Analyse de la crise financière actuelle Où vont-ils chercher ces milliards qu’ils n’ont pas? Comment l’État assureur en dernier ressort permet d’accéder à la Banque centrale européenne, prêteur en dernier ressort

Vallageas, Bernard (2009): Analyse de la crise financière actuelle Où vont-ils chercher ces milliards qu’ils n’ont pas? Comment l’État assureur en dernier ressort permet d’accéder à la Banque centrale européenne, prêteur en dernier ressort. Published in: Revue de la Régulation No. 5 (19 June 2009): pp. 1-16.

Abstract

The first stage of the plan for rescuing French banks in October 2008 rules that a special company owned by the State and the banks will borrow on the “markets” with the State warranty. The money collected will be lent to the banks so that they can finance economy. This is curious because there is no explanation of money creation, as if “markets” created money. Actually we demonstrate that the banks can use the special company to create money for themselves, then to lend the money to economy and use the State-warranted bonds as a collateral for refinancing from the European Central Bank. So the State behaves as an insurer allowing to borrow from the European Central Bank.

• Item Type: MPRA Paper
• English Title: Analysis of the current financial analysis. Where do they take these billions they have not? How the State, insurer in last resort, offers access to the European Central Bank
• Language: French
• Keywords: money creation; central bank; financial crisis
• Subjects: E - Macroeconomics and Monetary Economics > E4 - Money and Interest Rates > E42 - Monetary Systems ; Standards ; Regimes ; Government and the Monetary System ; Payment Systems; E - Macroeconomics and Monetary Economics > E4 - Money and Interest Rates > E44 - Financial Markets and the Macroeconomy; E - Macroeconomics and Monetary Economics > E5 - Monetary Policy, Central Banking, and the Supply of Money and Credit > E51 - Money Supply ; Credit ; Money Multipliers; E - Macroeconomics and Monetary Economics > E5 - Monetary Policy, Central Banking, and the Supply of Money and Credit > E58 - Central Banks and Their Policies; E - Macroeconomics and Monetary Economics > E6 - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook > E65 - Studies of Particular Policy Episodes

References

European Central Bank, The implementation of monetary policy in the euro area: general documentation on the Eurosystem monetary policy instruments and procedures, November 2008, on line, http://www.ecb.int/pub/pdf/other/gendoc2008en.pdf?5a077f74894b7f5f1de1bd75bbeffb7c

European Central Bank, Monthly Bulletin, April 2009, on line, https://www.ecb.europa.eu/pub/pdf/mobu/mb200904en.pdf