" In order for some people to borrow other people have to save."

factually, if we have a fiat currency, the government can declare money to exist and then go about lending it to someone, creating debt without a corresponding credit.

I am aware of that. But is something I don't think I fully understand. I would be interested to know what the ratio of credit created by printing, and credit created by savings typically is. Certainly we need savings, but to what extent I am not sure.

the banks have the facility to create credit without waiting for the government to declare a fiat currency.

Without it being limited or regulated by the Fed (self-regulation) where the assumption was made the banks - not wanting to lose out - would only lend sensibly.

Elmurro, the supply of "infrastructure projects" would increase but not the other goods and services in society. The prices of these other goods and services would rise.

-> these prices woudlnt rise. Because infrastruce is free, and with better infrastructre costs for producing goods sink. You see, the prices for other goods would rise and sink together. (no inflation, no deflation)

Savings are the source of credit.
-> I have to correct orathaic. We do have a fiat currency, but the government cant declare money to exist. Only the FED can. (Which acutaly isnt a governmental instituion, like already discussed the FED is independend) And comercial banks do when you pay with your credit card create money out of nothing because this kind of credit isnt covered. The bank covers the money with the trust that the bank will be able to pay it when necesary.

Good example: You have a credit card at bank of america, and the shop you buy something for 1000$ got a bank of america account. Now the bank simply creates a 1000$ debt on your account, and the account of the shop will increase by 1000$.
We have brand new money. in this case, there is no need for savings of some people.
I hope you see the crooked way banks screw the people.