Wednesday, March 24, 2010 And Me and Me
This film by Dan Matthews of is, for me, like a comet blazing across the sky of my understanding of our banking system. I started wondering about the banking system years ago when some renegade economic guy (Harry Browne, recently deceased) wrote a book in 1970 entitled “How to Profit from the Coming Devaluation”). I wasn’t impressed with the man’s libertarian attitudes, but I was impressed with his simple explanations of the banking system.
Harry Browne told me (so to speak) that whenever I put a hundred dollars in the bank, that this hundred would be loaned out and then when I spent the hundred myself there were now two parties spending the same hundred. Browne also clued me in on how going off the gold standard meant that the only thing backing the US banking system was faith in US production. Well, that seemed kind of iffy to me, even then. But now, with Dan Matthews telling me in this film that the reason Canada is now in a debt position is because of the compound interest the private Canadian Banks charge on all loans. And then he goes on to tell me that these money loans that we think the banks actually have when any of us make a bank loan for anything is something the banks actually have on hand. It isn’t so. When any of us make a private bank loan (of which ninety five per cent of all loans in Canada are from private banks) they don’t actually have that money. Well, how can they say they’re giving you a loan of actual money when they don’t have it and then demand that you pay back compound interest on money they didn’t have in the first place, that they just generated out of thin air?
Well, it’s legal. According to an interview with Paul Martin on the Bank of Canada Act (1934) was modified in early 1991-92 and then modified some more by Paul Martin a few years later until the private banks now don’t have to have any money in reserve when they make loans. Absolutely none. The outcome of this is that the banks have out in loans one point five trillion dollars while only keeping four billions of real money in the bank vaults. And the banks are collecting one hundred and sixty million dollars a day, including provincial and federal debts, or sixty billion a year. And this is real hard earned money from Canadian workers, not the fake money the banks created out of nothing in order to suck up real tax payer money. And the government doesn’t have to make loans from these private banks there is the Bank of Canada that belongs to the people and doesn’t charge interest at all to the government. Please watch this movie. It’s on YouTube. And an aside…I’m reading from my books at The Laughing Oyster Book Store in Courtenay on Vancouver Island Saturday afternoon at one o’clock. Anybody in the neighbourhood at that time, do drop in.

1 comment:

  1. Heather Fox11:53 AM

    Thanks for talking about the money supply. I watched 'Oh Canada the Move' and found it very insightful. Another web site you might enjoy is 'Steady State Economy'. They run a blog called "The Daly News" and the posting for April 25th is 'Money and the Steady State Economy'. Interesting ready and ties in nicely with what I learned from watching 'Oh Canada the Movie'