Quick Link:Where Does Money Come From?

14th Oct 2008 - Posted to Outer Monologue, Quick Link

Dave Gorman asked the question "Where does money come from?" earlier today, obviously the economy is on a lot of peoples minds at the moment (and not least my own — more on that another time). It was a simple question and there was a couple of really great links in the comments: Money as Debt video on Google Video, which is also available from moneyasdebt.net and a quick summation of the "Money as Debt" video.

I, like many others no doubt, thought that it was all based on the money that we deposit in banks; they invest some of that and keep some aside to let other depositors (and me) have access to some of that. But that still didn’t answer the question as to where the rest of the money comes from but the video does a great job of explaining it.

And if after watching that you’re not a little concerned then you must be a banker.

Comments

There have been 2 comments so far, join the discussion.

1. Ashley Moran - 18th Oct 2008 - 5:59 pm

Thanks for posting this. The vast, vast, vast majority of people (including most people that work in banks) are ignorant of where money comes from. Another useful resource is a talk given by Al Wagner, available on YouTube: http://www.youtube.com/watch?v=ZDun7uNo138

2. Peter - 12th Nov 2008 - 10:41 am

If you’re willing to explore the rabbit hole futher, check out the excellent documentary ‘The Money Masters’. It’s 5 hours long and quite hard to watch but well worth it. Might be worth ripping out the audio for listening too when travelling.

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