state-owned bank – Green Social Thought https://www.greensocialthought.org Produce less. Distribute it fairly. Create a greener world for all. Thu, 22 Feb 2024 04:47:40 +0000 en-US hourly 1 https://wordpress.org/?v=6.9.4 https://www.greensocialthought.org/wp-content/uploads/2021/07/cropped-ggef_logo_small-1-32x32.png state-owned bank – Green Social Thought https://www.greensocialthought.org 32 32 The Public Bank Option: Safer, Local and Half the Cost https://www.greensocialthought.org/biodiversity-biodevastation/public-bank-option-safer-local-and-half-cost/ Mon, 01 Jan 2018 14:58:55 +0000 https://gst.riz-om.network/reprint/public-bank-option-safer-local-and-half-cost/ by Ellen Brown

A UK study published on October 27, 2017 reported that the majority of politicians do not know where money comes from. According to City A.M. (London) : More than three-quarters of the MPs surveyed incorrectly believed that only the government has the ability to create new money. . . . The Bank of England has previously intervened to point out that most money in the UK begins as a bank loan. In a 2014 article the Bank pointed out that “whenever a bank makes a loan, it simultaneously creates a matching deposit in the borrower’s bank account, thereby creating new money.” The […]]]> by Ellen Brown

A UK study published on October 27, 2017 reported that the majority of politicians do not know where money comes from. According to City A.M. (London) :

More than three-quarters of the MPs surveyed incorrectly believed that only the government has the ability to create new money. . . .

The Bank of England has previously intervened to point out that most money in the UK begins as a bank loan. In a 2014 article the Bank pointed out that “whenever a bank makes a loan, it simultaneously creates a matching deposit in the borrower’s bank account, thereby creating new money.”

The Bank of England researchers said that 97% of the UK money supply is created in this way. In the US, the figure is about 95%. City A.M. quoted Fran Boait, executive director of the advocacy group Positive Money, who observed:

“Despite their confidence in telling the public that there is ‘no magic money tree’ to pay for vital services, politicians themselves are shockingly ignorant of where money actually comes from.

“There is in fact a ‘magic money tree’, but it’s in the hands of commercial banks, such as Barclays, HSBC and RBS, who create money whenever they make loans.”

]]> What a State-Owned Bank Can Do for New Jersey https://www.greensocialthought.org/biodiversity-biodevastation/what-state-owned-bank-can-do-new-jersey/ Wed, 24 May 2017 14:24:14 +0000 https://gst.riz-om.network/reprint/what-state-owned-bank-can-do-new-jersey/ by Ellen Brown

Phil Murphy, the leading Democratic candidate for governor of New Jersey, has made a state-owned bank a centerpiece of his campaign. He says the New Jersey bank would “take money out of Wall Street and put it to work for New Jersey – creating jobs and growing the economy [by] using state deposits to finance local investments … and … support billions of dollars of critical investments in infrastructure, small businesses, and student loans – saving our residents money and returning all profits to the taxpayers.” A former Wall Street banker himself, Murphy knows how banking works. But in an […]]]> by Ellen Brown

Phil Murphy, the leading Democratic candidate for governor of New Jersey, has made a state-owned bank a centerpiece of his campaign. He says the New Jersey bank would “take money out of Wall Street and put it to work for New Jersey – creating jobs and growing the economy [by] using state deposits to finance local investments … and … support billions of dollars of critical investments in infrastructure, small businesses, and student loans – saving our residents money and returning all profits to the taxpayers.”

A former Wall Street banker himself, Murphy knows how banking works. But in an April 7 op-ed in The New Jersey Spotlight, former New Jersey state treasurer Andrew Sidamon-Eristoff questioned the need for a state-owned bank and raised the issue of risk. This post is in response to those arguments, including a short refresher on the stellar model of the Bank of North Dakota (BND), currently the nation’s only state-owned depository bank.

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