt is the primary asset that banks balance loan liabilities against? I don't quite follow this. Can't a bank simply loan someone money by creating deposits for that person, and balance that against the asset that is the loan instrument? Why does government debt have anything to do with it?