posted on Mar, 20 2015 @ 11:17 AM
a reply to: jlafleur02
The vast majority has simply been used to increase the value of assets. That is dead money that is of no use whatsoever to the vast majority of people
whose incomes are based on producing real goods and services that people purchase ie real/live money.
A classic example of this property. If you do not build houses but increase the amount of money available (in the hands of a few) this increases the
demand on the existing housing stock which simply puts up the purchase price. In the vast majority of cases people sell one house and buy another with
very little actual cash changing hands. The total value of all those houses keeps rising. The vast majority of that is debt owed to banks. Thus the
banks look as if they have lots of money. If the bubble bursts ie people suddenly stop buying houses, the prices collapse, the banks lose billions and
they collapse......da da 2007-2008!!!!!
FYI this is UK tory policy. By not building houses and providing first time buyer purchase schemes they increase the value of property which increase
the bank balance of all their (rich) friends. Not only that any real
money 9ie in economic circualtion) migrates from the poorest in society to
the richest via ever increasing rents due to an ever increasing demand for homes !!! How anyone with half a brain cell can't see this is jaw
Another consumer of this false cash is bonds which is basically a promise to pay back money at a future date. This is what quantative easing does.
Central banks purchase bonds which increases the "bank balance" of the banks (some of which is used to stimulate the property market DUH !!).
However these banks have recently sat on the money in case things go belly up.
Some of this money goes into higher wages for a group of people considered "too important NOT to pay ever higher salaries (back to this in a mo)".
The extra salaries do not result in extra purchasing but instead languishes in personal bank accounts, usually off shore. So yet another electronic
increase in wealth wih zero increase in money flowing around the economy.
True wealth is an increase in economic activity. But in order to get this the people producing the goods and services have to get paid more since they
are also the consumers (remember the ones at the top with mega salaries are NOT mega spenders they are hoarders). NB it does not matter one jot
whether the goods and services are public or private (howls of protest from the capitalists), what matters is that the money circulates.
Finally back to all those ever so important corporate leaders. I have never known anywhere in the world any company that was so utterly dependant on
one person that without that person the company collapsed. There is always somebody down the ranks perfectly capable of taking over the reigns.
Government is too gutless to turn round to these corporate vultures and tell them to take a hike. Support your country for a reasonable salary or f
There you've got me ranting about the greedy corporate b.st.r.s now