Quote from: CurbsideProphet on March 29, 2014, 06:18:42 PM

Quote from: bl4kjaguar on March 28, 2014, 06:39:08 PM

Quote from: CurbsideProphet on March 28, 2014, 05:34:13 PM

Quote from: bl4kjaguar on March 28, 2014, 04:07:19 PM

Quote from: bobdutica on March 25, 2014, 07:49:25 PM

There are two excellent books that describe the history of the central bankers of Europe and how they loaned money to the various governments, and how they played one government against another by financing wars, often financing both sides -- profiting from both.

The first book is a short, quick read at only 136 pages. It is: "None Dare Call It Conspiracy"
The second book provides much more detail and is 588 pages, but still very readable. It is "The Creature From Jekyll Island"

Neither of those books will tell you how money is actually created.
Every new loan must be collateralized by something, so where is this collateral being held?
Did those authors tell you it is held at the DTC? Did they tell you how to get that collateral back and liquidate the bonds that were written against it?

Nope, uncollateralized loans are made all the time. Large companies can get loans without collateral based on cash flow alone. High net worth individuals can also serve as guarantors in lieu of collateral.

This discussion is about how banks create money, not private lending.

What's the difference? A loan is a loan and you said "every new loan must be collateralized." Every loan doesn't have to be collateralized (I don't care what you're talking about) every loan needs to weigh risk (interest rate) along with the borrower(s) ability to repay. That's no different for a government or any individual.

When YOU get a loan, is the bank your creditor? What collateral is involved? If banks are depositing your promissory note for value when you sign a mortgage, who exactly is brokering that transaction?