Originally Posted by
thepreston
Yep, I am aware, however I'm not sure why you mentioned it. All I said was that in real-life I can't get new issues of USD from the Federal Reserve, which is true. I was not implying that this is the only process by which new USD is created, although even if I were to say that, its still true that without currency issue to the member banks from the Federal Reserve the member banks cannot engage in credit expansion, since they would not have a reserve to fractionalize (besides receiving a deposit from a new account holder at the bank, but that money would have to come at least indirectly from the same process).
I don't really want to discuss real-life currency or the banking system in this thread anyway, so this will be the last time I respond to it.