Quote from: theonewhowaskazu on October 22, 2013, 03:47:58 PM

Quote from: Dealer on October 22, 2013, 03:24:32 PM

Quote from: maursader on October 22, 2013, 03:19:43 PM

Quote from: Dealer on October 22, 2013, 03:17:55 PM

Even though the video has their facts right, it should be noted that he his exaggerating greatly: yes, the money is created this way. But don't forget there are -many- laws created to counter this. I won't ever say this is enough, and that it is a fair system, but the effect the video describes is smaller than it might seem from the video.

People on earth are all, knowingly or not, "agreeing" with this system by living in the community. If you don't want it, no matter how stupid it sounds, you have to move to somewhere with no government that uses no IOUs or taxes.

Before the flames: I'm not saying I agree on the current monetary system, I'm just making sure people don't interpret it wrongly.

You're right, there are many laws that govern the creation of currency in the US, but I think if you have zero background in finance, this video is awesome in explaining the big picture on how it's created, you know?

That's true, it's great info for people less informed on economics, but I thought it would be a good thing to make this clear Wink

In the video the system is called a "lie" and a "scam", but it's not. I agree that the system is sneaky, under-the-belt and unfair, but it's neither a lie or a scam.

Most people don't understand the system and yes, if they did they wouldn't agree. However, the system is created to be able to trade easily without having to take your horse to the market and trading it for some food. In my opinion there have been made an extremely big amount of mistakes and wrong choices by the government for personal interest, but without that, the system would be a very good system. It's not the system that's wrong, it's the people trying to achieve personal gains with it.

Only, there is a "lie" and there is a "scam." One such lie being inherent in the concept of unpayable debt, because, of course, an IOU is a promise to pay someone a specific amount, and when that IOU is inherently unpayable you are lying. The scam, of course, is fractional reserve banking with a M0 of effectively 0.

True, but that's not really what I'm trying to say. I'm saying the system itself isn't a scam or a lie. You are right about the unpayable debt, but that the debts are unpayable isn't the fault of the system: it's the fault of the banks abusing the system to create more money for themselves (=> people trying to achieve personal gains). About the scam part, I think it's quite discussable what you want to call the fractional reserve banking amount, but it's a result of, once again, the people going for personal gain.

Now, it's in a humans nature to do everything for personal gain, so I won't say I'm surprised by it. A bank is a commercial enterprise with just 1 goal: profit. So it's obvious they'll do anything for personal gain. It's the stupid decision of the people (government="the people") to let banks regulate the financial sector on earth.

So all by all, it's not a lie in my eyes: it's just a few people playing the game extremely smart, and a lot of people being blatantly stupid. The ones playing it smart (the banks) are open and quite transparant about it, people just don't understand it. I repeat, it's sneaky, under-the-belt and mean, but not a lie.