When they create money for non-productive assets like real estate mortgages, they deflate the purchasing power of everyone else’s money because the money just sits there. If the BIS, the Fed, and individual banks restricted credit creation for productive things like small business, the value added to economic growth would stifle the effects of inflation, not expand it This power could be used for good—if good people controlled it. They don’t. Most people still think their local bank lends out de