Economics

2060 readers

32 users here now

founded 5 years ago

MODERATORS

[email protected]

Do Auto Loans increase the money supply? (self.economics)

submitted 1 week ago* (last edited 1 week ago) by toastmeister to c/[email protected]

12 comments fedilink hide all child comments

Do Auto Loans increase the money supply, I cant seem to find a source for it. Its not a question on a test or anything, I was just curious, I'd always figured it was only business loans and mortgages that did so.

you are viewing a single comment's thread
view the rest of the comments

[–] [email protected] 2 points 1 week ago* (last edited 1 week ago) (1 children)

https://www.youtube.com/watch?v=0yMMTDYFlLc

Also central bank interest rates do not have any effect on a loan you take out. Interest rates were near 0 for ages did you get any free loans? In Japan they were negative, do you think that Japanese consumers were getting paid to take loans? During the inflationary period were you suddenly getting paid to save more? Even though central bank interest rates went up?

[–] [email protected] 1 points 1 week ago (1 children)

That’s a great four minute explainer.

All money is debt. There’s nothing else.

It’s true. Even US government created money is debt. When we pay our federal taxes, that money is destroyed, just like when we pay down the principal on our bank loans.

[–] [email protected] 2 points 1 week ago (1 children)

Yes I find his channel pretty useful for basic economics stuff, I’m a dumbass and didn’t go to university so I love channels like that.

[–] [email protected] 1 points 1 week ago (2 children)

It seems he’s Wikipedia famous: https://en.wikipedia.org/wiki/Richard_Murphy_(tax_campaigner)

[–] [email protected] 2 points 1 week ago

And a Quaker as well. I have a soft spot for them.

[–] [email protected] 2 points 1 week ago (1 children)

I don’t know how good you are at maths but I also found this guy to be interesting but I don’t have the technical expertise to verify or debunk his claims

https://youtu.be/_h4U5SMrwag

[–] [email protected] 1 points 1 week ago* (last edited 1 week ago) (1 children)

Keen is amazing. Eventually I plan to try out his Ravel application. I’m a software developer, and only recently became interested in economics through Marxist economists like Michael Hudson, Radikha Desai, and Yanis Varoufakis. They all subscribe to the fundamental tenets of MMT.

[–] [email protected] 2 points 1 week ago

Yeah they’re all great, I read Engles synopsis on capital to get an intro to Marxism and I’ll try actually get through all of capital someday I really want to try the new English translation because I’m not amazing at reading in German.

If you’re a software guy then I definitely want to recommend you check this guy out: https://www.youtube.com/@paulcockshott8733

He’s super approachable and he did a lot of work on economic planning along with Moshe Machover and a couple other guys.