"He that completely controls a nation's financial system controls
that nation completely".
A Ponzi Scheme is a fraudulent investment program that
involves promising or paying abnormal profits to investors
out of the money paid in by subsequent investors, rather
than from net revenues generated by real business.
Fractionalized Banking is a system that Financial Interests
use to create false assets. For example: A person deposits
one dollar into a savings account in a bank. The bank will
keep 20 cents in reserve for operating expenses. The remaining
80 cents will be loaned out 10 times. The bank will pay 2% interest
to the depositor and collect 6% interest from the 10 loans. The bank
will eventually realize a profit of at least $8.46 on the original dollar invested.
When the economy fails so too does the bank who can't pay their depositors
because most of their assets have been create out of thin air. While most
of these profits go into off shore accounts, not to worry, the American Tax
Payers will bail the financial interests out. The banking laws and the interests
regulations have been changed by our government to benefit the banking
institutions rather than the people.
"Fractionalized Banking" could also be considered a variation of a Pyramid Scheme,
whereby, 90% of the investors will lose and only 10% will gain. In my opinion it's
the big commercial banks that are the winners.
There is an old song written in 1921 called "Aint We Got Fun" with a line that goes
"the rich get richer and the poor get poorer". That line is as true today as it was back
in 1921. Any financial system is based on the faith that the people have in it. When
that faith is destroyed, so too is that financial system and we are at that fork in the road.
Wednesday, October 8, 2008
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