Centre for Banking, Finance & Sustainable Development                                              Management School      ...
Centre for Banking, Finance & Sustainable Development                                   Management School      How did Gre...
Centre for Banking, Finance & Sustainable Development                                      Management School              ...
Centre for Banking, Finance & Sustainable Development                                                Management School    ...
Centre for Banking, Finance & Sustainable Development                                          Management School          ...
Centre for Banking, Finance & Sustainable Development                                       Management School             ...
Centre for Banking, Finance & Sustainable Development                                                   Management School ...
Centre for Banking, Finance & Sustainable Development                                                    Management School...
Centre for Banking, Finance & Sustainable Development                                            Management School       B...
/Centre for Banking, Finance& Sustainable Development                                              Management School      ...
Centre for Banking, Finance & Sustainable Development                                          Management School      The ...
Centre for Banking, Finance& Sustainable Development                                                                      ...
Centre for Banking, Finance & Sustainable Development                               Management School           Bank credi...
Centre for Banking, Finance & Sustainable Development                                                                Manag...
Centre for Banking, Finance & Sustainable Development                                                                  Man...
Centre for Banking, Finance & Sustainable Development                                                                     ...
Centre for Banking, Finance & Sustainable Development                                       Management School Greece:     ...
Centre for Banking, Finance & Sustainable Development                                               Management School   Wh...
Centre for Banking, Finance & Sustainable Development                                 Management School  The Great Greek A...
Centre for Banking, Finance & Sustainable Development                                       Management School Greece:     ...
Centre for Banking, Finance & Sustainable Development                                   Management School     The Solution...
Centre for Banking, Finance & Sustainable Development                   Management School     What must happen with shrink...
Centre for Banking, Finance & Sustainable Development                        Management SchoolThe same is happening in Ire...
Centre for Banking, Finance & Sustainable Development                                   Management School  But there is a ...
Centre for Banking, Finance & Sustainable Development                                              Management School      ...
Centre for Banking, Finance & Sustainable Development                                      Management School              ...
Centre for Banking, Finance & Sustainable Development                                       Management School     Werner-P...
Centre for Banking, Finance & Sustainable Development                                                                     ...
Centre for Banking, Finance & Sustainable Development                                                                     ...
Centre for Banking, Finance & Sustainable Development                                         Management School           ...
Centre for Banking, Finance & Sustainable Development                                         Management School           ...
Centre for Banking, Finance& Sustainable Development                                                                      ...
Centre for Banking, Finance& Sustainable Development                                                                     M...
Centre for Banking, Finance& Sustainable Development                                                                      ...
Centre for Banking, Finance & Sustainable Development                                             Management School       ...
Centre for Banking, Finance & Sustainable Development                                                Management School    ...
Centre for Banking, Finance & Sustainable Development                                 Management School          State Mon...
Centre for Banking, Finance & Sustainable Development                              Management School                      ...
Centre for Banking, Finance & Sustainable Development                                                    Management School...
Centre for Banking, Finance & Sustainable Development                                            Management School        ...
Centre for Banking, Finance & Sustainable Development                                     Management School               ...
Centre for Banking, Finance & Sustainable Development                          Management School                          ...
Centre for Banking, Finance & Sustainable Development                          Management School                          ...
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Prof.Richard Werner:Solutions for Greece-other than default, euro exit or giving up national sovereignty

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Prof.Richard Werner:Solutions for Greece-other than default, euro exit or giving up national sovereignty

  1. 1. Centre for Banking, Finance & Sustainable Development Management School Solutions for Greece – other than default, euro-exit or giving up national sovereignty Richard A. Werner Centre for Banking, Finance and Sustainable Development University of Southampton Management School Athens University of Economics and Business Athens 24 January 2013Richard A. Werner 2013
  2. 2. Centre for Banking, Finance & Sustainable Development Management School How did Greece get into trouble? • We all know, it started by Greece giving up control over its money and joining the euro • Since then, the ECB has been making monetary policy in Greece. • What sort of monetary policy did it pursue? • What is the best way to measure monetary policy? • What is money?Richard A. Werner 2013 1
  3. 3. Centre for Banking, Finance & Sustainable Development Management School What is Money? Textbooks and central banks do not tell us clearly:  “It is much harder to measure than one would have first thought.” (p. 119) Chamberlin and Yueh (2006)  “Although there is widespread agreement among economists that money is important, they have never agreed on how to define and how to measure money” (Miller and Van Hoose, 2004:42)  Today, even the Federal Reserve cannot tell us just what money is: “there is still no definitive answer in terms of all its final uses to the question: What is money?”Richard A. Werner 2013
  4. 4. Centre for Banking, Finance & Sustainable Development Management School What is the Role of Banks? Textbook View of Banks as Financial Intermediaries RR = 1% Saving Banks Investment & other financial intermediaries (Lenders, = “indirect finance” (Borrowers) Depositors) Purchase of Newly Issued Debt/Equity = “direct finance”/disintermediation Thus when the financial crisis hit, the leading economics models and theories did not include banks as they were not considered important or special. 3Richard A. Werner 2013
  5. 5. Centre for Banking, Finance & Sustainable Development Management School What Makes Banks Special? But empirically, it had been found that banks are special! Their function cannot be easily replaced by other financial players or markets. - Fama (1985) shows that banks must have monopoly power compared to other financial institutions. - Ashcraft (2005) shows that the closure of small regional banks significantly hurts the local economy. But economic theory could not explain why. Here is why.Richard A. Werner 2013 4
  6. 6. Centre for Banking, Finance & Sustainable Development Management School Where Does Money Come From?  Over 80% of the population thinks that it comes from the central bank or the government.  No money comes from the government.  Only about 3% of the money supply comes from the central bank.  Who creates the remaining 97% of our money supply and who allocates this money? The ‘leading’ economic journals and textbooks are silent on this. Answer: The banks  They are not financial intermediaries but the main creators of money. They have a license to create money out of nothing.Richard A. Werner 2013 5
  7. 7. Centre for Banking, Finance & Sustainable Development Management School Banks Do Not Lend Money Balance Sheet of Bank A Step 1 Deposit of $100 by customer at Bank A Assets Liabilities $100 Step 2 $100 used to increase the reserve of Bank A Assets Liabilities $100 $100 6Richard A. Werner 2013
  8. 8. Centre for Banking, Finance & Sustainable Development Management School Banks Do Not Lend Money, They Create it! Step 3 Loan of $9,900 granted, by crediting borrower’s bank account. Where do the £9,900 come from? From nowhere. The borrower is treated as if she/he or the bank had actually deposited the money, but no money was deposited or transferred from anywhere else. Assets Liabilities $100 $100 NB: No money is + + transferred from $9,900 $9,900 elsewhere There is no such thing as a ‘bank loan‘. Banks create money through ‘credit creation‘. This is how 97% of the money supply is created. 7Richard A. Werner 2013
  9. 9. Centre for Banking, Finance & Sustainable Development Management School Bank Credit Creation: Not in Economics Textbooks, but Admitted by Central Banks: “The actual process of money creation takes place primarily in banks.” (Federal Reserve Bank of Chicago, 1961, p. 3); “By far the largest role in creating broad money is played by the banking sector ... When banks make loans they create additional deposits for those that have borrowed.” (Bank of England, 2007) “Over time… Banknotes and commercial bank money became fully interchangeable payment media that customers could use according to their needs” (ECB, 2000). “The commercial banks can also create money themselves… in the eurosystem, money is primarily created by the extension of credit… ….” (Bundesbank, 2009)Richard A. Werner 2013 8
  10. 10. /Centre for Banking, Finance& Sustainable Development Management School Banks are Not Financial Intermediaries RR = 1% Saving Banks Investment (‘Financial (Borrowers) (Lenders, Depositors) Intermediaries’) =“indirect finance” $99 $100 “direct finance” They are the Creators of the Money Supply. And they decide who gets the money and for which purpose it is used. This decision shapes the economic landscape. Banks thus decide over the economic destiny of a country. Credit creation is the most important macroeconomic variable. 9
  11. 11. Centre for Banking, Finance & Sustainable Development Management School The Quantity Theory of Credit (Werner, 1992, 1997):  Money is best measured by its credit counterpart (C) which created it.  Financial transactions are not part of GDP.  If we want a link to GDP, we must divide money/credit into two streams: Credit used for GDP transactions, used for the ‘real economy’ (‘real circulation credit’ = CR)C Credit used for non-GDP transactions (‘financial circulation credit’ = CF)Richard A. Werner 2013 10
  12. 12. Centre for Banking, Finance& Sustainable Development Management School The Quantity Theory of Credit (Werner, 1992, 1997)∆(PRY) = VR ∆CR ∆(PFQF) = VF∆CFnominal GDP real economy credit creation asset markets financial credit creationYoY % YoY % YoY % YoY %12 12 80 40 70 3510 10 60 30 8 8 25 50 Nationwide Residential 20 6 6 40 Real Estate Land Price (R) Credit (L) 15 nGDP (R) 30 4 4 10 20 2 2 5 10 0 0 0 0 -5 83 85 87 89 91 93 95 97 99-2 -2 -10 -10 CR (L) 71 73 75 77 79 81 83 85 87 89 91 93 95 97 99 01-4 -4 Latest: H1 2001 Latest: Q4 2000Real circulation credit determines Financial circulation credit determinesnominal GDP growth asset prices – leads to asset cycles and banking crises
  13. 13. Centre for Banking, Finance & Sustainable Development Management School Bank credit creation determines economic growth. The effect of bank credit allocation depends on the use money is put to Case 1: Consumption credit Investment credit (= credit for the creation of new Result: Inflation without growth goods and services or productivity gains) Case 2: Financial credit (= credit for transactions that do Result: Growth without inflation, not contribute to and are not part even at full employment of GDP): = productive credit Result: Asset inflation, bubbles creation and banking crises = unproductive credit creationRichard A. Werner 2013 12
  14. 14. Centre for Banking, Finance & Sustainable Development Management School Credit for financial transactions explains boom/bust cycles and banking crises  A significant rise in credit creation for non-GDP transactions (financial credit CF) must lead to: 30% - asset bubbles and busts 28% - banking and economic crises 26% 24%  USA in 1920s: margin loans rose CF/C 22% from 23.8% of all loans in 1919 20% to over 35% 18%  Case Study Japan in the 1980s: 16% 14% CF/C rose from about 15% at the 12% beginning of the 1980s to almost 79 81 83 85 87 89 91 93 twice this share Source: Bank of Japan CF/C = Share of loans to the real estate industry, construction companies and non- bank financial institutionsRichard A. Werner 2013 13
  15. 15. Centre for Banking, Finance & Sustainable Development Management SchoolWarning Sign: Broad Bank Credit Growth > nGDP Growth YoY % This Created Japans Bubble. 20 Broad Bank Credit 15 10 Excess Credit Creation Nominal GDP 5 0 -5 -10 81 83 85 87 89 91 93 95 97 99 01 03 05 07 09 11 Latest: Q3 2011Richard A. Werner 2013 14
  16. 16. Centre for Banking, Finance & Sustainable Development Management School Out-of-control CF is the problem, creating the Bubbles and Crises in Ireland, Spain Broad Bank Credit and GDP (Ireland) Broad Bank Credit and GDP (Spain) 100 30 90 25 80 70 20 60 15 50 40 10 30 5 20 nGDP 10 0 0 nGDP -5 -10 -20 -10 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 / Q /Q / Q / Q / Q / Q /Q / Q /Q / Q /Q / Q / Q / Q / Q /Q / Q /Q / Q / Q / Q / Q / Q 87 988 989 990 991 992 993 994 995 996 997 998 999 000 001 002 003 004 005 006 007 008 0091 9 /Q 11 9 /Q 31 9 /Q 12 0 /Q 32 0 /Q 12 0 /Q 32 0 /Q 12 0 /Q 32 0 /Q 12 0 /Q 32 0 /Q 12 0 /Q 32 0 /Q 12 0 /Q 32 0 /Q 12 0 /Q 32 0 /Q 12 0 /Q 32 0 /Q 12 0 /Q 32 0 /Q 12 0 /Q 32 0 /Q 1 3 /Q 19 1 1 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 98 98 99 99 00 00 01 01 02 02 03 03 04 04 05 05 06 06 07 07 08 08 09 0919 Broad Bank Credit Growth > nGDP GrowthRichard A. Werner 2013 15
  17. 17. Centre for Banking, Finance & Sustainable Development Management School Greece: 1993-2009: over 10% credit growth 1995-97: over 20% credit growth 2001-2: over 30% credit growth nGDP Broad Bank Credit Growth > nGDP GrowthRichard A. Werner 2013 16
  18. 18. Centre for Banking, Finance & Sustainable Development Management School What happened in 1993/4? And in 2000/1? • The Bank of Greece was established by League of Nations (Annex to the Geneva Protocol of 1927) in 1928, as a Société Anonyme • In 1994, the Bank of Greece was made more independent from the government, and monetisation of government policy stopped. “As of 1994 the Bank of Greece no longer provides finance in any form to the public sector. …prohibition of monetary financing.” (Bank of Greece) • In 2000, the Bank of Greece was made fully independent from the government, without democratic accountability. • In 2001, the Bank of Greece became an integral part of the ECB. • Note: the ECB is independent of and unaccountable to any government or democratically elected assembly in EuropeRichard A. Werner 2013 17
  19. 19. Centre for Banking, Finance & Sustainable Development Management School The Great Greek Asset Bubble of 1994-2009 • was created by the policy of excessive credit creation by the Greek central bank and the ECB. • increased tax revenues and economic growth projections. • encouraged the government to overspend and undersave significantly • the bubble was unsustainable – as they always are – and thus would, without fail, result in a banking crisis and a fiscal crisis • what happened since 2009 has been predictable and was caused by the monetary policy of the central bank and the ECB.Richard A. Werner 2013 18
  20. 20. Centre for Banking, Finance & Sustainable Development Management School Greece: 1995-97: over 20% credit growth 2001-2: over 30% credit growth Independence ECB control from govtRichard A. Werner 2013 19
  21. 21. Centre for Banking, Finance & Sustainable Development Management School The Solution, as told by the ECB: • Greece must increase its debts by borrowing more from the IMF/EU/ECB. • An exit from the euro or full default must not happen. • Greece must implement deep fiscal and welfare cuts. • All must tighten their belts. • The ESM must be established and fiscal policy controlled centrally by the EU/ECB (loss of national sovereignty). BUT: No policies to stimulate growth and employment!Richard A. Werner 2013 20
  22. 22. Centre for Banking, Finance & Sustainable Development Management School What must happen with shrinking credit creation? A deepening slump and higher unemployment Bank credit creation: -7.2% YoYRichard A. Werner 2013 21
  23. 23. Centre for Banking, Finance & Sustainable Development Management SchoolThe same is happening in Ireland, Portugal, Spain & Italy Bank credit: -17% YoY Bank credit: -6.6% YoY Bank credit: -1% YoY Bank credit: -0.3% YoYRichard A. Werner 2013 22
  24. 24. Centre for Banking, Finance & Sustainable Development Management School But there is a solution – without costs and fiscal pain, producing a recovery and lower unemployment • the policy proposal would have reduced government debt and deficits • it would solve the funding problem in the bond markets • it would help the banks and increase credit creation without extra costs • no need for centralisation of fiscal policy or issuance of European gov’t bondsRichard A. Werner 2013 23
  25. 25. Centre for Banking, Finance & Sustainable Development Management School How to Create A Recovery After a Banking Crisis: Werner-Proposal of 1994: A new policy called “Quantitative Easing” = Expansion in Credit Creation = Total Effective Purchasing Power Richard A. Werner, Create a Recovery Through Quantitative Easing, 2 September 1995, Nihon Keizai Shinbun (Nikkei)Richard A. Werner 2013 24
  26. 26. Centre for Banking, Finance & Sustainable Development Management School Applying this Framework to Solving the European Sovereign Debt Crisis Werner-Proposal of 2011  Greece, Ireland, Portugal, Spain and Italy need to stimulate economic growth. This means stimulation of credit creation.  Their governments need to save money and reduce borrowing costs.  Bank credit growth needs to expand and banks need a safe way to expand their business and their returns  Here is how all of this can be achieved:  Governments need to stop the issuance of government bonds  Instead of borrowing from the bond markets – who do not create money – governments should fund their borrowing requirements entirely by borrowing from all the banks in their country. 25Richard A. Werner 2013
  27. 27. Centre for Banking, Finance & Sustainable Development Management School Werner-Proposal: The solution that maintains the euro and avoids default  Governments should enter into 3-year loan contracts at the much lower prime borrowing rate.  Eurozone governments remain zero risk borrowers according to the Basel capital adequacy framework (banks are thus happy to lend).  The prime rate is close to the banks’ refinancing costs of 1% - say 3.5%.  Instead of governments injecting money into banks, banks create new money and give it to the governments. 26Richard A. Werner 2013
  28. 28. Centre for Banking, Finance & Sustainable Development Management School Why fiscal spending programmes alone are ineffective Fiscal stimulation funded by bond issuance (e.g. : ¥20trn government spending package) Non-bank private sector   (no credit creation)      -¥20trn +¥20trn Funding via Fiscal bond stimulus issuance   Ministry of Finance (no credit creation) Net Effect = ZeroRichard A. Werner 2013 27
  29. 29. Centre for Banking, Finance & Sustainable Development Management School How to Make Fiscal Policy Effective Fiscal stimulation funded by bank borrowing (e.g. : ¥20trn government spending package) Bank sector deposit Non-bank private   (credit creation power) sector Assets       Liabilities (no credit creation) ¥20 trn ¥20 trn +¥ 20 trn Fiscal Funding MoF stimulus via bank Loans (No credit creation) Net Effect = ¥ 20 trnRichard A. Werner 2013 28
  30. 30. Centre for Banking, Finance & Sustainable Development Management School Advantages of this Proposal  The proposal will not increase aggregate debt.  Each country remains in charge of and liable for its debts.  No further ECB intervention required or purchases by the EFSF/ESM  The immediate savings will be substantial, as this method of enhanced debt management reduces the new borrowing costs, even below post- ECB-purchase yields (E 10bn in the coming year for Italy alone).  This helps the banking sector, as its core business, to extend credit, is expanded, thus increasing retained earnings.  These can then be used by banks to shore up their capital. Thus there are substantial savings to the taxpayer as new bank rescues become unnecessary. 29Richard A. Werner 2013
  31. 31. Centre for Banking, Finance & Sustainable Development Management School Advantages (II)  This proposal addresses the core underlying problem: slowing growth and the need to stimulate it. The proposal will boost nominal GDP growth – and avoid crowding out from the bond markets.  This is a problem as tight fiscal policy and tight credit conditions slow growth, with bank credit shrinking: Germany (-0.1%), Greece (-3.5%), Spain (-0.5%), Ireland (-14%).  Bank credit extension adds to the money supply. From the credit model we know that the proposal will boost nominal GDP growth – and avoid crowding out from the bond markets.  This increases employment and tax revenues.  It can push countries back from the brink of a deflationary and contractionary downward spiral into a positive cycle of growth, greater tax revenues and falling debt/GDP. 30Richard A. Werner 2013
  32. 32. Centre for Banking, Finance& Sustainable Development Management School Prime Rate vs. Market Yield of Benchmark Bonds: Portugal 18.00% 18.00% 16.00% 16.00% 14.00% 14.00% 12.00% 12.00% 10.00% 10.00% 8.00% 8.00% 6.00% 6.00% 4.00% 4.00% 2.00% 2.00% Latest July 2012 03 03 04 05 06 07 08 09 10 11 12 20 20 20 20 20 20 20 20 20 20 20 Portugal Prime Rates on Existing Loans to Non-Fin. Crops., Over 5 Year Maturity (%) Portugal 10y Government Benchmark Bid Yield - Redemption Yield (%) Portugal 5y Government Benchmark Bid Yield - Redemption Yield (%) Source: Thomson Reuters Datastream, ECB
  33. 33. Centre for Banking, Finance& Sustainable Development Management School Prime Rate vs. Market Yield of Benchmark Bonds: Spain 6.70% 6.70% 5.70% 5.70% 4.70% 4.70% 3.70% 3.70% 2.70% 2.70% 1.70% 1.70% 03 04 05 06 07 08 09 10 11 12 Latest July 2012 20 20 20 20 20 20 20 20 20 20 Spain Prim e Rates on Existing Loans to Non-Fin. Corps., Over 1 Year Maturity (%) Spain 5y Governm ent Benchm ark Bid Yield - Redem ption Yield (%) Spain 10y Governm ent Benchm ark Bid Yield - Redem ption Yield (%) Source: Thom son Reuters Datastream , ECB
  34. 34. Centre for Banking, Finance& Sustainable Development Management School Prime Rate vs. Market Yield of Benchmark Bonds: Greece 62.00% 62.00% 52.00% 52.00% 42.00% 42.00% 32.00% 32.00% 22.00% 22.00% 12.00% 12.00% 2.00% 2.00% 03 04 05 06 07 08 09 10 11 12 Latest: July 2012 20 20 20 20 20 20 20 20 20 20 Greece Prime Rates on Existing Loans to Non-Fin. Corps., Over 5 Year Maturity (%) Greece 10y Government Benchmark Bid Yield - Redemption Yield (%) Greece 5y Government Benchmark Bid Yield - Redemption Yield (%) Source: Thomson Reuters Datastream, ECB
  35. 35. Centre for Banking, Finance & Sustainable Development Management School Other solutions exist  Bad debts in the banking system: can be extinguished at zero cost by central bank purchases at face value (and not marking to market). As done by the Bank of England 1914 and Bank of Japan 1945  Central banks should be made accountable to parliaments – This was the lesson from the Bundesbank. Normally it is said that the ECB is a good central bank, because it is modelled on the successful Bundesbank. – This is not true. The lesson from the Bundesbank was to make the central bank accountable to parliament – its predecessor was not, and it was one of the most disastrous central banks (Reichsbank). – The ECB is the revived Reichsbank, unaccountable to parliaments  Bank credit should be monitored to prevent harmful speculative credit creation and encourage productivity (credit guidance – the secret of the success of Japan, Taiwan, Korea and China). 34Richard A. Werner 2013
  36. 36. Centre for Banking, Finance & Sustainable Development Management School Solutions exist  Redesign the banking sector so that it consists of not-for- profit, local banks (like in Germany, public savings and cooperative banks) Regional, foreign, other banks Local cooperative 17.8% banks (credit unions) Large, nationwide Banks 12.5% 26.6% Local gov’t-owned Savings Banks 42.9%  The monetary system should be changed: do banks need to be the creators of the money supply? 35Richard A. Werner 2013
  37. 37. Centre for Banking, Finance & Sustainable Development Management School State Money: Less Debt, Lower Taxes, More Growth, More Equality and Fairness China: Government-issued paper money (Kublai Khan) Zero Government Debt, Zero Interest Payments 36Richard A. Werner 2013
  38. 38. Centre for Banking, Finance & Sustainable Development Management School State-Issued Money 太 政 Dajōkan 官 satsu 札 Japan: Government-issued paper money: 1868 37Richard A. Werner 2013
  39. 39. Centre for Banking, Finance & Sustainable Development Management School State-Issued Money Colonial Scrip in North American British Colonies “In the Colonies we issue our own money. It is called Colonial Scrip. …we control its purchasing power, and we have no interest to pay to no one.” (Banjamin Franklin, quoted by Senate Robert Owen, National Economy and the Banking System, Senate document 23, Washington DC: US Gov’t Printing Office, 1939, p. 98) 38Richard A. Werner 2013
  40. 40. Centre for Banking, Finance & Sustainable Development Management School Colonial Scrip Banned by Britain (Currency Act 1751 and 1764, forbidding scrip to be designated legal tender and to settle private debt.) Was the War of Independence fought over taxes on tea? (‘Boston Tea Party’) Or over new English legislation forcing colonies to abandon their paper money and use gold and silver? “The Colonies would gladly have borne the little tax on tea and other matters had it not been that England took away from the Colonies money, which created unemployment and dissatisfaction” Benjamin Franklin (as quoted by R. Owen, 1939, op. cit). 39Richard A. Werner 2013
  41. 41. Centre for Banking, Finance & Sustainable Development Management School State-Issued Money President Lincoln issued United States Notes 1863 United States Notes, aka ‘Greenbacks’ 1862, President Lincoln signed the First Legal Tender Act “The underlying idea in the greenback philosophy… is that the issue of currency is a function of the government, a sovereign right which ought not to be delegated to corporations.” 40 Davis Rich Dewey (MIT, 1902)Richard A. Werner 2013
  42. 42. Centre for Banking, Finance & Sustainable Development Management School State-Issued Money Deutsches Reich: German government-issued paper money41Richard A. Werner 2013
  43. 43. Centre for Banking, Finance & Sustainable Development Management School Britain 1917 UK: Government-issued paper money: 1914-1928Richard A. Werner 2013
  44. 44. Centre for Banking, Finance State-Issued Money & Sustainable Development Management SchoolThe standard‘FederalReserve Note’ JFK’s 1963 ‘United States Note’: No Fed seal 43Richard A. Werner 2013
  45. 45. Centre for Banking, Finance & Sustainable Development Management School Further Reading: Basingstoke: Palgrave Macmillan, 2005 New Economics Foundation, 2011Richard A. Werner 2013
  46. 46. Centre for Banking, Finance & Sustainable Development Management School Weitere Details: München: Vahlen Verlag, 2007 M. E. Sharpe, 2003Richard A. Werner 2013

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