I would still appreciate a reply to my request 17 June 2003: ->>>What money is created, i.e. new money coming into existence, that has no charge, interest, or other obligation such as a requirement for repayment? <<<
There are many examples. The most important is money coming into an economy through "favorable" balance in foreign trade. A significant portion of the money supply is the residual from the era of free coinage. A portion remains from the greenbacker era. The money the counterfeiter spends before it is detected. The defaulted portion of bank loan principal. In many countries (other than the United States) commercial banks are permitted to purchase corporate stock rather than bonds (for example, Germany and Japan), which infuses money "debt free" into the economy. In many places banks can purchase assets of many types not limited to securities. ->>>We know bank loans consist of the major portion of the money supply. The rest is petty cash in comparison. Currency in the form of notes and coins are recorded as a liability<<< Liability to the issuer. Credit to the bearer. ____________________________________________________________ Get advanced SPAM filtering on Webmail or POP Mail ... Get Lycos Mail! http://login.mail.lycos.com/r/referral?aid=27005 ==^================================================================ This email was sent to: [EMAIL PROTECTED] EASY UNSUBSCRIBE click here: http://topica.com/u/?a84IaC.bcVIgP.YXJjaGl2 Or send an email to: [EMAIL PROTECTED] TOPICA - Start your own email discussion group. FREE! http://www.topica.com/partner/tag02/create/index2.html ==^================================================================
