Posts Tagged ‘Banking’

“Traditionally, inflation has been defined as ‘an increase in the amount of currency in circulation’….   Unfortunately, in recent decades, even dictionaries have been offering a revised definition of inflation, as ‘an increase in the price of goods and services’….

The purpose of bank-created inflation is to extract wealth from the populace.  By regularly increasing the amount of currency in circulation, banks create an environment in which the concept of debt appears to be beneficial. As a result, virtually everyone in today’s society not only has debt; he actually believes that he couldn’t improve his life except through debt….  In essence, the inflation concept was invented by banks as an invisible tax—a means by which they could extract wealth from the populace.

In effect, the individual is used by the banking system as a milk cow. For his entire working life, inflation is carefully adjusted to extract as much monetary value from his labours as possible, whilst still leaving him capable of continued production….

Refuse to borrow money for any situation. Yes, it will mean that, as your friends show off their new cars, you’ll be driving an older model. They’ll also live in nicer houses than you and they’ll ‘own’ their own house before you do. But, at some point, since you’re free from debt, you’ll pass them by and eventually retire well.

By understanding inflation, and acting on that understanding, the odds of living your life as a milk cow can be greatly diminished.”

-Jeff Thomas

“The accumulation of money  (the act of banking) is a necessary function in our everyday lives. Without it there is no way we can enjoy the standard of living that is ours. But, as we have cited, the bankers have all but taken over the banking function in life and people have become ‘financial slaves’.” -Carlos Lara and Robert Murphy

“Notice the core around which the banking — and all financial — business revolves. The flow of money.” -Ryan Griggs

“Inflation is the creation of money and credit beyond the savings rate.  You see, the real impact of this new money comes when it enters the banking system.” -Porter Stansberry

“Controlling the Banking function is the primary goal.” -R. Nelson Nash

Banking Terms

Posted: April 10, 2016 in Economics
Tags: , , , , ,

“Banking is at the center of the economy… And the policies you set in banking determine who gets capital and under what conditions. That’s the definition of capitalism: how to allocate capital and under what terms.” -Porter Stansberry

“Sound principles of banking are identical to sound principles of warehousing any kind of merchandise, whether it’s autos, potatoes, or books. Or money. There’s nothing mysterious about sound banking. But banking all over the world has been fundamentally unsound since government-sponsored central banks came to dominate the financial system.  Banking all over the world now operates on a “fractional reserve” system.  A banker can lend out a dollar, which a businessman might use to buy a widget. When that seller of the widget re-deposits the dollar, a banker can lend it out with interest again. The good news for the banker is that his earnings are compounded several times over. The bad news is that, because of the pyramided leverage, a default can cascade.

In 1934, to restore confidence in commercial banks, the U.S. government instituted the Federal Deposit Insurance Corporation (FDIC) deposit insurance….  FDIC insurance covers about $9.3 trillion of deposits, but the institution has assets of only $25 billion. That’s less than one cent on the dollar.” -Doug Casey