Money As Debt (2 of 5)

STOP THE NEW WORLD ORDER!!!!!!!!!
If anything happens in 2012, it will be because of the H.A.A.R.P. This device can cause earthquakes, hurricanes, tornadoes, cyclones and many other disasters. Katrina was man made, the cyclone in burma was man made, the tsunami was man made and even the earthquake in china (may 2008). The government is trying to kill us off as part of their NEW WORLD ORDER! We must all unite against the zionists and kill them first! Fight the power and keep democracy alive

I guess it says a lot that I still don't understand the chicanery involved in the monetary system.

My bad, I thought he was originally talking about a bank deposit by an individual, ignore my previous post.

While the video is enlightening his math is wrong. Look at Wikipedia on Fractional Reserve Banking. They refer to what is known as the money multiplier which is the process the author tries to explain.

With a $1111.12 deposit the maximum amount of money that can be created is $10,000 total. With an initial deposit of $1111.12 the bank can loan out $987.66 at 9:1 ratio (8/9ths of deposit). That $987.66 when deposited in turn could be loaned out again at 9:1 ratio (8/9ths of deposit).

money will be replaced by credit cards. that means they'll have even more control over us, the power to block our accounts, the power to know our location at any time.

shut the F**k up. you have no idea what you're talking about

This is incorrect. The $10,000 loan is not created CREDIT - which EARNS interest, he is given a debit account of $10,000 - which requires him to PAY interest. The bank still operates with a bottom line and only dodgy credit companies would loan more than they have.

You welcome sister

thankyou for sending these out Bro

GREAT VIDEO, FAVORITE AND SHARED!

the banks dont like inflation because it make their deposit being weak that because federal reserve chairman say their object is take down inflation without make up economic growning

yeah this is an awesome video. very simple and basic

As someone with a degree in Finance and who worked covering the bank industry, this is absolutely fantastic. It's amazing how many people have no idea what money really is.

why this system doesn't work if money get destroyed when loans are paid.

Sorry.