Thanks to Oscar for his comments re Monetary Expansion.
My comments are as follows :-
The banks were hoarding cash and then giving bonuses to their main staff. If more goes to the public, it would be great. That would turn the printed money breathe life into the economy. Once people borrow, they become centred on making a return on the money, so they can feed their families and also make enough to return it to the bank. That turns money into wealth - familes eating and consuming all kinds of things, thereby helping production and marketing, etc.
The Basel III strictures make banks have certain liquidity ratios, which is good, but banks somehow make it difficult for people to borrow, as most people who wish to borrow cannot meet the criteria. That is the crux of the matter. Where money is needed, there people often don’t have collateral. That is where I would suggest government has to lend money, i.e. authorise their money holders to lend, via government guarantees. That will be the way to get the economy moving and create wealth, from Recovery to Prosperity. That is my belief.