# Inflation Control

Author: Paynalton
Canonical source: <https://paynalton.tech/en/works/control-de-inflacion/>
Language: en
Original publication: <https://paynalton.blogspot.com/2014/02/control-de-inflacion.html>

I've been thinking for a while about an alternative economic system. Although I see it as necessary for the state to regain control over money emission, sadly I see that doing so would mean bringing the broken bank to all credit institutions, which could cause an economic disaster (plus the bankers would be like cats on their backs trying to save their money).<br><br>Today it occurred to me that the state needs to make investments to boost certain sectors, whether agricultural, scientific, industrial, health, or whatever.<br><br>In a model where the state controls money emission, all loans must be issued by the state, but credit allocation should be controlled by private institutions, which would earn profits in the form of commissions for their work in managing and controlling credits.<br><br>In this way, the state puts a certain amount of money into circulation to boost X or Y sector, the institutions issue the credits and distribute the money among citizens, which causes currency depreciation.<br><br>If the support works, the money goes back to the banking institutions, which return it to the state, which will destroy that money to recover the value lost due to its emission.
