> You contend that there are massive amounts of US dollar money supply being created outside of the banking system and, therefore, outside of oversight and regulation by the Federal Reserve ... it wasn’t until 1964 that anyone in any kind of official capacity finally got around to investigating this thing, even though it was almost a decade old by then. The Bank for International Settlements finally published the first study on the subject of Eurodollars ... people like Milton Friedman and Paul Einzig, very highly respected people in finance that no one questions the credibility of, who are attesting that this was actually going on as long ago as the 1960s.
> This article challenges current interpretations of the rise of the Eurodollar market. It argues that rather than being the exclusive innovation of British banks, the Eurodollar market had also Italian origins ... resulting from the fact that nonresident foreign-currency deposits were not subject to reserve requirements ... The comparison facilitates an approximate estimation of the size of the Eurocurrency market in the late 1950s and, even more importantly, a recalibration of the view that the City of London was the dominant Eurodollar player from the outset.
> You contend that there are massive amounts of US dollar money supply being created outside of the banking system and, therefore, outside of oversight and regulation by the Federal Reserve ... it wasn’t until 1964 that anyone in any kind of official capacity finally got around to investigating this thing, even though it was almost a decade old by then. The Bank for International Settlements finally published the first study on the subject of Eurodollars ... people like Milton Friedman and Paul Einzig, very highly respected people in finance that no one questions the credibility of, who are attesting that this was actually going on as long ago as the 1960s.
Cambridge University, March 2022, https://www.cambridge.org/core/journals/enterprise-and-socie...
> This article challenges current interpretations of the rise of the Eurodollar market. It argues that rather than being the exclusive innovation of British banks, the Eurodollar market had also Italian origins ... resulting from the fact that nonresident foreign-currency deposits were not subject to reserve requirements ... The comparison facilitates an approximate estimation of the size of the Eurocurrency market in the late 1950s and, even more importantly, a recalibration of the view that the City of London was the dominant Eurodollar player from the outset.