Post monetary reform, as we at PM advocate, only the publicly owned institution, the UK Monetary Creation Committee, will be allowed to issue new national money. A related matter, but one on which, as far as I know, PM does not hold a definite position, is that of national borrowing. Post reform, should national borrowing be allowed at all? If so, to what extent and under what circumstances? The question will arise, as often posed by Spike Milligan, “What are … Continue reading
Fran Boait, Positive Money’s Campaign and Operations Manager, presented the main reasons why we should care about the way money is created at the Positive Money conference ‘Modernising Money’ in January 2013. More about the ‘Modernising Money’ conference 2013 and more videos here.
The website Public Service Europe has published an article Parliament’s power is being passed to the banks, written by one of our supporters, Gary Brooks and based on Positive Money’s research summarized in the report Banking vs Democracy. PublicServiceEurope.com provides a key resource for Brussels and beyond for those wanting the inside track on European politics, public administration. management issues and key developments in the business world. Here is a short extract: Privatising the nation’s money supply as debt in this way is … Continue reading
In an economy where just government and central bank create money, private banks can easily steal the right to create money from government. Irving Fisher called this the “usurpation of government’s prerogative”*. George Selgin (ironically a leading advocate of fractional reserve) explains in a recent article how private banks do this. His explanation, which I agree with, is that where fractional reserve is introduced to a full reserve economy, the result is a temporary bout of excess inflation, which … Continue reading
I recently re-read Paul Moore’s 2009 testimony to the Treasury Select Committee in the aftermath of the financial crisis. Paul was the Head of Group Regulatory Risk at HBOS between 2002 and 2005 (this position is one below board level). As his testimony explains, in 2005 he vocally warned the board that their risky lending would put HBOS in danger, but was dismissed and replaced by someone with no relevant experience for the job in question. A few selected passages … Continue reading