Oddbean new post about | logout
 Ah okay, I'm probably just misunderstanding your comments. 

 "Governments don't need fractional reserve banking."

"The fed could dissappear tomorrow and the treasury could still issue debt.

It would merely have to be paid for by the savings of individuals, companies, funds, banks, etc..  

This is 100% possible without fractional reserve banking and could still be the case on a bitcoin standard in fact."


 
 For millenia, governments and kingdoms have existed without fractional banking, and banking at all.  However they abuse such a plight, and start debasing their goals, pearls, dollars, etc..

This isn't a requirement to run a government. rather a want and desire of powerful men taking advantage of their people.  Politics...