fractional reserve lending

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Peak Prosperity

Money Creation: The Fed - Crash Course Chapter 8

Creating money out of thin air since 1913...
Friday, August 8, 2014, 8:49 PM

Chapter 8 of the Crash Course is now publicly available and ready for watching below.

As a follow-on to the two previous chapters -- one explaining the nature of fiat money, the other showing how money is loaned into existence through our fractional reserve banking system -- this week's video details the Fed's near-magical ability to create money out of thin air (literally!). » Read more

Blog

Peak Prosperity

Money Creation: Banks - Crash Course Chapter 7

Get ready for your mind to be repelled
Friday, August 1, 2014, 9:14 PM

Chapter 7 of the Crash Course is now publicly available and ready for watching below.

As a follow-on to the previous chapter explaining the nature of fiat money, this week's video details one of the two methods by which it is created: fractional reserve banking. As John Kenneth Galbraith famously stated "The process by which money is created is so simple the mind is repelled." » Read more

video

This chapter of the new Crash Course series has not yet been made available to the public.

Each week over the rest of 2014, in sequential order, a new chapter will be made publicly available (we've currently published up to Chapter 6)

If you don't want to wait, you can: