Phanerothyme Posted February 7, 2012 Share Posted February 7, 2012 No shocks there - five years ago I would have dismissed it as conspiracy thinking. I've watched the first four parts, and it's a very well laid out explanation of who creates all the money, and how creating it out of thin air for incentives is a bad idea. Link to comment Share on other sites More sharing options...
MrSmith Posted February 7, 2012 Share Posted February 7, 2012 Increased value of land benefits nobody but landholders. It does nothing to encourage production, it merely hinders it. Land monopoly exists and one class of landholders feed off of the others. It is land value which should be taxed, not labour. For land value only exists due to the collective labour of the community (or in the most recent case, debt funded speculation). Everybody lives or works on land, some own it and some rent it and some get it for free, it’s available to everyone to own. Should we all be made to pay rent on that which we own? You are also the joint owner of the biggest chunk of land. Link to comment Share on other sites More sharing options...
Anna B Posted February 7, 2012 Share Posted February 7, 2012 I’m surprised there has not been more posts in the thread. Are people really that uninterested in finance other than the instant gratification of spending. No wonder there are so many people in debt-to a large extent their own doing I guess. It doesn't surprise me at all. Yes, the majority of people in this country have little interest in finance and even less in politics. That is one of the reasons we have had such p**s poor government for the last 50 years. Nobody holds them to account. Now they think they can get away with anything, and sadly - they can... Link to comment Share on other sites More sharing options...
mart Posted February 8, 2012 Share Posted February 8, 2012 It doesn't surprise me at all. Yes, the majority of people in this country have little interest in finance and even less in politics. That is one of the reasons we have had such p**s poor government for the last 50 years. Nobody holds them to account. Now they think they can get away with anything, and sadly - they can... Yes, they can in this country. Not so easy in a country like France. Protests & blockades seem the order of the day. Link to comment Share on other sites More sharing options...
epiphany Posted February 8, 2012 Share Posted February 8, 2012 Compound interest is surely the crux of the problem. Now I only scraped a C in GCSE maths but it makes sense to me that if every pound loaned into existence (which is basically what makes up 95% of currency in circulation) carries with it interest, and only the principal is created, then it stands to reason we will need to borrow more interest-laden money in order to cover the interest repayment. Of course, this loan further compounds the interest we were trying to repay from the original loan. Not one person has been able to explain to me how such a system can possibly be self-cancelling and therefore sustainable. Mervyn "no ****" King was right - "of all the many ways of organising banking, the worst is the one we have today". Link to comment Share on other sites More sharing options...
spooky3 Posted February 9, 2012 Share Posted February 9, 2012 Compound interest is surely the crux of the problem. Now I only scraped a C in GCSE maths but it makes sense to me that if every pound loaned into existence (which is basically what makes up 95% of currency in circulation) carries with it interest, and only the principal is created, then it stands to reason we will need to borrow more interest-laden money in order to cover the interest repayment. Of course, this loan further compounds the interest we were trying to repay from the original loan. Not one person has been able to explain to me how such a system can possibly be self-cancelling and therefore sustainable. Mervyn "no ****" King was right - "of all the many ways of organising banking, the worst is the one we have today". Should loans be free? The trust and management is what you are paying interest for. Link to comment Share on other sites More sharing options...
Anna B Posted February 9, 2012 Share Posted February 9, 2012 Yes, they can in this country. Not so easy in a country like France. Protests & blockades seem the order of the day. I can only assume French people take more notice of what's going on than we do, and quite rightly find it wholy unpallatable. And remember this was a country that had a bloody revolution when the ruling elite pushed them too far, so I assume their politicians take note. We meanwhile, have that sad little group outside the cathedral desparately trying to get the word out about what's happening, and being roundly castigated by ignorant people who refuse to be enlightened. There have been TV programmes, books by learned men and women, articles in respected magazines, and endless articles on the internet all trying to educate the public and still they refuse to listen. Until they realise what is really happening nothing will change. My only fear is that when they do they will be so outraged we will have our own bloody revolution. Then it will be too late... Link to comment Share on other sites More sharing options...
Longcol Posted February 9, 2012 Share Posted February 9, 2012 Compound interest is surely the crux of the problem. Now I only scraped a C in GCSE maths but it makes sense to me that if every pound loaned into existence (which is basically what makes up 95% of currency in circulation) carries with it interest, and only the principal is created, then it stands to reason we will need to borrow more interest-laden money in order to cover the interest repayment. Of course, this loan further compounds the interest we were trying to repay from the original loan. Not one person has been able to explain to me how such a system can possibly be self-cancelling and therefore sustainable. Mervyn "no ****" King was right - "of all the many ways of organising banking, the worst is the one we have today". Inability to repay loans (ie bad debts) is what has brought the system into turmoil. It is a fallacy that banks create money from nothing. They can only lend (around 90%) of money deposited with them - "savings" is probably the easiest term to use. Interest charged by banks is their profit from taking the risk to people who will default (plus covering their expenses). Now you can argue (as I would) that the banks shouldn't have made loans to people who posed an excessive risk - and that the reward system for bankers was all wrong - taking a cut from the deal rather than a cut from any surplus that materialises in the long term. And this doesn't even start to explain governments role in the mess. Link to comment Share on other sites More sharing options...
Longcol Posted February 9, 2012 Share Posted February 9, 2012 I can only assume French people take more notice of what's going on than we do, and quite rightly find it wholy unpallatable. And remember this was a country that had a bloody revolution when the ruling elite pushed them too far, so I assume their politicians take note. 1789 if my memory serves - I'm sure that is at the forefront of the French politicians thinking (not) Link to comment Share on other sites More sharing options...
Anna B Posted February 9, 2012 Share Posted February 9, 2012 Inability to repay loans (ie bad debts) is what has brought the system into turmoil. It is a fallacy that banks create money from nothing. They can only lend (around 90%) of money deposited with them - "savings" is probably the easiest term to use. Interest charged by banks is their profit from taking the risk to people who will default (plus covering their expenses). Now you can argue (as I would) that the banks shouldn't have made loans to people who posed an excessive risk - and that the reward system for bankers was all wrong - taking a cut from the deal rather than a cut from any surplus that materialises in the long term. And this doesn't even start to explain governments role in the mess. Banks can't create money from nothing? What about quantative easing? Soon to be over £100 billion. Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.