[sws_blockquote_endquote align=”right” cite=”” quotestyle=”style02″] There are none so blind as those who will not see
Old English Proverb [/sws_blockquote_endquote]
Over the years the world ‘s leading Nations have been moving towards the stranglehold grip now held by private banks over the creation of new money through debt creation. Once sustainable levels of debt have now moved to levels no-longer sustainable., with Britain’s national debt exceeding £1 trillion and the Government forced to borrow more each month.
Warnings from the past have come home to roost as one country after another suffers severe financial crises.
Britain’s new Bank of England Governor Mark Carney comes from a country that has much to teach the world if he and others would just heed the wisdom of the past.
W.L.MACKENZIE KING: In 1935 the Prime Minister of Canada said:
“Once a nation parts with the control of its currency and credit, it matters not who makes the nation’s laws. Usury, once in control, will wreck any nation. Until the control of currency and credit is restored to government and recognised as its most conspicuous and sacred responsibility, all talk of democracy is idle and futile.”
In 2010 Sir Mervyn King (now Lord) Governor of the Bank of England said in a speech;
“Of all the many ways of organising banking, the worst is the one we have today.”
The government of Canada devised its innovative system of state-bank-created money, in the 1930s and drew freely from it for nearly four decades of unusual prosperity, growth and development. The bank could also lend to the provinces, with the interest it collected being paid to the treasury. Then in the 1970s, Canada joined the Basel committee of G10 countries. A change in economic policy followed that cut the government off from its own state bank funding, subjecting it instead to the sky-rocketing interest rates of private international credit markets. Canada is now struggling with debt and deficits along with the rest of the Western world. That the Canadian Government should relinquish control over the creation of its own money, exchanging financial prosperity to join the group of ten countries forming the Basel Committee defies explanation.
Copyright 2013 COMER Publications. Reproduced by permission of COMER Publications ”Further information is available in The Journal of the Committee on Monetary and Economic Reform, Vol. 25 No. 6 – June 2013 from which much of the above has been quoted. Email: firstname.lastname@example.org
Early in 1800s, the Island State of Guernsey, prompted by dire need concluded that the only solution to the Island’s financial problems was for the government to create the money so desperately needed, free of debt. The new money funded essential projects while also providing much needed employment. At the time Guernsey’s town was undeveloped, the roads were cart tracks and there was no prospect of employment. That policy decision brought redevelopment, which in turn stimulated visitors to the island, low taxation and lasting prosperity to this day without inflation.
Britain also saw the light with the The 1844 Bank Reform Act which recognised the damage caused by the ability of the commercial banks to print currency notes, that the Act duly removed. If it was right to do so in 1844, then it must surely have been right to implement follow-up measures preventing banks from continuing to distort the economy through the creation of new money electronically/digitally. It is not too late to do so now.
How do the private banks create new money?
By simply tapping a few keys on a computer keyboard a loan of say £10,000 immediately appears in the borrower’s bank account. No physical money is transferred. When the money is spent, £10,000 of new money comes into circulation.
Commercial banks hold an almost total monopoly over the creation of all new money with over 97% of the money in circulation being debt based. The balance of less than 3% being coins and currency notes provided by the Bank of England.
Bank of England figures indicate that Britain’s collective debts, that is nation and people, is about £2.3 trillion and we only have about £2.1 trillion with which to repay that debt. A shortfall of £200 billion. The overall effect is that everything is financed by debt, including the loan interest paid to the banks. If you are free of debt, then whatever you have somebody somewhere owes.
The answer to the world’s financial problems lies in history and is there for all to see. It needs the courage of politicians, many of whom have financial interests and backgrounds, to accept the facts and act in the best interests of those whom they were elected to represent.
But if you wish to remain the slaves of bankers, and pay the cost of your own slavery, let them continue to create money.
Loan interest paid to British banks has been calculated at £192 million per day!
Surely common sense dictates that an economy can never achieve sustainable prosperity when it is dependent upon a level of debt that it cannot repay and that must incur new debt to pay debt interest and to pay off old debts? A private person in similar circumstances would be deemed insolvent and bankrupt.