posted on Oct, 3 2013 @ 02:40 PM
reply to post by bozzchem
Oh, and did you know that every time you borrow money to buy a car, or borrow money to buy a house, you inflate the money supply?
Did you know that every time you use a credit card to make a purchase you inflate the money supply?
Did you also know that you contribute do the debt when you do those things? If you borrow 20,000 for a car you are expected to pay back that 20k plus
the interest (let's say 5k), but they only give you 20k for the car. If you have a job and 'make' enough money to pay off the car AND the
interest on the loan, then you have paid back the original 20k they printed for you plus the 5k the bank sucked out of the system (that 5k you
'made' is somebody else's principle as borrowed money) for interest.
It keeps the economy in a state of perpetual debt and borrowing.
If we backed the dollar by gold then the price of an ounce would probably rise to abound 120k per oz. Then there would be enough gold to back the
In the long run a loan actually shrinks the monetary base (deflation) while increasing the debt.
edit on 3-10-2013 by SouthernForkway26 because: (no reason given)
edit on 3-10-2013 by SouthernForkway26 because: (no reason
When somebody borrows money the banker uses paper and ink to draft a note. The banker is guarding a great secret and is allowed to do this according
to State and Federal law as long as he abides by strict regulations. Then the note is monetized. No sane banker would ever loan out his bank's
capital, his personal money or any of his depositors savings. In fact, no money is ever put at risk when a loan is made. New money of account is
created by the banker's hand and magical pen and ink so that you can pursue your dreams.
Our ''debt'' equals our ''wealth''. We would never want to pay off our debt because then we would be broke.
If we backed the dollar by gold then the price of gold would be counted in what?... dollars. Why do that? Why not back the gold by dollars instead of
the dollars by gold? We do in fact back the gold with dollars that we create whenever we need them. Our sweat equity backs it all up with our human
labor, our high intelligence and our willingness to build the finest weapons systems and put it all into action when necessary. We are living the
And in the long run a loan increases the money supply. It does not shrink. Every loan increases the money supply by pulling it forward from our future
labors. When you go to McDonald's and get a $6 meal and use your credit card to pay for it the McDonald's owner gets $6 in his account, you get to
stave off your hunger a little while longer, 30 days later you get a bill from your card issuing bank, you pay the bill in full to avoid interest
charges, and now not only does the McDonald's owner have $6 but the banker has $6 of revenue also. The very act of eating a cheeseburger and fries on
credit has inflated the monetary supply and you yes YOU did it all at your own discretion utilizing consumer discretionary credit. Thanks a lot, pal.
Now I have to work harder to earn more of those devalued dollars I mean gold nuggets or seashells or cheeseburgers or whatever ad infinitum.