• Ottomateeverything@lemmy.world
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    1 year ago

    While both points are true, that still doesn’t change whether taxes fund these programs.

    Sure there are other complexities like “how much is too much? Can we just keep doing it forever?” but those questions have more to do with the labor force of said country and their exports, and almost nothing to do with their tax rates.

    • The central banks control the amount of money based on the tasks they were given for their operation. That does not relate directly to the way the government is spending or taking money.

      It is simply not the governments taxes and spending that is making or deleting money. It is the system of how the private banks can borrow or deposit money at the central bank with a certain interest rate,that is making or deleting money.

      And youll have noticed that it is not the central bank granting loans to the government but bonds being sold on the market for the government to take debt.