A few thoughts on the debt bubble
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A few thoughts on the debt bubble
from zero on 07/14/2015 10:36 AMTake a good look at Greece, what's happening in Greece is going to be global, most people can't fathom the unimaginable horror that awaits us all. That's because besides having a sketchy knowledge of history, most people don't really understand the real truth about the present situaton, so here's the basics.
How is money created?
Money is loaned into existence, either in the form of government bond purchases by central banks or loans made by local banks to companies or individuals. It's called fractional reserve banking. The good thing about the system is it makes the creation of money the product of the demand for money, so there's always enough money to loan. The bad thing is it creates an insatiable demand for economic growth. Because all money is loaned into existence, it comes with a bill of interest. There is no mechanism to create the money needed to pay interest other than to issue more loans. That's right - the global financial system is essentially a pyramid scheme. And when you think about it, interest is what makes humanity a cancer on the world, it's what drives us to take ever more.
If you look at what's happening right now in Greece, the final step in the process is the people who were given the power to "make up" the money out of nothing and loan it out end up owning everything. It's a mathematical certainty.
Thus, I think the way forward is fairly obvious, if we are to survive as a species and not kill our planet, money needs to be created without interest. Government could spend money into existence, and tax it out of existence. That would give those in charge of overseeing the system the ability to ensure there is enough money in the system to facilitate trade, but not so much that the money becomes devalued.
The system we have now is about to hit the wall, (at least that's what the smart money has been saying) and when it does, we will be told that there is no way out but global enslavement to bankers. Just remember, all that quadrillions of dollars that are owed were created out of thin air.
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Re: A few thoughts on the debt bubble
from Bozette on 07/14/2015 11:54 PMGet ready for the mess, it is going to happen. Any bubble can only expand so far before it bursts. More crashes, more foreclosures, more bankruptcies...and for something new, get ready for bail-ins. Yee-haw.
When we shipped the bulk of our manufacturing jobs overseas, we were left with a single major export...the dollar. The value has, thus far, been kept up due to the petrodollar scheme. Which, btw, people had to die to keep that in place, but what if BRICS does what Saddam and Qaddafi were prevented from doing? Or what if, as some claim, that BRICS was orchestrated by the PTB to bring those fringe countries into the NWO? Either way, it isn't looking good for the average American, or the citizens of other countries.
What is the financial marketplace but a gigantic crap shoot. It is like a worldwide Las Vegas that affects everyone, whether they have directly invested or not. Many, if not most, do invest, even if indirectly through mutual funds and pension funds. You are invested via your bank, your insurance, your employer...even through those who you purchase goods and services from. And a massive meltdown will have a massive impact on us...except for a very few, who we can liken to "the house" when speaking about casinos. Remember the old saw? "The house always wins."