Quote:
Originally Posted by Stardrifter_WA
Maybe, I don't know the workings of the financial system, so I cannot comment on that.
I wish I did, I would probably be a lot richer, but then, that would be wrong, wouldn't it?  |
Excessive debt is poison to individuals and nations yet banks thrive on creating debt.
The big northern hemisphere banks infiltrate government in order to weaken regulations which are designed to prevent the banks from acting badly. After lending out all available funds, the loans are repackaged into investment products to be sold to unwary investors of all descriptions around the world. After replenishing their funds they lend it all out again, repackage the loans and flog them off to investors, and on and on the cycle goes.
The real beauty of this is that once the repackaged loans (securities) are sold off the bank no longer has any responsibility for them, so the bank can confidently make dodgy loans that will never be repaid knowing that it's the end investor who will suffer when the loans go bad.
Normally periodic recessions get rid of malinvestment but so much debt has been created that a depression is required to solve the world's financial problems; having backed us all into this corner governments and central banks are trying to avoid depression by creating even more debt to prop up economies. It's looking like it's going to end badly one way or another and it's a situation created by the banks.
More than one US President has denounced banking institutions as the greatest threat the nation can face.