Hacker News
new
|
past
|
comments
|
ask
|
show
|
jobs
|
submit
login
drexlspivey
on April 25, 2022
|
parent
|
context
|
favorite
| on:
A simple explanation of how money moves around the...
So basically all commercial banks are free to issue unlimited loans (and create unlimited new dollars)?
User23
on April 25, 2022
[–]
Basically, yes. There are “capital” requirements, but as far as I can tell that’s basically just laundering their loan business by trading equity with peer banks, which are of course largely based on loan performance.
Guidelines
|
FAQ
|
Lists
|
API
|
Security
|
Legal
|
Apply to YC
|
Contact
Search: