Just after the financial crisis in 2009, the journalist Scott Pelley asked Ben Bernanke on the 60 minutes CBS TV show where did they get the money for the AIG bailout in march 14, 2009? was these money of the taxpayer people?
He just said:"No. It isn't money from the taxpayers. The banks has it's own accounts with the Federal Reserve as well as you can have one with one commercial bank."
He continued: "In such way, to loan to a bank, one just simply uses the computer to mark up the size of the account they had with the Federal Reserve"
So he just literally admits they create the 85,000,000,000 usd out of nowhere to rescue the private company. This isn't the way capitalism should work and it's more like socialism where everybody takes the loses
This shows how dumb some of you here can be. I'm tired of people who are thinking that the fiat system is their problem in life and thinking that the way money is printed by banks is by just pulling out a computer and fill up digits and that's, money is out!! If that's what you think then you're dumb. Central banks don't print money anyhow like that, if money is printed, there are reasons as to why they did and it can even be to renew the old ones in circulation in which they will have to burn the old ones as well. Our problem in this world is our leaders, the heart of men is wicked and like the saying goes-- power corrupts. He just said:"No. It isn't money from the taxpayers. The banks has it's own accounts with the Federal Reserve as well as you can have one with one commercial bank."
He continued: "In such way, to loan to a bank, one just simply uses the computer to mark up the size of the account they had with the Federal Reserve"
So he just literally admits they create the 85,000,000,000 usd out of nowhere to rescue the private company. This isn't the way capitalism should work and it's more like socialism where everybody takes the loses