Tag Archives: Monopoly

Our Toxic Financial System – Part 3 of 3

Nathan Rothschild

In Part 1 http://tinyurl.com/z3x2yzb I justified my use of the word ‘toxic’ in the title from the dictionary, which described it “Causing social harm or unpleasantness” – The Free Dictionary by Farlex. In this final part I would like to offer examples of how the biggest global monopoly in our history is now consolidating its vast powers and whether they are of benefit to Society or not.

In Part 2 http://tinyurl.com/j3xu9uq I alluded to how money comes into being. Monopoly allows them to simply create loans on a balance sheet and bring money into existence (out of thin air) for the duration of the loan and on which we pay interest.

This monopoly to supply our money no longer needs to hold reserves of tangible assets – like gold – to support the value of that money. Indeed, to protect this monopoly they actively work against any country looking to bring its own currency into existence. Recently (and quietly) disclosed in Hilary Clinton emails), it was confirmed that Gaddafi was looking to introduce a gold backed currency into Africa and never quite made it.

With no control over how much cash is circulated into Society, because it is no longer controlled by how much gold reserves the banks have to hold, we have seen a printing bonanza since 2008, as money is flooded into the economy to stave off what should have been an economic collapse and recession.

These vast amounts of money were supposed to be put out into Society to spend on goods and services, thereby stimulating the economy back into a healthy position. A monopoly however, allowed banks to hold on to the money to boost their own severely strained reserves (they were all technically bankrupt after 2008). They also gave cheap loans to the corporate world. These were used to buy out the competition and buy back their own shares, thereby artificially holding up their share prices, in an era of falling sales.

This stimulated the growing gap between rich and poor, as the banks directed their money in just one direction – the corporate world. Like a gardener directing his hosepipe to water just a part of the garden, those plants that received it flourished and the remainder withered.

In spite of all the reassurances from the experts, like the Federal Reserve, that ‘QE’ would sort the problem of growing unemployment and economic slowdown, it didn’t. In addition, these private banks have continued to merge risky investment banking with their consumer banking, the very problems that heralded the collapse of 2008.

Because of their monopolistic position the banks are again looking to the public to bail them out, by taking current account money and savings next time. (Don’t raise the fact that we have a government protection scheme to reimburse us in this event . . . that is our taxpayer money again that will support this second grand theft!!)

As we become aware of what is happening the astute will take their money out of the banks and hoard it under the bed, as we have done for eons when distrust of the banks sets in. This time, because they are so fragile, the banks want to pre-empt our astuteness by getting rid of cash, something already under way in – Canada, Denmark, France, India, Israel, Norway and Sweden, to name but a few.

If we are restricted to plastic, (which ordinarily need not present a problem, if properly overseen) our money is no longer in tangible form as notes and coins but simply numbers on a computer screen and their monopoly will allow them to deny us access at will. Their monopoly control then becomes absolute. Their reasoning is that it will enable them to crack down on money laundering and tax evasion.

Indeed, only in the last year or so Switzerland has been under attack from US agencies to make public the many corporations who deposit funds in secret bank accounts to avoid tax. Having done the gentlemanly thing and given in, Switzerland is now seeing this money transferred to Reno, Nevada in the US, where that same privileged tax status is available to those same corporations!

Debt obligation is underwriting the flourishing of this financial monopoly and as with all monopolies, Society is the poorer for it. We have absolutely no control over current financial abuse and our governments seem to be helpless because of their debt obligations to theses very banks.

Private banking has its place in Society, I believe, as a provider of services to the corporate world. What current banking practice has established is that we need a separate ‘public banking’ system, for the private individual and accountable to those very people, as both customers and taxpayers.

Here there is a ray of light in no less a place than Switzerland, the home of global banking. This country operates both public and private banking services, the former of which provides the citizens with one of the best health services in the world. Now there is a move to demand that government, not the private banks, has the exclusive power to create the country’s money.

The reasoning for this is summed up as follows:

  1. Currently money is created as debt, resulting in severe malfunctions.
  2. The country’s money supply is under private control and therefore a monopoly.
  3. Bank deposits are not secure.
  4. Money supply rises and falls in line with banking profitability, not social need.
  5. The money supply fosters inflation.
  6. Debt issued money is only a benefit to banks and not to Society.

Interestingly this has not been widely covered by global media and left to the specialist publications and social networking to be heard. (Another ray of light in our rapidly changing world!) It is early days but here, at its very centre, is evidence of awareness on the injustices of debt driven monopoly banking.

We have a new, plain speaking breed of political leader emerging and showing integrity and a desire to break from the current world order of unelected corporate rule . . . like Jeremy Corbyn in the UK and Bernie Saunders in the US.

They can’t do it on their own, as Gaddafi, Lincoln and JFK have previously demonstrated but in league with like-minded politicos we could see real progress to a less abusive monetary system . . . and so much more.

Awareness breeds understanding and understanding breeds change

 

Until the next time

 

Thinking from his Book: Global Magna Carta. Returning Power to the 99% . . . If They Want It! By J T Coombes

Our Toxic Financial System – 1 of 3

Nathan Rothschild

I deliberated long and hard about using ‘Toxic’ in the title and even turned to the dictionary. This decided me (The Free Dictionary by Farlex):

3a. Extremely risky or harmful, as a debt for which the borrower is in default and the collateral has lost   so much value that its sale cannot cover the amount of the loan.

3b. Causing social tension or unpleasantness.

A ‘Monopoly’ is something we are very wary of because we know from bitter experience it generates a level of power over the users of services and goods that becomes increasingly uncompetitive and expensive.

Big Pharma is a good example, where (patented) life giving drugs are price fixed to (often) put them out of the reach of the very people they should be helping. The AIDs virus was one such case, particularly in Africa, where it was rife and standards of living were amongst the poorest in the world.

This pales into insignificance however, compared to our global private banking system. They too have ‘patented’ money and become the exclusive suppliers of 97% of the world’s currencies and cash. It is by far and away the biggest monopoly within our species.

We know how toxic monopolies can become and regularly introduce laws to restrict such practices. The sheer size and power of global banking demonstrates how ineffective we are in this endeavour.

Whilst Big Pharma create exclusivity to price fix their products for maximum profit, private global banking is amassing vast powers over the global population from debt, which also produces elephantine profits for them.

Monopoly ignites human fallibility to abuse and greed and power are the ultimate fuel. We have seen this power at work in 2015 when unelected representatives, the Troika, brought Greece to its knees, shocking the world in the process. This is the power of debt at work in all its uncloaked savagery and witness to control by monopoly.

Monopoly often goes beyond what many people are aware of and is best described with the many levels of abuse on Society through Student Debt. To start with there is the moral issue, which seeks to make money out of our young before they even have the means to financially stand on their own two feet.

This helps consolidate the monopoly position of private banks in several ways. Firstly, it places students under financial obligation and gets then used to debt at an early age, conditioning them to a mental frame of mind that accepts debt as the primary means by which to finance their future lives.

Secondly it indentures them into an already financially controlled Society, ensuring they feel they are in a ‘normal’ environment where the payment of interest, for the use of the money in their pockets and bank accounts, is paramount.

Thirdly, this monopoly environment begins to reach into other areas of their lives. It is now the (ludicrously narrow) yardstick by which characters are assessed, even to the extent of how credit worthiness can affect suitability for a job – to hell with an expensive university education!

Sadly, this monopoly is strengthened by our governments who have been inveigled into supporting this lending as the ‘retailers’ of the money, borrowed from the banks and put out in grants, hoping to make a profit on the deal. “Wait a minute” I hear you say, “This is a good thing as government makes a profits that benefit taxpayers!”

Sadly, it is now becoming apparent that their inability to create employment is seeing a growing number of students unable now to repay the loans. In the UK in 2015, government set aside £2bn a year to cover student loan write down. 45% of loans are now anticipated will be written off . . . It was $3billion in the first three months of 2013 in US!

This means that instead of a profit for taxpayers they will yet again be contributing to the profits of private banks. The students cannot be made to repay the debt but government can, with taxpayer money, because they too are indentured by the power of this global monopoly, whose concern is only ever the payment of their profit/interest.

We can see through this one example, how the toxic power of monopoly can cause multiple abuse. Here, in addition to the enslavement of the young, public money is intertwined with commercial practice to underwrite guaranteed profits for private banks, when it has actually been raised to provide public services to support Society.

I have tried here to illustrate how pervasive debt has become within our Society, from a monopoly control that we have known for centuries is both abusive and destructive. In Part 2 I will take another closer look at the private banking system, to illustrate the toxic affect that monopoly has upon our future as a species, by controlling Life through frighteningly narrow constraints.

Awareness breeds understanding and understanding breeds change.

Until the next time.

 

Thinking from his Book: Global Magna Carta. Returning Power to the 99% . . . If They Want It! By J T Coombes