I don't really get how it's bad...
I know the banks have 1000 dollars in reserve and wind up creating loans worth for 9000 dollars. But in the process they didn't gain 9000 dollars, they only gain interest on them (actually only the difference between the interest they pay on the money and the interest they get on the money)
So i mean, they have to earn it from somewhere don't they?
If it was full reserve banking, they would have to ask people interest to pay money to store their money. Right? They have to earn it somehow.
Then i also don't know why central banks would profit of keeping the interest low. If the central banks mission is to serve the other banks, which is so according to Conspiracy Theorists i believe, then keeping the interest low would stimulate the people to lend, but they would earn less due to the low interests.
I probably am way off, but still ... please explain.
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