Friday, 5 October 2012

If the state is real then banks (with di) print money

Money-creation by the (guaranteed) banking sector is not possible (that is to say banks don't print money) only because the government is invalid. We know that banks print money if fiat money is money so only if fiat money is not real money (and the government doesn't exist) do banks not themselves print money. If the government is valid (and fiat money is real) then banks print money. For it to be true that 'banks print money' requires that the government is a valid concept... which it is not... we are free. If we are not free and the government exists then banks print money. We are free so banks don't print money.

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