This whole thing is

December 26, 2015 at 11:09 am #86904

Keymaster

This whole thing is ridiculous:

Quote:

Banks won’t be able to create money for themselves anymore, they’ll only be able to lend money that they have from savers or other banks, or even, if necessary, money that the Swiss National Bank has provided them,

This is more or less what happens today !I think that what they are proposing is that banks should no longer be able to lend out money deposited in a current (as opposed to a savings) account. They'll just have to keep it as if they were a safe deposit service. That doesn't make sense from a capitalist point of view as it means that temporarily unused money won't be able to be channelled to those who want money to spend and are prepared to pay interest to borrow it.It is also likely to mean that banks will have to charge for storing people's current account money, i.e charges will go up. No more "free" banking. I imagine that this is what the opponents of the measure will be emphasising during the referendum campaign and could be a winner for them. We'll see.Strictly speaking, this is not currency crankism as the proposed measure is feasible, just silly.