Hey there! Sign in to join this conversationNew here? Join for free
    • Thread Starter
    Offline

    2
    ReputationRep:
    We keep hearing that Gordon Brown is borrowing a LOT of money, but where exactly is he borrowing this money from?

    :confused:
    Offline

    0
    ReputationRep:
    The Bank of England...very good question though
    • Thread Starter
    Offline

    2
    ReputationRep:
    (Original post by ∑ Я ĩ k ė s ħ ξ)
    The Bank of England...very good question though

    I thought he was borrowing money to inject into the banks, not the other way around?
    Offline

    0
    ReputationRep:
    (Original post by 123banana123)
    I thought he was borrowing money to inject into the banks, not the other way around?

    He borrows it from the richest bank, money is generated and its secured as a loan. Thats how he borrows. He then injects it into all the other banks.
    Offline

    17
    ReputationRep:
    Borrows it from the IMF, World Bank and other countries.
    Offline

    0
    ReputationRep:
    Ah yes, I do apologise - It USED to be the Bank of England...read this:

    http://www.economicshelp.org/blog/ec...debt-financed/
    Offline

    2
    ReputationRep:
    Yeah, I think this is how government bonds work. The US government, for example, issues bonds (basically loans) with the Federal Reserve. This deals with debt. It's rather confusing

    EDIT: ∑ Я ĩ k ė s ħ ξ (haha, had to copy and paste that) thanks for the link!
    Offline

    0
    ReputationRep:
    (Original post by CocoPop)
    Yeah, I think this is how government bonds work. The US government, for example, issues bonds (basically loans) with the Federal Reserve. This deals with debt. It's rather confusing

    EDIT: ∑ Я ĩ k ė s ħ ξ (haha, had to copy and paste that) thanks for the link!

    No problem dude.
    Offline

    1
    ReputationRep:
    some of it is being printed
 
 
 
Reply
Submit reply
TSR Support Team

We have a brilliant team of more than 60 Support Team members looking after discussions on The Student Room, helping to make it a fun, safe and useful place to hang out.

Updated: July 28, 2009
  • See more of what you like on The Student Room

    You can personalise what you see on TSR. Tell us a little about yourself to get started.

  • Poll
    Have you ever participated in a Secret Santa?
    Useful resources

    Groups associated with this forum:

    View associated groups
  • See more of what you like on The Student Room

    You can personalise what you see on TSR. Tell us a little about yourself to get started.

  • The Student Room, Get Revising and Marked by Teachers are trading names of The Student Room Group Ltd.

    Register Number: 04666380 (England and Wales), VAT No. 806 8067 22 Registered Office: International House, Queens Road, Brighton, BN1 3XE

    Quick reply
    Reputation gems: You get these gems as you gain rep from other members for making good contributions and giving helpful advice.