money

At first, I called this post "More on Quarles and the introduction of a standing repo facility". But that's not a sexy title is it? That's because repo isn't a sexy topic. I think it's important though. If we have a liquidity crisis though,…

There is a notable lack of long-run analyses of monetary systems and their stability. This column addresses this gap by looking at the monetary systems of major European states between 1300 and 1914. The evidence collected suggests that,…

If bitcoin and its equivalents can deliver what its champions promise, what’s not to like? Well, the rub is what Economist Abba Lerner said “The modern state can make anything it chooses generally acceptable as money".

There is nothing quite like a falling dollar to spur take of the erosion of the greenback's reserve status. For various reasons, countries have chosen to build reserves. Following the decision to hold or build reserves, the question arises…

As Greece staggers under the weight of a depression exceeding that of the 1930s in the US, it appears difficult to see a way forward from what is becoming increasingly a Ponzi financed, extend and pretend, “bailout” scheme. In fact, there…

Ukraine will have global impact More sanctions are coming but will be somewhat limited The global financial system is moving away from the US US auto subprime is going to blow up

By Marc Chandler The headline of the Financial Times today reads "Paris rails against the dollar's dominance."; It could have been written nearly any time in the past half century. After all it was a former French President Giscard…

Last night, we aired two segments on endogenous money on Boom Bust, the TV show I am now producing on RT, the Russian broadcaster. Frances Coppola and Cullen Roche do a good job of explaining the details. Take a look

I have been saying for years now that the money multiplier does not adequately explain how money is created in a modern fiat money economy. In particular, the idea that banks are passive intermediaries who simply respond to injections of…