Understanding the Basics of Banking

I haven't been available to update this blog recently, and I won't be available for several more months, so I thought I should at l...

Update 1 2013.08.26: Changed the role of variable "G": it no longer contributes to public's money stock. Update 2 2013.08.2...

This post is just a more detailed version of Example #11 . Please refer to that prior post for explanations of the assumptions made and the...

In this post I am trying to capture a large set of possible balance sheets here in a simplified world consisting of just four basic entitie...

In recent discussions with David Beckworth about a recent post of his, I've become confused as to what the Market Monetarist (MMist) p...

This example is meant to illustrate inside money creation, destruction, and the relationship between that and the creation and destruction...

This reader inspired example simply shows what happens when an individual pays taxes to the Federal government. Setup: the Treasury De...