I am just a banker "doing God’s work".
Lloyd Blankfein, CEO Goldman Sachs, 2009 Source: Wall Street Journal, May 2010
Banks do not have an obligation to promote the public good.
Alexander Dielius, CEO Germany, Austria, Eastern Europe Goldman Sachs, January 2010, Source: Wall Street Journal, May 2010
The study of money, above all other fields in economics, is one in which complexity is used to disguise truth or to evade truth, not to reveal it.
John Kenneth Galbraith, Money: Whence it came, where it went (1975), p. 15
The process by which banks create money is so simple that the mind is repelled.
John Kenneth Galbraith, Money: Whence it came, Where it Went p. 29
The modern banking system manufactures “money” out of nothing; and the process is, perhaps, the most, astounding piece of “sleight of hand” that was ever invented. In fact, it was not invented. It merely “grew”. ... Banks in fact are able to create (and cancel) modern “deposit money”, just as much as they were originally able to create, or call in, their own original forms of private notes. They can, in fact, inflate and deflate, i.e., mint, and un-mint the modern “ledger-entry” currency.
Angas, Major L. L. B. (Lawrence Lee Bazley) (1937). Slump ahead in bonds. Somerset Pub. Co.. pp. 20-21
The actual process of money creation takes place in commercial banks. As noted earlier, demand liabilities of commercial banks are money. ... Confidence in these forms of money also seems to be tied in some way to the fact that assets exist on the books of the government and the banks equal to the amount of money outstanding, even though most of the assets themselves are no more than pieces of paper...
Federal Reserve Bank of Chicago; Nichols, Dorothy M (1961). Modern Money Mechanics; a workbook on deposits, currency and bank reserves.. p. 3
Commercial banks create checkbook money whenever they grant a loan, simply by adding new deposit dollars in accounts on their books in exchange for a borrower's IOU.
Federal Reserve Bank of New York; Friedman, David H. (1977). I Bet You Thought.... p. 19
The 12 regional reserve banks aren't government institutions, but corporations nominally 'owned' by member commercial banks.
Federal Reserve Bank of New York, I Bet You Thought... (1977), p. 27
The use of money does not disestablish the normal process of creating credit. Money, it is true, is always being paid into the banks by the retailers and others who receive it in the course of business, and they of course receive bank credits in return for the money thus deposited. But for the manufacturers and others who have to pay money out, credits are still created by the exchange of obligations, the banker's immediate obligation being given to his customer in exchange for the customer's obligation to repay at a future date. We shall still describe this dual operation as the creation of credit. By its means the banker creates the means of payment out of nothing, whereas when he receives a bag of money from his customer, one means of payment, a bank credit, is merely substituted for another, an equal amount of cash.
Economist Ralph George Hawtrey, Currency and Credit (1919), p. 20
And I sincerely believe, with you, that banking establishments are more dangerous than standing armies; and that the principle of spending money to be paid by posterity, under the name of funding, is but swindling futurity on a large scale.
Thomas Jefferson, 3rd US President, in a letter to John Taylor in 1816
Not long ago, a dyed-in-the-wool Capitalist gets the lesson of his lifetime when I pointed out to him that money is created out debt.
Lloyd Blankfein, CEO Goldman Sachs, 2009 Source: Wall Street Journal, May 2010
Banks do not have an obligation to promote the public good.
Alexander Dielius, CEO Germany, Austria, Eastern Europe Goldman Sachs, January 2010, Source: Wall Street Journal, May 2010
The study of money, above all other fields in economics, is one in which complexity is used to disguise truth or to evade truth, not to reveal it.
John Kenneth Galbraith, Money: Whence it came, where it went (1975), p. 15
The process by which banks create money is so simple that the mind is repelled.
John Kenneth Galbraith, Money: Whence it came, Where it Went p. 29
The modern banking system manufactures “money” out of nothing; and the process is, perhaps, the most, astounding piece of “sleight of hand” that was ever invented. In fact, it was not invented. It merely “grew”. ... Banks in fact are able to create (and cancel) modern “deposit money”, just as much as they were originally able to create, or call in, their own original forms of private notes. They can, in fact, inflate and deflate, i.e., mint, and un-mint the modern “ledger-entry” currency.
Angas, Major L. L. B. (Lawrence Lee Bazley) (1937). Slump ahead in bonds. Somerset Pub. Co.. pp. 20-21
The actual process of money creation takes place in commercial banks. As noted earlier, demand liabilities of commercial banks are money. ... Confidence in these forms of money also seems to be tied in some way to the fact that assets exist on the books of the government and the banks equal to the amount of money outstanding, even though most of the assets themselves are no more than pieces of paper...
Federal Reserve Bank of Chicago; Nichols, Dorothy M (1961). Modern Money Mechanics; a workbook on deposits, currency and bank reserves.. p. 3
Commercial banks create checkbook money whenever they grant a loan, simply by adding new deposit dollars in accounts on their books in exchange for a borrower's IOU.
Federal Reserve Bank of New York; Friedman, David H. (1977). I Bet You Thought.... p. 19
The 12 regional reserve banks aren't government institutions, but corporations nominally 'owned' by member commercial banks.
Federal Reserve Bank of New York, I Bet You Thought... (1977), p. 27
The use of money does not disestablish the normal process of creating credit. Money, it is true, is always being paid into the banks by the retailers and others who receive it in the course of business, and they of course receive bank credits in return for the money thus deposited. But for the manufacturers and others who have to pay money out, credits are still created by the exchange of obligations, the banker's immediate obligation being given to his customer in exchange for the customer's obligation to repay at a future date. We shall still describe this dual operation as the creation of credit. By its means the banker creates the means of payment out of nothing, whereas when he receives a bag of money from his customer, one means of payment, a bank credit, is merely substituted for another, an equal amount of cash.
Economist Ralph George Hawtrey, Currency and Credit (1919), p. 20
And I sincerely believe, with you, that banking establishments are more dangerous than standing armies; and that the principle of spending money to be paid by posterity, under the name of funding, is but swindling futurity on a large scale.
Thomas Jefferson, 3rd US President, in a letter to John Taylor in 1816
Not long ago, a dyed-in-the-wool Capitalist gets the lesson of his lifetime when I pointed out to him that money is created out debt.
