Banking Quote by James Grant
“Central banks have gotten out of the central banking business and into the central planning business, meaning that they are devoted to raising up-if they can-economic growth and employment through the dubious means of suppressing interest rates and printing money. The nice thing about gold is that you can't print it.”
About This Quote
Source Speech: Economic Commentary, James Grant, 2023
Central banks have shifted from managing banks to trying to control the economy, using low rates and money printing to boost growth and jobs, which is risky.
In simple terms: Banks now try to steer the whole economy, not just banking.
Key Takeaway
Beware of policies that rely on cheap money.
Themes
economics
monetary policy
inflation
government intervention
risk management
Mood
cautious
critical
analytical
Type
advisory
analytical
critical
When to use this quote
- policy debates
- investment decisions
- inflation concerns
- portfolio diversification
Key Concepts
central banking
quantitative easing
interest rate policy
gold as hedge
financial stability
Questions to Reflect On
- How do low rates affect long‑term savings?
- What are the risks of relying on money printing?
A Different Perspective
Gold cannot be created, limiting its use as a policy tool.
![“The increase in the assets of the Federal Reserve Banks from 143 Million dollars in 1913 to 45 Billion dollars in 1949 went directly to the private stockholders of the [Federal Reserve] banks.” quote by Eustace Mullins](https://sms4smile.com/quotes/img-quotes/a7a/eustace-mullins-25201_assets_the-increase-in-the-assets-of-the-federa_1178350.jpg)
