Money and Debt: The Public Role of Banks

Intro -- Preface -- Contents -- About the Authors -- Chapter 1: Introduction -- 1.1 What Is Money? -- 1.2 What Is Debt? -- 1.3 The Importance of Trust -- 1.4 The Dynamism of the Financial Monetary System -- 1.5 Overview of the Report -- Bibliography -- Chapter 2: How Is Money Created? -- 2.1 Banks and Money Creation -- 2.1.1 Electronic Payments and Cash Withdrawals -- 2.1.2 Free Money? -- 2.2 Driving and Constraining Forces -- 2.2.1 The Role of Households and Businesses -- 2.2.2 Banks ́ Balance Sheet Risks -- 2.2.2.1 Absorbing Losses - Leverage and Capital Ratios -- 2.2.2.2 Meeting Withdrawals: Liquidity Ratios and Reserve Requirements -- 2.3 Monetary Policy -- 2.3.1 Objectives and Instruments -- 2.3.2 How Monetary Policy Works in Practice -- 2.3.3 Quantitative Easing -- 2.4 Conclusion -- Bibliography -- Chapter 3: The History of Money Creation -- 3.1 Money and Finance in the Nineteenth Century -- 3.1.1 Money and Payments -- 3.1.2 Financing -- 3.1.3 Policy and Regulation -- 3.1.4 Summary: Money Creation in the Nineteenth Century -- 3.2 The Interwar Period and the Great Depression (1918-1939) -- 3.2.1 Money and Payments -- 3.2.2 Financing -- 3.2.3 Policy and Regulation -- 3.2.4 Summary: Money Creation in the Interwar Period -- 3.3 The Bretton Woods Period (1945-1973) -- 3.3.1 Money and Payments -- 3.3.2 Financing -- 3.3.3 Policy and Regulation -- 3.3.4 Summary: Money Creation in the Bretton Woods Period -- 3.4 The Pre-crisis Period (1973-2008) -- 3.4.1 Money and Payments -- 3.4.2 Financing -- 3.4.3 Policy and Regulation -- 3.4.4 Summary: Money Creation in the Pre-crisis Period -- 3.5 Conclusion -- Bibliography -- Chapter 4: An Appraisal of the Financial Monetary System -- 4.1 Economic Contribution -- 4.1.1 The Payment System -- 4.1.2 The Volume of Debt -- 4.1.3 Reducing Debt Levels -- 4.2 Stability -- 4.2.1 Stability of Individual Banks.