Right! Sorry about that. I needed to contact someone before the markets opened.

Sooo - together with other changes in the US Banks substantially restructured their businesses which removed a number of safeguards and enabled mortgages and loans to be made especially in the construction sector. People were given loans to buy usually new-builds that normally they would not have a snow balls chance of getting but those loans were shown as assets on US banks books. The removal of Glass-Steagall allowed the US Banks to mix these toxic loans with prime loans and sell as bundles.

Now it gets problematic because Brown broke the UK banking sector by taking the BoE out of the picture in order to prevent what he was about to do linking The Treasury with the value of Sterling and passing the buck to the BoE while he played fast and loose.

Moving rapidly on it is law in the UK that unless the instruments of incorporation indicate otherwise the prime responsibility of a company is to maximise shareholder value which meant that UK banks had to buy American bank packages because there was no laws to stop them thanks to Brown. Come settlement dates and the toxic loans failed.

The construction sector in the US collapsed, homelessness followed, the arse fell out of their economy --- and ours.

But so what? We're did the money come from and go?

Now a word about money. Well there are four particular kinds of money. Try this --- https://quickonomics.com/different-types-of-money/.

How is money created? Start to think about Fractional Reserve Banking. To get into that start to think about keeping balls in the air.

Is this the sort of thing you wanted?

Yes, "balls in the air" was the clue !! 😀😀
So there are hundreds of billions of dollars locked in tax havens
accounts which used to be circulating in the wider economy but now
are kept in presumably interest bearing accounts to be used by
government's when they need a loan for whatever reason but which
they will pay interest on, thus feeding more money into the tax
haven accounts? Obviously eventually, the wider economy becomes
short of money due to it being mostly in the tax haven vaults now?
This is where the QE comes in, and central banks have to print or
conjure up the NEW MONEY to start the whole process again ??
It's the gift that keeps giving ??
No wonder the yanks got rid of gold !!
Gawd elp us now it's gone virtual !!

Donkeyman!! 🤔🤔