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ianleeclark
2293 days ago
Why do you believe some entity needs the cash now?
1 comments
robjan
2293 days ago
Other entities may not forgive the banks for failing to make repayments on their loans. There are also instruments such as bonds and fixed income which may be backed by mortgages.
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ptah
2293 days ago
the money is not from other entities. it is literally made up based on a fraction of the reserves the bank holds.
https://en.wikipedia.org/wiki/Fractional-reserve_banking
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