Maybe Greenspan has finally read Soft Currency Economics?

>   (email exchange)
>   On Fri, Oct 8, 2010 at 9:28 AM, Eileen wrote:
>   Greenspan comments from last night. Of course, he hasn’t said that loans create deposits,
>   but he’s finally acknowledging excess reserves. Reported by BBG TV:
>   “If you add to excess reserves and they just sit there, you’ve merely gone through an
>   interesting bookkeeping calculation. It has no, I mean zero, economic effect. You need
>   commercial bank A to lend to steel company B.”

very good!

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