i would have german videos about it but well that does not help

Ok ok. Let's go to the main point

Who gives credit?

Govt?

for giving credit (fiat money) you need a bank, banks give credit

you have goverment which makes rules for gioving credits

> for giving credit (fiat money) you need a bank, banks give credit
@hororizon44575 and money comes from credit. So it's right to claim money comes from banks?

and you have ecb which says you need an minimum of guarantys to give out an amount of credits

yes money comes from credit

thats why all this saying bank lends money is bullshit

I meant banks

No no, read it again

I did a typo

oh well yes it has to be banks (central banks are also banks which gives an other kind of credit to the bank) #interbankenhandel (in german)

Yeah, so it is banks

So if banks are the source of money. Why it's wrong to say they lend money?

According to you, what's the purpose of banks?

becouse lending means you have saved samething which you can than land out

banks do not have saved samething they creat samething thats an completly other thing

banks creat money and destroy money when credits are liquidated

Ah, ok

while how much they can create and in which rules is different from countrys

That makes sense

So what is the main purpose of banks? To keep putting money into the system?

well it depends who you ask. if they would not be privat i would say to guranty the right amount of money is in the sysem which does not couse high inflation or deflation rates

but well banks are privat which brings them to make as much money

which results in giving credits with the most return of invest

the return of invest are the interest rates

I see

while you also have the risk of if the other party can not pay back you actualy make a lose

I have some more questions, just wait for some time. Gtg

in all the economics debates i am missing that simple point

> the return of invest are the interest rates
@hororizon44575 so if banks print a lot of money, the interest rates increase.
Is this what the current problem is?

@hororizon44575

wait

to give a credit you also need sameone who wants the credit

Ok

in deflation bank will tend to not give credits becouse giving credit if nnoone buys means higher risk

but in inflation its the oppesit giving credit at low risk

(thats why i also think poeple who say just let it solve by free markets should check there brains)

What is "it"?