In Ivy League Economics money is created politically. This kind of money works in economic models, none of which provide any utility to society. Money created politically is to economics as a cancer cell is to a human body. Start the process and it grows until it kills the economy.
By using common sense while living a euphemism free life I can easily see what money really is, Money is created when work is performed. Work creates something of value. The exact thing produced by work can be used for money and often has been. A currency can be based on the value of something work produces.
Can you loan money that you haven’t earned? Yes you can if you can borrow politically created money. You can get rich by borrowing politically created money at less than the rate of inflation and loaning it out for whatever the market will bear. Only the political elite are privileged to get such deals.
Using politically created money is analogous to putting athletes on steroids. Performance does increase but in the end the costs outweigh the benefits.
Steroids enhance performance while killing the body off early. Politically created money does the same to an economy. It kills the economy in the end.
They best thing we can say about the American Economy is that it was fun while it lasted. The economy has been destroyed.