Re:Entire German bond yield curve back in sub-zero territory
by DasIch on Tuesday August 03, 2021 @10:50AM
(#28049875)
> If people put their savings into a bank account, then this savings would nevertheless be available for investments via the banks, arn't they?
No, those two things have nothing to do with each other. When you ask a bank for credit to invest into something, the bank just creates money they don't take money from other customers.
Re:Entire German bond yield curve back in sub-zero territory
by tenuousemphasis on Tuesday August 03, 2021 @10:58AM
(#28049983)
The amount of deposits puts an upper bound on the amount of loans due to the 10% reserve requirement, but otherwise yes.
How can such an environment be so stable? If people put their savings into a bank account, then this savings would nevertheless be available for investments via the banks, arn't they?