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The Number 1 Reason YOU Became A Slave
The Number 1 Reason YOU Became A Slave
The Number 1 Reason YOU Became A Slave
The number 1 reason we became slaves is our complete ignorance to what money is and
how it is created. The monetary systems of all the
G-8 countries - including Canada - are specifically
designed to force the average person and the
country into debt.
You may think that because you have no personal
debt that you are debt free. This is not true. As our
national debt grows the value of our dollar shrinks.
Combined with inflation you are loosing a lot of
money.
In 2004-2005 the government paid 17.3% of all
taxes collected toward ONLY THE INTEREST on
the public debt. When I say the "government paid" I
really mean the people of Canada since the government has no money of its own. So
every dollar that you pay in taxes 17 cents of that goes directly to the private banks!
This is actually a small percentage due to the low interest rates. In 1990-1991 this value
peaked at 39 cents for every dollar!
What do you think we could spend this money on if it wasn't going to the private banking
system? Health care? Education? Tax cuts?
The following is a quick, simple to understand tutorial on the basics of how money is
created in Canada. It explains how simple it is for us to remove ourselves from the debt
cycle by printing our own money to be paid back at virtually no interest instead of
borrowing the money from the private banking system at much higher interest rates
(currently at 3.25%). We are printing about 5% of the money through the Bank of Canada
and the other 95% comes from private banks.
When you consider how corrupted our government is (or could become in the future) this
is the obvious solution.
But what happens if someone becomes powerful enough to manipulate the price of gold?
I am not going to pretend to have all the answers to removing the control the bankers
have over us. But the longer we wait the more power and more control they are going to
accumulate. The first step is to spread the word about this evil that has enslaved us. We
have to remember that there are very few of them and millions of us. Their control is only
superficial when people become educated.
To keep trade and economic activity functioning, there has to be enough of this medium
of exchange called money in existence to allow economic activity to take place.
Hence the importance of ensuring that there is sufficient money in the economy to
facilitate the exchange of goods and services, and hence the crucial importance that the
creators of this money are under the direct control of the very people who need it to
survive. That's you and me.
WHERE DOES THE MONEY COME FROM?
Someone has to be responsible for making sure that there is enough money in existence.
It's not you. It's not me. So who is it?
Each nation has a Central Bank to do this - in Canada, it's the Bank of Canada.
Central Banks act as banker for the commercial banks, and the government - just as
individuals and businesses keep accounts at commercial banks, so commercial banks and
government keep accounts at the Central Bank - in our case, the Bank of Canada.
If the government wants to spend money on some public project such as a school or
hospital then it will collect the money from taxes, but every year the government fails to
collect enough money in taxes to pay for all its spending requirements. There is always a
shortfall. So what does it do? Where does it go for money?
The government "borrows" the money this way: It prints and sells "gilt edged securities".
These are simply pieces of paper which promise an additional return to the buyer, in the
future. The securities are auctioned several times a year to meet the shortage of
government revenue as it arises. They are bought by individuals, insurance companies,
pension funds, trust funds, and banks.
The government takes the money it has raised by these sales, and spends it on its public
projects. The sum owed by the government is called "the National Debt". These securities
are becoming due regularly. That is, the government has to pay back the amount, with
interest.
When the non-banking sector (individuals, insurance, pension and trust funds) buy
securities, then saved money is being recycled back into the economy through
government spending.
However, when banks buy government securities, then entirely new money - which has
been created out of nothing by the banks specifically for these purchases - is spent into
the economy by the government. The government has to find the money to repay them in
full, with interest, which it does by selling even more securities and raising taxes even
further! Now that's just government debt that we're saddled with, and have to pay back in
our taxes.
ALMOST ALL MONEY ENTERS SOCIETY AS A DEBT
Money enters in other ways. There is also the money which enters society via our private
debts as individuals, which we owe to commercial private banks.
It is a myth that these banks lend money they already have. When was the last time you
went to your bank and found there was money missing from your account because it had
been lent to someone else! Like the ancient money lenders of old, banks can lend out
more than they actually hold!
The fact is that banks create money out of nothing and lend it to you at interest.
There is also commercial company debts owed to commercial banks, and there is
international, or what is called "Third World" debt.
The crucial point to realise is that all of these debts - government, private, commercial
and international - are debts owed to the banking system in one way or another.
Almost the entire stock of money circulating in every country in the world today
represents a debt owed to the banking system. only the note and coin issue is debt-free.
The entire financial system of all nations today is what we call debt-based; meaning that
the process of going into debt is relied upon, almost exclusively, by governments, to
create and supply money to their economies.
The world runs on debt. We live in a debt-based society. We cannot get money into
society without almost all of it entering, at source, as a debt.
THE POSITIVE VERSUS THE NEGATIVE ECONOMY
Money Reformers make two distinctions when we look at the economic world around us.
on one hand we recognise and support the positive economy, which is characterised by
mutual trade for mutual benefit, and productive, just, sustainable enterprise.
On the other hand, we have the negative economy, characterised by poverty, cut-throat
competition, oppression, exploitation, war, waste, inflation, and starvation.
When we look around ourselves we are often forced to acknowledge that the economy we
live in is often not a positive economy of mutual trade for mutual benefit, but rather a
dog-eat-dog economy, a cannibal capitalism which has a tendency to eat itself and all
minority.
So what do we need to do? Essentially, we need to move towards an economy based upon
debt-free principles where much more money than at present comes into society debtfree, and we need to move towards democratic control over the money creation process.
PRINCIPLES OF DEBT-FREE FINANCE
Money must be based on the real wealth of society - that is, on people, skills and
materials. If you have the people, skills and materials, then that which is physically
possible and socially desirable can be made financially possible.
If the people have something they want to do in their community, and if they have the
skills and the materials, then they should not be prevented for "lack of money".
The overall purpose of an economic system is simply to provide goods and services - as,
when and where required - in order to satisfy human needs.
Money is simply the means of exchange for the goods and services produced by the
people and their skills and resources. It is not a commodity in itself.
In this regard, money should be our servant - not our master. And since money, at source,
is created out of nothing, there is no need for it to be scarce.
SO HERE'S THE LEAST WE SHOULD BE DEMANDING
For a start, we can see that we're paying our taxes to enrich a banking system which
never had the money in the first place!
We can see that the government is raising money it doesn't have, by borrowing from
banks which don't have the money either, but only the legal authority to create out of
nothing.
The government then expects us, through our taxes, to pay back the banks with the real
money that we've worked for! The obvious question arises: Why doesn't the government
just create the money itself?
Instead of borrowing the money from the banking system, and forcing us to pay it back in
our taxes, the government could simply create the money itself, spend it into society and
not need to ask for it back.
And, yes, the government - or a state appointed authority - could do exactly that. Instead
it enslaves us all to the banking system and that's a scandal!