| Subject: | [socialcredit] gap greater than I thought | | Date: | Friday, May 20, 2005 08:23:06 (EDT) | | From: | Triumphofthepast <Triumphofthepast @...com>
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I am grateful to John Hermann for the following:
"Since . . . 1980, all depository institutions have been permitted to offer interest-bearing transaction accounts to certain customers . . . subject to the reserve requirements set by the Federal Reserve. Thus all such institutions, not just commercial banks, have the potential for creating money." (Money Mechanics, Chicago Fed)
This means that as of 2001 the money in our pockets was still $2,380.6 billion, but the charges against us were GREATER than $5,210.5 billion if all depositary institutions are included. I'll have to go back to "Flow of Funds Accounts of the United States" to come up with a new figure. Of course, depending on the magnitude of the difference, this might mean I'd have to retract my identification of bank-created money and M2.
He's wrong to say that the first figure can be roughly identified with M1. M1 was $1179.3 billion at the time according to "Money Stock Measures" on the Fed website.
The rest of what he says seems to have no bearing on social credit. Social credit is concerned with money in the hands of individuals vs. money in the hands of organizations.
Michael
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gap greater than I
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