and Ben Dyson
Positive Money says that banks have the power to create purchasing power that did not exist before and that this causes inflation, the boom/bust cycle and other economic ills. They conclude that what is needed to deal with these problems is to reform the banking system.
The Socialist Party says that this theory is based on a fallacy so that not only is Positive Money’s banking reform irrelevant from the point of view of dealing with these problems but it’s also unnecessary from a capitalist point of view and could even make things worse. Capitalism is the cause of the problems wage and salary workers face and must go if these are to be solved.