An interesting website taken from the comments section of the Telegraph.
Supported by economists and industrialists this site explains the causes of our financial woes and the remedies.
It points out that the £200 billion "quantitive easing" (money printing) action by the government has all gone to the banks who then lend it out at vast profit.
If this money was put into the system to pay government debt and help industry our problems could be easily solved.
It seems too good to be true but I can not find any flaws in it.
Why don't they do it?
Because all the senior politcians are in hock to the banks and many of them are themselves bankers, and so we all suffer by paying interest to these parasites who produce nothing.
Anyhow look at this link and see what you think.
http://www.bankofenglandact.co.uk/
2 comments:
Re: your article in my simplistic way of looking at smoke and mirrors I see it like this,each time a loan is made by a commercial bank,new money is created,and because of the system most money exsists as numbers in a computer system.
Money actually in the country as cash according to figures is approx: 4% and the rest of the money is created as numbers in the computers of commercial banks.
So if say the government injects £1billion this will be used by the banks to create £10billion of new loans so,this will then after the money creation mean that the public will be in debt to the banks.
The banks will then pick up the interest payments simply due to endlessly creating new money out of zilch.
You will have guessed were I am going now,correct you guessed,yes keep blowing this bubble up by greed and irresponsible lending and when the defaults come a big burst of many bubbles and the crash.
Finally your last paragraph,absolutely spot on,as an old Billinger never tired of telling me what you need to keep in your mind all your life young man is Vested Interests I laughed at the time,but he was also spot on.
The government could use the money injection directly and pay off their debts, improve services and by pass the banks.
The only reason they do not do this is that they are bound by the Mastricht Treaty which forbids it.
The New World Order in action, a massive Ponzi scheme which depends on continuous "growth" to inject the new money to sustain the racket while the ordinary people pay the price in interest while the bankers become ever more powerful and wealthy.
It can't go on and will collapse sooner or later as you can not "grow" for ever in a finite world with finite resources.
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