Ole Bjerg is an Associate Professor of Copenhagen Business School. He identifies beautifully the critical aspects of the creation of money:
- the difference between
- Paper Money [Cash – about 5% of the money supply] and
- Electronic Money [Credit – about 95% of the money supply]
- the negative consequences:
- banks issue money when the economy is booming and hold back otherwise;
- interest is a ‘tax’ on money
- with growing inequality based on the level of interest rates
- concentration of power
- how much money?
- at what price?
- for what purpose?
- Hence politicians appear to be impotent, as decisions are made in board rooms of banking institutions – outside democratic institutions.
- the smart solution is an update of what Central Banks do with respect to PAPER money to INCLUDE electronic money;
- all citizens should have accounts with Central Banks!
- Commercial banks continue to
- take deposits and lend it
- as a LINK between people who save and who borrow.
- This is a SOVEREIGN system of money creation – reminding citizens to
- understand the creation of money
- participate in the political process of deciding WHO creates money.
English: The expansion of $100 through fractional-reserve lending at varying rates. (Photo credit: Wikipedia)
The writers of the Bank of England Act 1694 had the intention
to avoid the serious oppression of Their Majesties’ subjects.
Hence they didn’t allow the Corporation to trade. Should it trade after all, it would have to pay as punishment:
treble the value of the trade.
In theory, this means that the BoE would have to pay the Treasury treble the value of all national and public debt bonds!
Will MPs appreciate this when they debate ‘money creation and society’ this Thursday as part of Backbench Business?
See Parliament Debate, including the link to watching the debate live .
Further info on Facebook and these Google results.
Posted in Bank of England, Cash, Creation of Money, Credit, Legalized Usury, Money, Money supply, Money Supply, Money supply inflation, Treasury money
Tagged Associated Press, Dow Jones Industrial Average, Eastern Time Zone, European Central Bank, NASDAQ, New York City, S&P 500, Standard & Poor's, United States Department of the Treasury, United States Treasury security
This 48-page booklet (1981) and this 200-page book (1986) are as fundamental as The Money Bomb (1983) – and as true and relevant today as there and then – if you want to understand how ‘money’ has changed from being a ‘medium of exchange’ to being used as a ‘tool for control’!
The title says it all: Government Debt and Credit Creation!
Posted in Austerity, Bank of England, Blind spots, Bradbury Pound, Cash, Creation of Money, Credit, Credit Creation, Debt, Economics, Government debt, Legalized Usury, Money, Money supply, Money Supply, National Debts, Public Debts
Tagged Bradbury Pound, Central bank, early day motion, Government debt, HM Treasury, Money Bomb, Money creation, Thomas Paine
www.klagemauer.tv [wailing wall], a remarkable global news agency, published in Switzerland, that presents online news very smartly in mainstream media style.
This video contains the following stories [the links take you to different but English stories]:
- Rothschild’s $200 million bet regarding the demise of the Euro
- The Bank of North Dakota as a state-owned bank for the state’s citizens
- A few families rule the World
- Who rules money?
Fascinating are the differences in language, implied by German and English. I.e. the German word for ‘citizen’ implies the ‘guarantee’ for debts! The German for ‘debt’ is the same as for ‘guilt’. The German for ‘interest’ is very different from paying interest and having an interest.
- Nice cartoons illustrate how 98% (rather than 97) Credit [created by banks at interest] and 2% (rather than 3%) Cash [created by governments interest-free] are the money in circulation.
Posted in Banks, Cash, Central Banks, Credit, Interest, Mass Media, Money, Money Supply, National Debts, News, Online activities, public debts
Tagged Bank of North Dakota, Business, English language, Financial Services, German, German language, Germany, government, interest, Johnny Cash, money supply, National bank, united states
As a mathematician and systems analyst, I have long claimed that economics is a ‘pseudo-science’. It was set up deliberately to camouflage what central bankers and other banksters are doing: create ‘money’ from thin air and charge interest for it that never gets created…
This becomes apparent when you learn that ‘money’ is never the subject of teaching at the London School of Economics, let alone the difference between Cash and Credit. When the daughter of the author of The Web of Debt wanted to write her thesis about the national debt, she was told “that is not capitalism”, i.e. it’s more a religion than a science!
Deck the Halls with Macro Follies is a video that makes fun of economic jargon and consumerist slogans – as a way of re-confirming those of us ‘in the know’ and possibly allowing some viewers to question what’s going on in terms of ‘Macro Follies’.
Posted in Banks, Cash, Credit, Debt, Interest, Money, Money Supply, National Debts, Public Debts
Tagged Christmas, Christmas Eve, Economic, Ho ho ho, London School of Economics, NORAD Tracks Santa, North Pole, Santa Claus, YouTube