Sunday, October 17, 2010

Why banks are not lending?

Liquidity v money supply/demand

Really good, succinct explanation why banks are not lending.

Posted by ant @ 09:06 AM (1380 views)
Please complete the required fields.



5 thoughts on “Why banks are not lending?

  • they dont have any money…

    Reply
    Please complete the required fields.



  • indeed. prospective lenders to lend and borrowers to repay (in the latter case it is actually an assessment of the prospect of making money)

    Reply
    Please complete the required fields.



  • Smuggy Dogg Dogg says:

    Yet another poor article from Pytel, not sure why he doesnt give up on finance and try to find something he understands!!

    Reply
    Please complete the required fields.



  • So basically he’s saying the banks haven’t got enough money to loan and borrowers haven’t got the money to pay back loans.

    Deep man.

    Reply
    Please complete the required fields.



  • @alan_540: you did not understand, basically he is saying that the money multiplier is too high and what you are saying is a result. Small difference that you missed. Just slightly deeper than you thought;-)

    Reply
    Please complete the required fields.



Add a comment

  • Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
  • Please note that any viewpoints published here as comments are user´s views and not the views of HousePriceCrash.co.uk.
  • Please adhere to the Guidelines

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes:

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>