{"id":26317,"date":"2024-06-19T10:38:13","date_gmt":"2024-06-19T08:38:13","guid":{"rendered":"https:\/\/michelsanti.fr\/?p=26317"},"modified":"2024-06-19T10:38:13","modified_gmt":"2024-06-19T08:38:13","slug":"monetary-creation","status":"publish","type":"post","link":"https:\/\/michelsanti.fr\/en\/central-banks\/monetary-creation","title":{"rendered":"The untapped potential of our Central Banks"},"content":{"rendered":"<p><img data-recalc-dims=\"1\" fetchpriority=\"high\" decoding=\"async\" class=\"alignnone size-full wp-image-26320\" src=\"https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2024\/06\/budget-us.jpg?resize=1170%2C896&#038;ssl=1\" alt=\"\" width=\"1170\" height=\"896\" srcset=\"https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2024\/06\/budget-us.jpg?w=1692&amp;ssl=1 1692w, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2024\/06\/budget-us.jpg?resize=300%2C230&amp;ssl=1 300w, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2024\/06\/budget-us.jpg?resize=1024%2C784&amp;ssl=1 1024w, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2024\/06\/budget-us.jpg?resize=768%2C588&amp;ssl=1 768w, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2024\/06\/budget-us.jpg?resize=1536%2C1177&amp;ssl=1 1536w, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2024\/06\/budget-us.jpg?resize=1200%2C919&amp;ssl=1 1200w\" sizes=\"(max-width: 1170px) 100vw, 1170px\" \/><\/p>\n<p>&nbsp;<\/p>\n<p>The USA now spends as much on paying the interest on their debt as on their defense budget!<\/p>\n<p>So, we are not the only ones in debt.<\/p>\n<p>However, the major difference is that the USA can &#8211; through their Central Bank &#8211; create money that flows through all sectors of their economy.<\/p>\n<p>Result?<\/p>\n<p>Growth: USA 2.6% \/ France 0.7%<br \/>\nUnemployment: USA 3.8% \/ France 7.5%<\/p>\n<p>But do our leaders even know how a Central Bank works, and all the benefits they can derive from it for their own policies?<\/p>\n","protected":false},"excerpt":{"rendered":"<p>&nbsp; The USA now spends as much on paying the interest on their debt as on their defense budget! So, we are not the only ones in debt. However, the major difference is that the USA can &#8211; through their Central Bank &#8211; create money that flows through all sectors of their economy. Result? Growth:&hellip;<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"give_campaign_id":0,"_crdt_document":"","_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"mc4wp_mailchimp_campaign":[],"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"_wpas_customize_per_network":false,"jetpack_post_was_ever_published":false},"categories":[648941265,648941280],"tags":[],"class_list":["post-26317","post","type-post","status-publish","format-standard","hentry","category-central-banks","category-money-creation"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>The untapped potential of our Central Banks - Michel Santi<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/michelsanti.fr\/en\/central-banks\/monetary-creation\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The untapped potential of our Central Banks - Michel Santi\" \/>\n<meta property=\"og:description\" content=\"&nbsp; The USA now spends as much on paying the interest on their debt as on their defense budget! So, we are not the only ones in debt. However, the major difference is that the USA can &#8211; through their Central Bank &#8211; create money that flows through all sectors of their economy. Result? Growth:&hellip;\" \/>\n<meta property=\"og:url\" content=\"https:\/\/michelsanti.fr\/en\/central-banks\/monetary-creation\" \/>\n<meta property=\"og:site_name\" content=\"Michel Santi\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/michel.santi.economiste\" \/>\n<meta property=\"article:published_time\" content=\"2024-06-19T08:38:13+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/michelsanti.fr\/wp-content\/uploads\/2024\/06\/budget-us.jpg\" \/>\n<meta name=\"author\" content=\"Michel Santi\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@michelsanti1\" \/>\n<meta name=\"twitter:site\" content=\"@michelsanti1\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Michel Santi\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation\"},\"author\":{\"name\":\"Michel Santi\",\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/#\\\/schema\\\/person\\\/ba61ae1376925b43e3d1ddbc1e3eb2a4\"},\"headline\":\"The untapped potential of our Central Banks\",\"datePublished\":\"2024-06-19T08:38:13+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation\"},\"wordCount\":91,\"commentCount\":0,\"image\":{\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/michelsanti.fr\\\/wp-content\\\/uploads\\\/2024\\\/06\\\/budget-us.jpg\",\"articleSection\":[\"Central Banks\",\"Money creation\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation\",\"url\":\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation\",\"name\":\"The untapped potential of our Central Banks - Michel Santi\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/michelsanti.fr\\\/wp-content\\\/uploads\\\/2024\\\/06\\\/budget-us.jpg\",\"datePublished\":\"2024-06-19T08:38:13+00:00\",\"author\":{\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/#\\\/schema\\\/person\\\/ba61ae1376925b43e3d1ddbc1e3eb2a4\"},\"breadcrumb\":{\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation#primaryimage\",\"url\":\"https:\\\/\\\/michelsanti.fr\\\/wp-content\\\/uploads\\\/2024\\\/06\\\/budget-us.jpg\",\"contentUrl\":\"https:\\\/\\\/michelsanti.fr\\\/wp-content\\\/uploads\\\/2024\\\/06\\\/budget-us.jpg\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/en\\\/central-banks\\\/monetary-creation#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Accueil\",\"item\":\"https:\\\/\\\/michelsanti.fr\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"The untapped potential of our Central Banks\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/michelsanti.fr\\\/#website\",\"url\":\"https:\\\/\\\/michelsanti.fr\\\/\",\"name\":\"Michel Santi\",\"description\":\"\\\"It is not because things are difficult that we do not dare. 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However, they diverge when the profile of the debtor is considered because, while the Austrian school is primarily concerned with public debts, the neo-Keynesians attach much more importance to private sector debts. The classics are indeed\u2026","rel":"","context":"In &quot;financial crisis&quot;","block_context":{"text":"financial crisis","link":"https:\/\/michelsanti.fr\/en\/category\/financial-crisis"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2023\/03\/serenite.png?fit=1200%2C801&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2023\/03\/serenite.png?fit=1200%2C801&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2023\/03\/serenite.png?fit=1200%2C801&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2023\/03\/serenite.png?fit=1200%2C801&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2023\/03\/serenite.png?fit=1200%2C801&ssl=1&resize=1050%2C600 3x"},"classes":[]},{"id":27581,"url":"https:\/\/michelsanti.fr\/en\/banking-crisis\/central-banks-the-new-weak-link-in-our-system","url_meta":{"origin":26317,"position":1},"title":"Central Banks: The New Weak Link in Our System?","author":"Michel Santi","date":"February 22, 2025","format":false,"excerpt":"The European Central Bank announces a loss, the largest since its creation, of 8.3 billion euros for the 2024 fiscal year. By choice, or by lack of rigor, it has paid to banks interest rates far too high in relation to the returns on the various bonds that it holds.\u2026","rel":"","context":"In &quot;banking crisis&quot;","block_context":{"text":"banking crisis","link":"https:\/\/michelsanti.fr\/en\/category\/banking-crisis"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2025\/02\/GkTG59cWAAA8z7f.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2025\/02\/GkTG59cWAAA8z7f.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2025\/02\/GkTG59cWAAA8z7f.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2025\/02\/GkTG59cWAAA8z7f.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2025\/02\/GkTG59cWAAA8z7f.jpg?resize=1050%2C600&ssl=1 3x, https:\/\/i0.wp.com\/michelsanti.fr\/wp-content\/uploads\/2025\/02\/GkTG59cWAAA8z7f.jpg?resize=1400%2C800&ssl=1 4x"},"classes":[]},{"id":19489,"url":"https:\/\/michelsanti.fr\/en\/climate-change\/finance-at-the-heart-of-the-climate-emergency","url_meta":{"origin":26317,"position":2},"title":"Finance: at the heart of the climate emergency","author":"Michel Santi","date":"June 18, 2019","format":false,"excerpt":"\u00a0 The UK is hoping to achieve climate neutrality by 2050. 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While they don\u2019t do it deliberately to relaunch growth, it is true that \u2013 in their defense \u2013 they weren\u2019t founded to regulate public consumption. Their raison\u2026","rel":"","context":"In &quot;Central Banks&quot;","block_context":{"text":"Central Banks","link":"https:\/\/michelsanti.fr\/en\/category\/central-banks"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":13709,"url":"https:\/\/michelsanti.fr\/en\/central-banks\/the-central-bank-of-the-21st-century","url_meta":{"origin":26317,"position":4},"title":"The central bank of the 21st century","author":"Michel Santi","date":"May 10, 2016","format":false,"excerpt":"Central banks hold the key to our economic recovery since they can afford to create money in unlimited quantities, without ever fearing bankruptcy. While they don\u2019t do it deliberately to relaunch growth, it is true that \u2013 in their defense \u2013 they weren\u2019t founded to regulate public consumption. Their raison\u2026","rel":"","context":"In &quot;Central Banks&quot;","block_context":{"text":"Central Banks","link":"https:\/\/michelsanti.fr\/en\/category\/central-banks"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":20641,"url":"https:\/\/michelsanti.fr\/en\/central-banks\/the-most-important-job-in-the-world","url_meta":{"origin":26317,"position":5},"title":"The most important job in the world?","author":"Michel Santi","date":"September 17, 2020","format":false,"excerpt":"\u00a0 The most coveted job in the world is that of the central banker, who also arouses the hastiest of judgments, all over them like a rash, and sometimes even hate-filled. 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