Tag Archives: Central bank

OVER 30 MPs debate #MoneyCreation and Society – #Cash vs #Credit – Governments vs #Banks

UK Parliament debated Money Creation and Society for first time in 170 years.  Here’s what they said – on this video – starting at 11:18:

London, 21st November 2014

On Thursday 20th November 2014 over 30 MPs took part in a debate in the House of Commons on money creation and society. This was the first time in 170 years, since the Bank Charter Act in 1844, that the topic has been fully debated.

 

Money creation affects almost every aspect of our lives, and is directly connected to almost all public policy, including public and private debt levels, house prices, and rising inequality, but it’s very poorly understood. A recent poll found that 7 out of 10 MPs believed that only the government can create money[1], when in fact 97% of money is created by banks as they make loans, as recently confirmed by the Bank of England[2]

 

MPs acknowledged the problem of their own lack of understanding of money creation [1]:

 

Peter Lilley MP stated that “A lot has been made of the ignorance of Members of Parliament of how money is created. I suspect that that ignorance…… explains many things, not least why we entered the financial crisis with a regulatory system that was so unprepared for a banking crisis.”

 

Zac Goldsmith MP was the first to admit at the debate that he does not fully understand the system, stating, “I suspect that most people here would be humble enough to recognise that the banking wizardry we are discussing is such a complex issue that very few people properly understand it.” Continue reading

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BACK TO the Future: from 1914 (WWI) to 2014 (Bradbury Pound)

13 10 09 Money Matters

13 10 03 ERC BradburyThis 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! 

THE BRADBURY Coming to the Rescue – to solve social, political and economic issues

The Growth of Credit over Cash since 1943

The Growth of Credit over Cash since 1943

The Bradbury Pound to the Rescue! 

A little known historical precedent that will stop the criminal debt-creating banksters well and truly in their tracks!

Central Banks – the Irresponsible Institutions

The completely contrived and planned global debt bubble is rapidly becoming unsustainable and will burst at some point very soon bringing with it a financial meltdown on a scale never before seen.   It’s now clear from whistleblowers and researchers that the cabal that makes up the debt-creating banking elite, with their global network of central banks (including the Bank of England and the Federal Reserve) led by their little known Bank for International Settlements (BIS), has a well laid plan to collapse the world’s economy.

One World Debt-Based Currency – the mechanism for Global Slavery

The plan, using unsustainable and unlawful debt to collapse the major currencies of the world, is well advanced.   It’s all about the banking elite’s long term goal to create a centralised and global electronic currency – a currency that will inevitably lead to the reality of a cashless world where complete Orwellian control decides who gets paid and who doesn’t! Continue reading

THE PEOPLE’s ASSEMBLY against Austerity: nearly 4,000 registered this Saturday Central London

13 06 21 AusterityThis is a remarkable event with a most necessary agenda: The People’s Assembly against Austerity.

And they don’t even know about the obvious solution, for people in general simply don’t understand the complexity – because ‘economics’ has been created to camouflage what bankers and central bankers are doing:

  • what money is: Cash and Credit
  • that bankers [who issue the Credit] determine what happens in an economy
  • that governments have ‘forgotten’ about their monopoly to issue Cash as interest-free money
  • that the budgets of governments always have a large component to pay ‘interest payments’

 

The solution is the Bradbury Pound that was issued 99 years ago as a precedent for what should have been happening ever since.

A campaign to bring back the Bradbury Pound for its 100th anniversary has begun.

WHY AUSTERITY? Let me count the reasons… [NOT in our interest!]

U.S. National Debt Additions

U.S. National Debt Additions (Photo credit: Wikipedia)

English: National Debt Graph

English: National Debt Graph (Photo credit: Wikipedia)

Argentine public debt, 1994–2004.

Argentine public debt, 1994–2004. (Photo credit: Wikipedia)

The excellent blog Political Cleanup is asking:

Why Austerity?

  1. The agenda of the global elite is to CONTROL
    1. People as well as the resources of the planet
  2. It rules by
    1. Controlling the currencies of nation states via central banks
    2. The central bank of central banks is the Basel International Bank of Settlements
  3. Money is a medium of exchange?
    1. Virtually all money is created as DEBT aka CREDIT
    2. Its main function is to pay INTEREST to the issuer
      1. i.      As ‘costs’ to banks
      2. ii.      shares to corporations
      3. iii.      dividends to shareholders
      4. iv.      rent to land / property owners
  4. Debt is legally enforceable
    1. i.e. money has become THE tool to CONTROL…
    2. digital footprints everywhere…
  5. Dishonest Money creates dishonest people
    1. The Rule of Law has been replaced by the Rule of Money
    2. Criminals rule aka anarchy…

Big sighs!

Continue reading

Gold = money from thin air by Central Banks for Central Banks?

GATA is the “Gold Anti-Trust Action Committee” that keeps watching what banks, and especially central banks, are doing with gold, governments and financial markets. For even though the Bank of England Act 1694 said for the Corporation not to trade, to avoid ‘serious oppression’ of Their Majesties’ subjects, we know that ‘money’ has become a ‘financial product’ and there is nobody to question anything what banks or central banks are doing…

But here are some crucial questions that central banks should be asked about gold – after all, it’s supposedly NOT made from thin air – as all ‘credit money‘ created by banks:

Dear Friend of GATA and Gold:

For years GATA has been glad to respond to questions about the gold market from financial journalists in the mainstream news media, but we have always urged them to question the primary actors in the market, central banks, particularly in light of the documentation we have amassed showing or suggesting their often-surreptitious intervention in the market:

http://www.gata.org/taxonomy/term/21

As far as we know, no such journalists have yet tried to question central banks about gold and reported the answers or refusals to answer, even as the efforts to question Germany’s central bank, the Bundesbank, by the Canadian market analyst Rob Kirby in 2009 and the German freelance journalist Lars Schall in 2010 extracted some sensational confirmations in the form of denials:

http://www.gata.org/node/7713

http://www.gata.org/node/9363

So to make it easy for mainstream news media financial journalists in case they ever want to pursue the gold story seriously, GATA compiles below some critical questions for central banks.

These are only a start and we’ll welcome ideas for additional questions.

These questions also may be used to turn away those financial writers who disparage complaints of gold market manipulation without ever having first put a critical question to a central bank.

For the Federal Reserve

1) What are the Fed’s gold swap arrangements with foreign banks that were acknowledged by Fed Governor Kevin M. Warsh in his adjudication of GATA’s freedom-of-information request in September 2009?:

http://www.gata.org/files/GATAFedResponse-09-17-2009.pdf

2) What are the other parties to these gold swap arrangements?

3) Have such arrangements ever been implemented? If so, when, how, and why?

4) What are the other gold-related documents the Fed succeeded in withholding from disclosure in GATA’s freedom-of-information lawsuit against the Fed in February 2011? Will the Fed disclose them now? If not, why?

http://www.gata.org/node/9560

For former Federal Reserve Board of Governors member Kevin M. Warsh

1) In your commentary in The Wall Street Journal on December 6, 2011, you wrote that “policy makers are finding it tempting to pursue ‘financial repression’ — suppressing market prices that they don’t like.” You added, “Efforts to manage and manipulate asset prices are not new.”

http://www.gata.org/node/10839

Which prices did you mean as being subject to “financial repression”?

2) Which previous “efforts to manage and manipulate asset prices” did you mean?

3) Did you learn about “financial repression” during and because of your service at the Fed?

For the U.S. Treasury Department

1) In the last 20 years has the U.S. government tried to influence the price of gold, openly or surreptitiously, directly or through intermediaries? If so, when, how, and for what purpose?

2) Has the Treasury Department or any other agency of the U.S. government, including the Exchange Stabalization Fund, undertaken gold swaps or gold swap arrangements or other gold transactions in the last 20 years?

3) Are the gold-related records of the U.S. government, including those of the Treasury Department and the Exchange Stabilization Fund, fully available to the public? If not, why?

For the Bank of England and the United Kingdom Treasury

1) In December 2011 the Bank of England acknowledged that it had been active surreptitiously in the gold market prior to 2007 and did not want its gold transactions known to the market generally:

http://www.gata.org/node/10778

With whom were these transactions undertaken and what were their purposes?

2) Will the Bank of England and the U.K. Treasury fully disclose their gold-related records? If not, why?

For the Deutsche Bundesbank

1) In August 2009 the Bundesbank replied to an inquiry from the Canadian financial writer Rob Kirby about the Bundesbank’s handling of Germany’s gold reserves. The Bundesbank wrote: “The Deutsche Bundesbank keeps a large part of its gold holdings in its own vaults in Germany, while some of its gold is also stored with the central banks located at major gold trading centres. This has historical and market-related reasons, the gold having been transferred to the Bundesbank at these trading centres. Moreover, the Bundesbank needs to hold gold at the various trading centres in order to conduct its gold activities. It is common practice for central banks to keep part of their gold reserves abroad.”

http://www.gata.org/node/7713

In December 2010 the Bundesbank replied to an inquiry from the German freelance journalist Lars Schall. The Bundesbank wrote: “In managing foreign reserves, the Bundesbank fulfils one of its mandated tasks as an integral part of the European System of Central Banks. We trust you will understand that we are not able to divulge any further information regarding this activity. Particularly with respect to the confidential nature of information about where gold holdings are kept, we are unable to go into any greater detail concerning exact locations and the quantities stored at each of these. Likewise, owing to the strategic nature of the activity, we are not at liberty to provide you with more detailed information about gold transactions.”

http://www.gata.org/node/9363

What are the “gold activities” cited in the reply to Kirby? What is the “strategic … activity” cited in the reply to Schall?

2) Has the Bundesbank undertaken any gold swaps or gold swap arrangements with the U.S. Federal Reserve, U.S. Treasury Department, or any agency of the U.S. government or other government? If so, when, and what were the purposes of the swaps?

3) Will the Bundesbank make its gold records fully available for public inspection? If not, why?

For the International Monetary Fund

1) Where is the IMF’s gold kept? Is it kept in the IMF’s own vaults, in the vaults of IMF member nations, or elsewhere?

2) Is the IMF’s gold actually in the IMF’s possession or is it essentially just a claim on the gold reserves of its member nations?

3) When during the last 20 years the IMF said it was selling gold, did any gold actually leave any vault? If so, how much, and from which vaults did it leave and to which vaults was it delivered?

4) Will the IMF make its gold records fully available for public inspection? If not, why?

For the Bank for International Settlements

1) What is the “gold pool” cited by BIS President Karl Otto Pohl in his interview with the financial journalist Edward Jay Epstein published in the November 1983 edition of Harper’s magazine?

http://www.gata.org/node/11622

2) Exactly how and why does the BIS trade in gold on its own behalf or on behalf of its members? Is information about this trading fully available to the public? If not, why?

3) A presentation made by the BIS to prospective central bank members at a meeting at BIS headquarters in Basel, Switzerland, in June 2008 —

http://www.gata.org/node/11012

— includes, among a list of BIS services, interventions in the gold market. What are these interventions and their purposes and exactly how are they undertaken? Are they public or secret? If they are secret, why?

4) In a speech delivered at a conference at BIS headquarters in Basel in June 2005 —

http://www.gata.org/node/4279

— William S. White, head of the BIS’ Monetary and Economic Department, said that among the major purposes of international central bank cooperation is “the provision of international credits and joint efforts to influence asset prices (especially gold and foreign exchange) in circumstances where this might be thought useful.”

In the last 20 years what efforts has the BIS made or assisted to influence asset prices, particularly gold prices? Of which such efforts is the BIS aware?

5) Did the BIS undertake any gold transactions simultaneous with the devaluation of the Swiss franc in September 2011?

For every central bank

1) What is the central bank’s policy toward gold?

2) Has the central bank loaned or swapped gold or does it have gold swap arrangements with other central banks or government agencies? If so, who are the counterparties of these swaps and swap arrangements and what is their purpose?

3) Is it the bank’s policy to support the gold derivatives market by making the bank’s gold available for sale, swap, lease, other exchange, or hypothecation? If so, why?

4) Are the bank’s gold-related records fully available for public inspection? If not, why?

For JPMorgan Chase & Co.:

1) Are the enormous interest rate derivatives positions and the monetary metals positions on the bank’s books the positions of JPMorgan Chase & Co. itself or are they essentially the positions of the U.S. government or other governments?

http://news.goldseek.com/GoldSeek/1249407911.php

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.

A massive financial con trick foisted on the voters – by the dictators of the West

Robert Fisk would call a spade a spade in his article The bankers are the dictators of the West:

  • he asks his collegues in Wall Street why they don’t report ‘properly’
  • he blames Western governments for giving their power to banks, derivatives traders and rating agencies
  • he points to the “slovenly and dishonest coterie of experts from America’s top universities and think tanks”.

Maybe 2012 will become the year of enlightenment when enough people will realise the con tricks in operation, ever since the first central banks were created in Sweden and the UK:

  • the creation of “credit” from thin air that is being sold as “money” – but at interest
  • the deadly embrace between central banks and national treasuries
  • the complete con and illusion that governments are entitled to take “taxpayers’ money” in order to spend it.

Continue reading