Home Forums Hunting & Shooting Hunter's Campfire It's the international banking cartel.

It's Greece today and any number of countries in the past and into the future. The banks own your country and your ass. It don't make any difference what ISM you think you live in. When they got the USA to end the gold standard and the world followed they got it all. Why? Because they can forever create all the money they want and it's THEIR MONEY and their game. Dollars or Euros or Pounds it's theirs. Before, with the gold standard, they had to borrow from the people and pay the people a fee to do so.

The banks only have so much influence because people want to borrow to live beyond their means..

Over the last few years, there have been dozens of Payday Loan Company's springing up..

They charge between 1800% and 2000% and are essentially legalised loan sharks, but people still use them because its so easy...

Most consumer lending is for two things:

House and car.

Pete, you're right, but then, so is SA.

People obviously need to pull their heads out and stop the debt lifestyle, but the banksters need to stop taking advantage of human nature to gain power, and be held accountable.

Per usual, you are wrong.

The bank influenced expansion of a monetary supply is limited by the reserve ration and the velocity of money.

OK they still own your ass, no exception for you, sorry.

If you can say that, you don't understand Finance.

If you really think banks "own us", please make your case.

Asking him to answer that is going to be something to watch.

Well its ridicules for any government of the people, by the people and for the people to pay a middle man a fee to borrow money. End of story.

SA, i would appreciate your explaining this with regards to the fact that we are printing $85 billion/ month.

Thanks, eye, and no, i dont understand it.

Great job displaying your ignorance.

The median home price is currently 282,000. How many home loans would actually happen without banks? For many who could make such a loan, all their money we be loaned to one person with no diversification of risk? WOW, that's not very smart.

How are most businesses funded?

If we did away with all banks, what would this do for business creation? Without out businesses, where are the job going to come from?

Without an advanced financial system our advanced society would quickly grind to a halt.

As to the banking middlemen, everything they do can instead be done by the government. As it is the government bails em out, at our expense, and they profit.
Eyeball that 85B is just printed up; if it were borrowed it would be borrowed from us with the bank paying us a reasonable fee as interest. With the abandonment of the gold standard banking became a ponzi scheme. The credit card is the biggest one.

SAC, i think the Fed owns it and it is loaned to us taxpayers with a high interest rate. We pay the owners of the Fed R BANK! because no one will loans us asbwe are bad debt.

We plan to pay them back with dollars reduced in value as a result of inflation.

The Rs have bought too many votes with welfare dollars and obama bucks.

Doc, that's actually a good question.

There's a complex path through which dollars are created.

First Charlie specifically mentioned the evils of banks acting as a middle man, so I presumed he was referring to commercial banks, vs. our Central Bank, the Federal Reserve.

So lets follow the process. Lets say the Federal Reserve purchases $1.00 worth of assets (usually U.S. Treasuries) in the open market. In doing so they just added one dollar to the Monetary Base. This is the primary tool used by the FED to regulate the money supply.

The Fed conducts there purchases with large commercial banks. If you wish to take a loan from this bank, they can now loan this dollar to you, minus the reserve requirement (the amount the FED says they must keep on hand to facilitate withdrawals etc, Generally in the US this is considered to be 10%), or $0.90. If you deposit your $0.90 at a different bank, they are then free to load $0.81 of your deposit to another customer. It is through this mechanism that a single dollar added to the monetary base can become ten dollars in circulation. Now what do you do with the dollar you borrowed, at some point you will spend it, lets say at a business, who then uses it to replenish his inventory etc. How often the dollar turns over is the "velocity of money". Historically velocity of M1 stood around 3, but recently it's been close to 1.5. As I mentioned in another post referencing the effects of regulation on the economy, velocity continues to drop off a cliff.

Now the former 85 billion a month in purchases you mentioned would be Federal Reserve increase the size of the Monetary base. The Fed has "QE", this expansion of the monetary base with the last purchase of 15 billion in bonds in October of 2014. So QE's been over for almost a year. Now the Fed is preparing to use there other major policy tool and increase interest rate to keep lending controlled, and hence, the expansion of the money supply.

Charlie, you are a bigger Communist then I thought. Are you suggesting that all wholesale operation should be government controlled? You think our powder supply is screwed up now, what would it look like with government control of all intermediate transactions? Now multiple that through out the entire economy, and heck, no one could even get a cup of coffee from Starbux because I'm sure the government suppler couldn't keep the cups flowing.

Yes its complex arithmetic where middle men skim off the top!

Sniper why do you want a pissing match instead of a discussion?

Thanks, SA.

Charlie, these "middlemen" add value. When you use loaded terms like "skim off the top", the implication is that you believe they are stealing. Do you believe all business people should be denied a fair profit?

As far a just "skimming off the top", in competitive markets, it not that simple. If you are not adding value, you will soon be out of business.

Let me give you and example, I once worked for a financial institution that decided to offer most of our products through third parties, or what you call "middlemen". The reasons were simple. It enabled us to focus on our core competency, managing money, instead of mailing statements and answering phone calls. We chose to use the middlemen because it simplified out processes and they added value.

I'm just pointing out the ideological bend to some of your misguided idea's. Generally you like to troll vs. participate in meaningful conversations, so yea, I'm tossing it back at you bit.

I"ll admit that sometimes I troll Doc EB, but that's just for fun, and only on one subject.