The credit creation function of decentralized money
decentralization in decentralized money contains multiple meanings: decentralization of money issuance, decentralization of money circulation, decentralization of money withdrawal...
as far as our current economic system is concerned, the issuance of money is carried out by the central bank or other similar institutions and endorsed by the national credit. Therefore, the issue of money is obviously a kind of centralized, controlled by the government or institutions. However, in the current economic system, the circulation of money is decentralized
although in our current financial system, the vast majority of money has been circulating through banks, this mode of circulation is mostly controlled by the money owners themselves, that is to say, the circulation of money is not controlled by central institutions. In addition to some specific financial requirements, some circulation has been regulated; Or the judicial organs may intervene and forcibly manage the circulation of money. In proportion, these centralized operations are very few. Therefore, we can say that in the existing economic system, the circulation of money is decentralized< In fact, the central bank and other financial management institutions make use of the power of currency issuance to regulate the whole market and maintain the stability of economic development and currency
we have learned in economics that the total amount of money circulation should match the current trade situation. In other words, the total amount of money circulation is closely related to the economic situation. The circulation of money needs to be regulated to influence the market; And the market also forces the regulatory agencies to regulate the currency through various feedback, so as to maintain the stability of the currency.
In the view of credit creation school, credit is money and money is credit; Credit creates money; Credit forms capital
there is an important school in monetary finance, namely, the "credit creation school" with John Lowe in the 18th century as the pioneer, mcrudd, Han in the 19th century and Schumpeter in the 20th century as the representative. In the eyes of this school, credit is money, and money is credit. John J; "Credit is necessary and useful. The increase of credit has the same effect as the increase of money, that is, they can also proce wealth and prosper commerce," Lao said“ Credit creation through banks can increase the amount of money in a year much more than a decade of trade. Therefore, if France wants to be rich, it is necessary to turn to credit; Otherwise, compared with other powers using credit, France will soon fall into a weak situation. "“ As long as the currency is rich, it can create a country's prosperity; As long as there are credit facilities (he mainly refers to banks, etc.), it can supply abundant money and give the economy the initial impact; Relying on this kind of impact, we can proce a lot of wealth for France. " John J; Lao's basic logic is as follows: money is wealth - money doesn't have to be gold and silver, but paper money issued with land, public debt and stock as guarantee is the best - paper money is a kind of credit of the bank - by providing this kind of credit, the bank can provide rich money - giving the initial impact to the economy - relying on this impact, the country can become rich and strong Economic prosperity; In a word, credit is money; Money is wealth, capital
in his theory of credit, mccrudd pointed out: "people exchange goods and services for people, and get money. This money can not be used for food or shelter, but people are willing to exchange goods and services for money. Why? It's because after you get money, you can exchange it for what you need when you need it. Therefore, the essence of money is to demand the right or symbol of proction and service from others, which is actually a kind of credit. "Therefore, gold and silver money can also be correctly called metal credit." Mccrudd thinks that the essence of credit and money is the same. The creation of credit is the increase of money. The two can be unified under the concept of "currency", but they are different in degree: (1) credit has only a single value, but money has a majority of value or general value. Credit is only a claim to someone, But money is a claim to general goods 2) Credit has a special and uncertain value (because of the debtor's death or bankruptcy, credit has no value), while money has a lasting value
Han is recognized as the representative of credit creation theory. He published the theory of national economy of bank credit in 1920, which has a great influence. He said that credit is money: "for the purpose of payment, from the point of view of law, a check or deposit slip transferred by one person to another is only a voucher for cashing money, but from the point of view of economy, as long as it needs to be converted into standard currency to complete the function of money, it is not only a voucher for cashing money, It's the money itself. "“ As long as it is reliable and acceptable to anyone, it will be circulated as money. " Han's theory emphasizes that credit can form capital. He thinks that the more credit is expanded and the lower interest rate is, the more capital goods will be proced and the more capital will be formed; On the contrary, the more credit shrinks, the higher interest rate, the less capital goods are proced, so that capital is not easy to form. His famous proposition is: "capital formation is not the result of savings, but the result of credit."“ If demand is primary to proction, credit supply is also primary to capital formation. If there is no credit, no capital goods can be proced, so capital formation is impossible. Credit supply can cause capital formation just as demand can cause proction
bus line: Rail Transit Line 6, the whole journey is about 5.6km
1. Take rail transit line 6 from Hong Kong Road, after 5 stops, to Hanzheng Street Station
2. Walk about 550m to Wuhan mental health center
firstly, the development of commodity circulation with money as the medium creates conditions for the separation of commodity trading in time and space; The value of goods is expressed by money, which makes the value independent of the use value. And the strengthening of this kind of value concept provides the possibility for credit transaction. Therefore, money is a kind of original driving force of credit
secondly, with the development of the function of monetary means of payment, commodity yield is separated from the realization of commodity value in time. This kind of separation means that the seller of the goods must first transfer the goods, and then can obtain the value of the goods sold, while the buyer of the goods can first have the use value of the goods, and buy the goods on credit as the representative of the currency that should be paid in the future, forming the relationship between the seller as the creditor and the buyer as the debtor
as an economic category, credit is a unilateral movement of value on the condition of repayment and interest payment. We should understand its essence from the following aspects:
first, credit is not a general lending behavior, but is conditional on repayment and payment of interest< Secondly, credit is a special form of value movement. There are many forms of value movement, and credit is realized through a series of loan repayment payment process. The unilateral transfer of value is in sharp contrast to the traditional simultaneous interpreting. Thirdly, credit is a kind of debt relationship. The lender is the creditor and the borrower is the debtor. The credit relationship is the unity of creditor's right and debt relationship
fourthly, credit is an economic category closely connected with commodity monetary economy. The credit of different societies reflects the economic relations of different societies
to sum up, we can be sure that in history, money was the main driving force of credit development. In other words, credit is based on currency circulation in history.
1. Credit has sociality
firstly, the sociality of credit is reflected in social psychological factors. Credit is based on trust. Secondly, credit reflects a social relationship. Credit is not only an indivial behavior, but also a social relationship between the credit giver and the trustee. Finally, the sociality of credit has more and more influence on economic development and social life. With the development of the times, credit is always in the process of development and change
2. Credit has ethical and cultural characteristics
credit belongs to the category of ethics, which is reflected as a kind of moral code to restrict people's behavior. Credit is not only a kind of social relationship, but also a way of transaction. It is also a kind of value of human society. In terms of the cultural characteristics of credit, different cultural backgrounds have different understanding of credit
3. Credit has the basic characteristics of repayment and interest payment in the field of economy and finance
the basic characteristics of credit in the field of economics and finance is repayment and interest payment, that is, credit is a kind of lending behavior, and the condition of lending is to repay the principal on time when it matures, and pay the cost of using the fund interest. Here, credit is a special form of value movement, ownership has not been transferred, but changed the right to use funds< br />
< Second, the essence of credit can be elaborated from four aspects
1. From the perspective of ethics, the essence of credit is the "contract practice" behavior established between the parties participating in social and economic activities and based on honesty and trustworthiness
from the perspective of ethics, "credit" actually refers to a kind of moral quality of "keeping promise"< From the legal point of view, the essence of credit includes two aspects: one is the relationship between the parties, where the rights and obligations of both parties stipulated in the "contract" are not delivered at that time and there is a time lag, there is credit; The other refers to the rights and obligations of both parties in accordance with the contract
the general principles of civil law stipulates that "civil activities should abide by the principles of voluntariness, fairness, compensation for equal value, honesty and trustworthiness" The contract law requires that "the parties concerned should be honest with others, be honest and abide by their promises, and interpret the contract in accordance with the principle of good faith when disputes arise in the content, significance and application of the contract."< From the perspective of economics,
the essence of credit is the relationship between "borrowing" and "lending". Credit actually refers to "the expectation of getting a sum of money in a limited period of time"
credit refers to the value movement in which the credit giver, on the basis of fully trusting the ficiary to fulfill his promise, lends to the ficiary with contractual relationship in commodity exchange or other economic activities, and guarantees the return and appreciation of his principal< In the view of credit creation school, the essence of credit is money, and money is credit; Credit creates money; Credit forms capital< The basic functions of credit include five aspects:
1
by borrowing and lending, funds can flow to the projects with higher investment income, which can make the investment projects get the necessary funds, and the surplus units can get certain income; Through credit adjustment, resources can be transferred to the place where they are needed in time, so that resources can be used to the maximum extent
2. Accelerate capital turnover and save circulation costs
because credit can make all kinds of idle funds concentrate and put out, so that a large number of funds in a relatively static state can move, which undoubtedly plays a great role in accelerating the capital turnover of the whole society, and using various forms of credit can also save a large amount of circulation costs and increase capital proction investment
3. Credit accelerates capital accumulation and concentration
credit is a powerful lever to concentrate funds. The credit system can make the social idle funds concentrate in a few enterprises and expand the scale of enterprises< br />
< Credit effectively adjusts the national economy
the function of credit in regulating economy is mainly manifested in that the state uses currency and credit system to formulate various financial policies and regulations, and uses various credit levers to change the scale and movement trend of credit, so as to adjust the national economy< Credit promotes the development of international trade and the formation and expansion of world market
the high turnover rate reflects that the main force sucks a lot of goods, which is likely to increase in the future. In the above example, Handan Iron and steel turnover rate is not high, only 34% (generally as high as 70%). Therefore, its stock price has been hovering at 7-8 yuan in 1998
another example is Hongqiao Airport (600009), which was listed on February 18, 1998, with 133.3561 million shares traded on that day and 270 million shares in circulation. The turnover rate is nearly 50%, which is relatively high. The closing price was 9.05 yuan. Most of the chips are concentrated in the main hands, so by the end of 1998, the share price had risen to more than 14 yuan
in addition, the combination of turnover rate and stock price trend can predict and judge the future stock price. A sudden rise in the turnover rate of a stock and enlarged trading volume may mean that a large number of investors are buying, and the stock price may rise accordingly. If a stock continues to rise for a period of time, and then the turnover rate rises rapidly, it may mean that some profiteers have to cash out, and the stock price may fall
however, it is worth noting that stocks with a high turnover rate are also the target of short-term funds, which are highly speculative, with large fluctuations in stock prices and relatively high risks.