Part 1: The Privatization of the Economy: If the sole purpose of an industry was to replace mankind with technology we would call that an evil industry would we not? Well, that is the role of the banking industry
Part 2: The American Dream is for Bankers: Unlimited credit is evil incarnated at odds with humanity
Part 3: Automation is a product of the banking industry: Credit/loans drives asset prices. Assets are power. People are work not power.
Part 4: Man, Verses Machine: Technology/Automation are assets, that have a value that must be paid for over time where as people pay for themselves as they work, there work creates more value then they cost
Part 5: The Technology Train: Cheap Debt drives higher asset prices. Higher asset prices drive the advancement of technology. Technology will ultimately replace humanity
People better wake up! Your future is being sold to the bank offering the lowest interest rate on the loan that will pay for the automation of your job. You might think that doesn’t constitute evil, its ‘just’ business. Calling something ‘evil’ is quite a high bar after all we could just say it’s the invisible hand of the markets. To call something evil requires it be actively working against mankind and have access to infinite power; with that definition the banking system is clearly evil.
Banks are not evil some might say, they are simply doing what they do, providing competitive lending rates with better service to their customers. What most fail to realize is that banks were given much more power than providing loans a long time ago. In fact, in 1913 the commercial banks were given the keys to the economy. They were given the ownership of America’s central bank and renamed it ‘The Federal Reserve.’ This means that the banks control the interest rates on loans and the money supply in the economy.
The Privatization of the Economy
Many parts of the economy have been privatized over the years from telecommunications to transportation. Even prisons have been privatized in the last few decades. Ask yourself a question, if the privatized prisons were allowed to write the laws that determined when and why you go to prison, do you think that might create problems. Today, the privatized prisons have hired lobbyists to do what they can to keep marijuana illegal and keep the ‘3 strikes you’re out’ laws. These laws are driving profits for privately owned prisons, so they are spending money on lobbyists to keep the good times rolling. What if private prisons had complete control over writing and passing the laws that determined what constitutes crime that is punishable with prison time. You could be sure that ‘three strikes you’re out’ would be applied to speeding tickets and pretty soon parking tickets. The point is that the profit motive of business quickly distorts the ethical and moral imperative of a well working society. We should all be concerned with the legal jeopardy that private prison lobbyists are putting us in if they get there way. They are making it as easy, as possible, for us all to wind up behind bars, so they can make money. At least the private prison industry is small and the power it wields in Washington is also small but that is not the case for the banking industry.
The Federal Reserve is a private corporation owned by commercial banks. They have expanded their power over the last hundred years and like frogs put in a pot of water the citizens of America have not woken up to realize that the water is starting to boil. It all started innocently enough with JP Morgan bailing out the American government from bankruptcy and in return the banks requested fiscal control over the money supply to ensure a stable economy going forward. But as the commercial banks business interests took over they quickly moved from a gold standard to a fractional gold reserve and by 1972 they dropped gold from the equation all together which allowed for limitless lending. Access to an unlimited amount of money to lend is really quite daunting. It is in essence limitless power since money is power. The pinacol of this power was accessed when the Federal Reserve bailed out the banks with quantitative easing and tarp money in the Great Recession of 2008-9.
The bailout and its aftermath
Politicians and financial regulators bailed out the primary instigators of the crisis in the first place. But it’s hardly surprising, given how often the Federal Reserve increases the money supply when times are tough. From 2007-08, the Fed did nearly everything in its power to revitalize the lending markets, including:
• Lowering the fund’s rate from 5% to zero, literally the lowest possible rate it could give.
• Buying up over $300 trillion in agency debt from mortgage-backed securities that were precariously invested.
The government got in on the saving the banks too. Barack Obama passed a $787 billion stimulus package in 2009 aimed at the financial markets, contributing to a $1.26 trillion government debt by 2012.
Let’s put the blame where it belongs, on the bankers. The Federal Reserve is responsible for keeping the credit markets working properly. And since the commercial banks own the Federal Reserve, it should be no surprise that they bailed out their owners first. The politicians in their naiveté got their action steps from the very people who caused the problem in the first place. And the only institution that could readily remedy the situation was the Federal Reserve. ”
Why save the banks, not the citizens?
When looking at the causes and outcomes of the Great Recession, one theme stands out: the American citizen was forced to soak up the consequences of an irresponsibility greedy investment market.
The banks were responsible for trying to monetize subprime mortgages – but the taxpayer bailed them out. The real estate market tanks and people have to sell their homes and hit the streets. The government provides a nominal tax subsidy that did little to lighten the financial load. Why? Because the government is beholden to the moneyed interests on Wall Street that use twisted economic logic to demand a strong lending market. Of course, little consideration is given to the realities of the individual receiving the credit – what matters is lots of credit passing through the system.
As the Great Recession shows, the current system is designed to flow from one crisis to the next, as the government goes farther into debt. The Federal Reserve is a poor guardian of America’s economy as long as the commercial banks are calling the shots. Let’s face it America’s representational government is what allowed the banks to take over the Federal Reserve. Without optimizing the inputs into the economy, the cyclical process will continue and America’s people will continue to bear the burden of the wealthy calling the shots in Washington.
Conclusion
The Great Recession revealed the banking industry for what it is evil, in its own self-interest it wielded its infinite power to protect itself not the people. The two elements required to calling something evil, infinite power and causing harm to people.
Many will say that the actions that were taken during the great recession saved the economy and got us back to normal. Believe it or not, this is not normal. In fact, the banking system is actively undermining mankind. People better wake up and smell the aroma of technology usurping mankind’s perch as the dominant intelligence on earth.
Banks ARE Evil: Part 2 of 5
Part 1: If the sole purpose of an industry was to replace mankind with technology we would call that an evil industry would we not? Well, that is the role of the banking industry
Part 2: The American Dream is for Bankers: Unlimited credit is evil incarnated at odds with humanity
Part 3: Automation is a product of the banking industry: Credit/loans drives asset prices. Assets are power. People are work not power.
Part 4: Man, Verses Machine: Technology/Automation are assets, that have a value that must be paid for over time where as people pay for themselves as they work, there work creates more value then they cost
Part 5: The Technology Train: Cheap Debt drives higher asset prices. Higher asset prices drive the advancement of technology. Technology will ultimately replace humanity
The American Dream is for Bankers not home owners
You might think the banking industry isn’t evil, they got me that nice low interest loan on my mortgage. This is where the academics and the economists have pulled the wool over your eyes. Low interest rates only serve one master, the bankers. You might feel like your life got easier when you refinanced your house and started paying less but its only temporary. The next time you buy a house it will cost more because of the low interest rates so you wind up paying the same or more in the long run.
Low interest loans for mortgages as a one off is a very good thing for the individual. However, once you consider that banks can offer an infinite number of mortgages the appeal evaporates. Why? Housing is a limited resource which will cause prices to go up until people cannot afford to pay more. In order to buy a home, you have to place an offer on it and the seller if they are smart will look to receive multiple offers. The value of the home is determined by the highest bidder. The only benefit low interest loans have in the long run is for the bankers who get to loan out larger sums of money for the same asset.
This is why asset prices go up right along with low interest rates. When one company acquires another company the interest rate will determine how much the company will sell for. The seller will look for multiple bidders and sell at the highest price possible. Aha, people say, as very few people get to sell a business even once in a lifetime, the benefit goes directly to the seller. Not so fast, once again when you look at the big picture the merging of businesses is called consolidation. Where there were once two businesses, there is now only one. This means less competition and fewer employers. Take the example of farms, once banks got access to greater and greater amounts of money to lend out, the number of farms dwindled. Farms became so large that it became impossible to make enough money from a family farm. The extinguishing of the family farm as a means to make a living and countless other business models can be directly attributed to banks having access to an infinite money supply to fund their loans.
The Spectra of Infinite Money
Nothing boggles the mind like infinity. It is hard for the mind to contemplate the abyss of a black hole or a universe that has no boundary. A number so large that no quantity of zeros can define it. This is the power the Federal Reserve and the bankers wield over our economy. And since money is power it should be no surprise that such a great power would put a great toll on humanity when the sole purpose of that power is used for the purpose of commercial bankers only. Omnipotence is a word used to describe a god, but the banking industry has been given access to infinite power that is used to undermine mankind and there is a word for that, it’s called evil.
People often see power as the government sending its military to war. Or local police abusing their ability to use force on civilians. However, I am here to warn you about a much scarier power. It’s a power to make you do just about anything. This power is wielded over you from the day you were born to every single morning you wake up and go to work. It is the power that the wealthy have over the poor. As the poor go hungry the wealthy can dangle a little money in front of the poor and have them jumping through hoops just to eat. Now multiply that power by infinity and that’s the power the Federal Reserve wields for the sole purpose of propping up commercial banks.
Conclusion
The pundits will say that consolidation is part of business as usual. It’s been happening for decades and things are turning out fine. There are still jobs to be found and ‘new’ ways for people to make a living. People’s ability to innovate and fight for their survival is little reason to not be concerned with the overwhelming shadow that the banking industry has cast over humanity. The scariest part of this story is that it’s not over, the effects of the banking system on humanity are still more pervasive and in the end pitted directly against mankind.
Banks ARE Evil: Part 3 of 5
Part 1: If the sole purpose of an industry was to replace mankind with technology we would call that an evil industry would we not? Well, that is the role of the banking industry
Part 2: Unlimited credit is evil incarnated at odds with humanity
Part 3: Automation is a product of the banking industry: Credit/loans drives asset prices. Assets are power. People are work not power.
Part 4: Man, Verses Machine: Technology/Automation are assets, that have a value that must be paid for over time where as people pay for themselves as they work, there work creates more value then they cost
Part 5: The Technology Train: Cheap Debt drives higher asset prices. Higher asset prices drive the advancement of technology. Technology will ultimately replace humanity
Automation is a Product of The Banking Industry
Ever wonder why mankind is advancing technology at breakneck speed? It’s not like people were dumber 200 years ago. People are genetically the same as they were 10,000 years ago.
This is why asset prices go up right along with low interest rates. When one company acquires another company the interest rate will determine how much the company will sell for. The seller will look for multiple bidders and sell at the highest price possible. Aha, people say, as very few people get to sell a business even once in a lifetime, the benefit goes directly to the seller. Not so fast, once again when you look at the big picture the merging of businesses is called consolidation. Where there were once two businesses, there is now only one. This means less competition and fewer employers. Take the example of farms, once banks got access to greater and greater amounts of money to lend out, the number of farms dwindled. Farms became so large that it became impossible to make enough money from a family farm. The extinguishing of the family farm as a means to make a living and countless other business models can be directly attributed to banks having access to an infinite money supply to fund their loans.
The Spectra of Infinite Money
Nothing boggles the mind like infinity. It is hard for the mind to contemplate the abyss of a black hole or a universe that has no boundary. A number so large that no quantity of zeros can define it. This is the power the Federal Reserve and the bankers wield over our economy. And since money is power it should be no surprise that such a great power would put a great toll on humanity when the sole purpose of that power is used for the purpose of commercial bankers only. Omnipotence is a word used to describe a god, but the banking industry has been given access to infinite power that is used to undermine mankind and there is a word for that, it’s called evil.
People often see power as the government sending its military to war. Or local police abusing their ability to use force on civilians. However, I am here to warn you about a much scarier power. It’s a power to make you do just about anything. This power is wielded over you from the day you were born to every single morning you wake up and go to work. It is the power that the wealthy have over the poor. As the poor go hungry the wealthy can dangle a little money in front of the poor and have them jumping through hoops just to eat. Now multiply that power by infinity and that’s the power the Federal Reserve wields for the sole purpose of propping up commercial banks.
Conclusion
The pundits will say that consolidation is part of business as usual. It’s been happening for decades and things are turning out fine. There are still jobs to be found and ‘new’ ways for people to make a living. People’s ability to innovate and fight for their survival is little reason to not be concerned with the overwhelming shadow that the banking industry has cast over humanity. The scariest part of this story is that it’s not over, the effects of the banking system on humanity are still more pervasive and in the end pitted directly against mankind.
Banks ARE Evil: Part 3 of 5
Part 1: If the sole purpose of an industry was to replace mankind with technology we would call that an evil industry would we not? Well, that is the role of the banking industry
Part 2: Unlimited credit is evil incarnated at odds with humanity
Part 3: Automation is a product of the banking industry: Credit/loans drives asset prices. Assets are power. People are work not power.
Part 4: Man, Verses Machine: Technology/Automation are assets, that have a value that must be paid for over time where as people pay for themselves as they work, there work creates more value then they cost
Part 5: The Technology Train: Cheap Debt drives higher asset prices. Higher asset prices drive the advancement of technology. Technology will ultimately replace humanity
Automation is a Product of The Banking Industry
Ever wonder why mankind is advancing technology at breakneck speed? It’s not like people were dumber 200 years ago. People are genetically the same as they were 10,000 years ago.