Hi All
OK – this is an old subject and one which was probably responsible for me starting blogging in the first place.
But I think it’s probably more relevant now than when it was produced as a result of the 2008 financial meltdown…. so …..
I watched a conspiracy theory documentary on youtube.com about 5 years ago called 97% owned.
It’s a bit long but actually very good and it explains (from memory – in the modern secular world ie., now) how DEBT has replaced RELIGION as a means of controlling the masses and keeping us all in a happy state of torpor (probably the wrong word to use as it implies a “thrifty” state of being rather than the more normal Mr Creasote state).
And you only need to watch SKY TV here in the UK to be bombarded with adverts for cheap loans and how to improve your credit score so you can consume more stuff.
And how we all tow the line and are politically correct because we don’t want to lose our job (be excommunicated) and not be able to pay the mortgage and be out on the street (go to hell).
This new religion is working well.
But watching the documentary, I didn’t believe that the modern monetary system could be so flawed and so fragile (it is in fact a VAST ponzi scheme).
Initially, I thought it was just conspiracy theory BLAH BLAH BLAH.
I googled long and hard for some evidence of truth to support the allegations in 97% owned; but most of the evidence I found seemed to be backed by people with connections with/sympathy towards the documentary makers.
And then … DYNAMITE – I found what I was looking for!
This is a bulletin prepared by the Bank of England in 2014.
Hidden in plain sight, it explains… (my words are in bold)
<QUOTE>
One common misconception is that banks act simply as intermediaries, lending out the deposits that savers place with them – this is your grandmother’s view – it is WRONG!
Another common misconception is that the central bank determines the quantity of loans and deposits in the economy by controlling the quantity of central bank money — the so-called ‘money multiplier’ approach – this is what accountants like myself were taught but it is WRONG!
Banks first decide how much to lend depending on the profitable lending opportunities available to them — which will, crucially, depend on the interest rate set by the Bank of England.
Of the two types of broad money, bank deposits make up the vast majority — 97% of the amount currently in circulation.
And in the modern economy, those bank deposits are mostly created by commercial banks themselves. – the commercial banks are also “creating money out of thin air”; NOT just the central banks!
</QUOTE>
BUT actually, in this COVID-19 world that we live in, the monetary system with its QE (printing virtual money out of thin air) by CBs (credible central and commercial banks – eg., NOT the Lebanese Central Bank obviously because everyone would laugh!) is working well.
But unfortunately, the underlying message of 97% owned hasn’t gone away.
The collapse of this new religion is still possible.
And if it happens we are all royally fucked!
No wonder gold prices are going through the roof!