@walterallenhaxton
No of course debt doesn’t create value but DEBT CREATES MONEY ON THE BOOKS and adds to the overall money in circulation. A bank can take 10,000 dollars of actual paper legal tender and transfrom it into 100,000 within a closed system. Of course none of it is backed by anything other than paper and collateral assets. There is no gold standard.
As to the risk assumed by loans, who do you think we just bailed out?? The banks? Yes but only inadvertantly. We covered the insurance companies who couldn’t cover the loans of the banks. They backed bad debt rated as AAA we covered them and now they continue to carry on as nothing happened while Joe taxpayer covers the tab. It will all eventually happen again as well because nothing has changed.
Goldman Sachs runs the country. It’s not George Bush or Obama. These are puppets. The principal economic advisor to the president Geitner came from Federal Reserve Bank of New York. His predecessor Chairman and Chief Executive Officer of Goldman Sachs was Henry Paulson. These two men could not be closer unless they were spooning on a pile of money. This is not a coincidence. In addition the line between private and public interests has been blurred so significantly that they are inseparable. The Federal Reserve Bank is an affiliation of 12 regional private banks with their own appointed board of directors. No other interests but the banking concerns can have an immediate response from the federal government. They pull the strings. The most damning quotes were uttered by our forefathers:
Mischief springs from the power which the moneyed interest derives from a paper currency which they are able to control, from the multitude of corporations with exclusive privileges… which are employed altogether for their benefit.
Andrew Jackson
And how about businessmen:
It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.
Henry Ford