It is essential that we ask ourselves “What might we expect if we give the money printing machines to a handful of individuals?” Until and unless we do this, we cannot even begin to solve the world’s problems. Because the truth is the U.S. government gave four private banks of the Federal Reserve (FR) those keys to the treasury in 1913 and now the entire world is suffering the results.
The first thing we would expect isn’t that they would act in only the most noble and egalitarian manner. No, we can pretty much guarantee that they would print trillions and ship them out the back door into their offshore bank accounts. But that aside, you really have to admire the ponzi scheme they operate in the daylight, the insanity that the government must ‘borrow’ printed money from these banks that have been empowered to print it, to finance its deficit spending. This has got to be the very best hustle ever conceived and the fact that not a single person gets it borders on the supernatural.
So for just a moment, follow the bouncing ball. The government decides to enact an immoral and legitimately illegal tax of inflation that is most injurious to the poorest, by giving themselves the right to increase the money supply with deficit spending. The FR says “this requires that we print bonds, sell them to private parties, and give the government the cash, then collect interest for the rest of time at an interest we declare is necessary to control the rate of growth. It all sounds legitimate but as we reach infinite debt, we can’t help but notice the ends no longer meet. It is claimed that all this debt is owned by foreigners or hedge funds except that every government on the planet is in debt beyond their GDP. While U.S. ‘debt’ is $36T, China is only holding $1T. Somehow, we are supposed to believe that the rest of world is holding the rest.
If a forensic audit were ever allowed, which of course it has not been, we would see that all this debt is ultimately held by the global financial syndicate as a way of both controlling the world and of course collecting a trillion dollars a year in tax free, invisible cash. You send money out the back door to buy up debt out the front door, then you just sit back and collect interest. This syndicate knew that you cannot rule the world by force but you can rule it by a perception of debt.
So let us engage in our best attempt at imagining how our current situation has come about. First, private banksters get control of the money printing machine. After WW2, The entire net worth of the world was expressed in American dollars. They printed up a bunch, shipped out the back door, and went out and financed Toyota and BMW and Nissan, etc. To add insult to injury, they told taxpayers that government spending had to be financed through this bond scheme which required someone to buy the bonds. They then bought their own bonds as a perfect dividend filch.
I will end with just a few critical questions. “Before the Federal Reserve act, how was money added to the system?” “Why does money added to the system require repayment, that of course will never happen, and the need to pay interest?” “If the government just added money to the government checking account without any expectation of repayment or interest payments, would that be a problem?” Exactly where does all these interest payments go?”
The truth is, money must be added to the system in direct proportion to the productivity of the population. If a trillion dollars worth of value is added to the country, that value must be expressed in available cash. Otherwise, the dollar value of all products will decline as real value is being added in the absence of adding dollars. Kind of how as an organism gets bigger, it needs more blood. But this added blood need not be defined as debt nor does it require that interest be paid. But perhaps most importantly, simply the idea that private entities would be given the keys to the money printing machine is the definition of insanity.
In giving the money printing machine to private individuals, we have guaranteed that they would print themselves the owners of the world and until we acknowledge the inevitability of this result, we will remain indentured servants to their use of debt and their control of society’s life blood.
This….
Excellent post. The rationale I've heard for the current system is privately held banks are in a better position to identify value creation than government so they should be the ones to create money. Obviously this has the dramatic downside of allowing banks to literally own society.