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That's true depending on the definition of money you use. Commercial banks can't create central bank money (M0). But they can create credit, and convert it to central bank money at will. And credit counts into M1+, one of the common money supply indicators.

I'd say "money" in common usage is only M0 (central bank lines) and MB (notes and coin), and the others are only technical indicators used by economists. But that's debatable.




People exchange real labour, houses and cars mostly using those "technical indicators". (Few people buy a house or car with notes and coins or with their central bank line.)




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