Summary:

Jan Beaufort explores the possibility of Government creation and distribution of money on the basis of Heinsohn, Stadermann, and Steiger’s approach – thereby, however, questioning their idea of creditor’s money. On the contrary, the author demonstrates that the property-based economy produces uncovered money each time a debtor goes bankrupt. Therefore, money does not merely represent a right to property but rather constitutes property in its own right. Furthermore, the property-based creation of money leads to undesired inequalities in the distribution of property, as the American philosopher John Rawls has shown in his famous “difference principle”: social and economic inequalities are allowed only to the extent that these are also to the benefit of the least advantaged. Therefore, John Maynard Keynes’s proposal that public expenditures be financed by the central bank might be considered as a means against the inequalities discussed by Rawls.