For years, independent researchers have tried to bring home this simple message to people around the world:
Government’s don’t create money. Privately owned banks do and they do it out of thin air, as debt.
Behold, the reason for pretty much everything that is wrong with the world today: Fractional Reserve Banking (FRB).
The inevitable upshot, as confirmed by a stock trader by the name of Alessio Rastani on BBC News in 2011: “Governments don’t rule the world – Goldmann Sachs rules the world.”
Policy decisions, big and small, are measured in – and governed by – money.
If a bank does not approve of the reader’s idea for a new car or house, it will deny the loan request. Governments that do not heed bankster expectations, face similar fates or worse.
The fix to unhealthy master-serf relationship between banksters and everyone else, is that governments completely cut the banks out of the business of creating money. The only body that legally should be able to create money are governments.
To understand just how liberating an experience a monetarily self-sufficient and sovereign country could be, the reader is only asked to imagine what it would be like to have his or her own money-printing machine in the cellar. The sky would be the limit, hypothetically, since there is only so much time the reader would have to spend his new-found riches.
The bottle-neck for countries that have assumed full control over its creation of national money, will be skilled labor. The reader may also need to get used to free education, near zero-unemployment figures, and 4-6 hour workdays. Oh, and no taxes.
Governments able to create all the money it needs itself, does not need to rely on income taxes for funding the annual budget.
This, is how Michael Kumhof has made a name for himself outside of the IMF: by travelling the world and repeating the revolutionary ideas of criminalizing FRB.
Still, Michael has a job to go every morning.
The Ultimate Sting
The entities that engineered Fractional Reserve Banking knows everything the reader just read.
They also understand that the moment the public becomes politically aware of this, it is bye, bye – banksters. At least bankers on the level discussed in Michael Kumhof’s paper “The Chicago School revisited” – which are the types of banks serving the reader and almost everyone else.
So, what can top echelon banksters that wish to continue to stay in covert control over the world do?
They can do what was done already in 1930, create a central bank for all the central banks in the world: the Bank of International Settlements (BIS) and ensure that when the moment of general awakening arrives governments around the world will cave in to public demand and, indeed, criminalize Fractional Reserve Banking and give only the central bank of their country to issue money.
And here in lies the problem.
Although central banks appear to be banks of the government, they really are not.
They not only have a standing relationship with BIS – they also act independently from the national governments in the countries of which they pretend to be part.
This particular misunderstanding seems to hearken back to the concept of Division of Power, in itself a nice idea but in practice means that the power that was supposed to be “executive” (as distinct from “legislative” and “judicial”) just handed over it’s pretty much only tool for being “executive” – deciding on and funding their own budgets – to the private banks.
The solution favoured by the top banksters in this world is that once the private banks are gone, or just neutered (having had their money-creation ability taken away from them), BIS will reign supreme as the lender of last resort to all the world’s central banks.
When this final consolidation of power takes place, the reader should not be surprised if all the currencies in the world are soon replaced by just one global currency.