Four ways of “net credit creation”

Professor Richard A. Werner is a professor of economics at the University of Southampton. His letter to the FT explains that he coined the term “quantitative easing” and its true meaning: four ways of creating credit:

  1. increasing BANK credit
  2. increasing TRADE credit
  3. increasing CENTRAL BANK credit
  4. increasing credit created by the GOVERNMENT.

We’ve been advocating the last as “public credit for public purposes” through “Early Day Motions” since 2002.

Green Credit for Green Purposes was a submission to the Treasury Select Committee in response to the Stern enquiry.

5 responses to “Four ways of “net credit creation”

  1. Pingback: Petition on “national banking” « Enforcement of Bank of England Act 1694

  2. Why was not no.3 put on the first?

  3. Thanks for the tips. I always play by the rules however my Wife is a bit of a renegade! In seriousness is it possible to call the credit card company and lower credit limits? I understand the credit score hit but i think it puts some controls on things.

    • I’m afraid there is a huge difference between “personal credit” and “bank credit”. They, the central bankers and bankers, have the power to create “money” out of thin air. We don’t. Neither husbands nor wives…

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