WARNING: This is the apologetic version of the bankers who try to justify government bailouts of troubled banks... forgetting that seigniorage is not properly recorded in bank accounts.
Paolo Zannoni's book "Money and Promises" tells the story of bank money from 12th-century Pisa to Bolshevik Russia. The author, "a financial expert," explores the evolution of the relationship between banks and states, analyzing how different regimes, in different periods and cultures, have "collaborated" with banks to create and manage money. Through the analysis of historical sources, the book illustrates the key role of bankers' promises in the development of the monetary system, showing how bank debt has become an increasingly important means of payment, sometimes even replacing hard cash. The text also offers an interesting perspective on the present, explaining why we should not be surprised when a state intervenes to save a bank in crisis.
