PLEASE PRINT OUT AND GIVE TO YOUR REPRESENTATIVES
Publicly-created money - sometimes called "debt-free money" is money created by a public body, for example, an accountable public body which is an arm of government, which has been created by statute, and which has the power to create money on behalf of the people, and where the profit from creating this money goes directly to the Exchequer -- which is to say, directly into the public purse, so that we the people benefit financially from that creation of money.
The publicly-owned Bank of England creates "publicly-created money" when it prints the notes which it sells at face value to the private banking system on demand. The profit -- called seigniorage -- is simply the face value minus the cost of printing. This sum is paid to the Treasury as, effectively, a debt-free input to the public purse. Around 3% of money in circulation is notes created by the Bank of England. With the ever-declining use of cash, this debt-free seigniorage revenue is reducing all the time.
Publicly-created, debt-free money is Money by the People and for the People. It is money created by a public body, the profit of which benefits the people.
Privately-created money -- sometimes called "debt-based money" is money created by private organisations for their own private profit and which benefits nobody but themselves.
These private organisations are the High Street banks, that is to say, the commercial banks -- all the banks other than the nation's Central Bank.
As we said, 3% of the money is created by the Central Bank as a publicly-created, debt-free input to the public purse. The other 97% of money in circulation is created by the private banking system as a debt, and consists merely of electronic digits -- like your mortgage or overdraft.
It is account entry money which exists only as numbers, in your account, and which you transfer electronically by means of cheque book, plastic card or internet facility.
This may be surprising to some people. Many people imagine that the government somehow creates all the money and that the private banks are just recycling it and moving it about. No, the private banking system creates almost all the money - and as we say, it is around 97% of all money in circulation. All of this 97% is privately-created, debt-based money -- created at its point of origin, as a debt for the private profit of the bank.
This is money that banks created out of nothing in the first place. It did not exist before the bank created it.
Endless debt leads to endless pressure for endless growth.
To summarise, when money is being created as a debt at its point of origin, then it will feed into other debts throughout the economy and require more people and businesses to go into debt to service them, which leads to another increase in the debt-based money supply, which leads to more people and companies acquiring debt, and so on and on.
A money supply based on debt is compelled to keep growing unsustainably like a vicious Towering Inferno. And like Steve McQueen's character, Fire Chief O'Hallorhan said in that film: "It's out of control, and it's coming your way!"
Here are two Money Reform Proposals to Promote Publicly-created, Debt-free Money:
To stop the Debt Driver which propels us towards endless growth, we need to switch from the privately-created, debt-based money supply, which we have at present, to a money supply which is either largely or wholly publicly-created, debt-free. Either reform would ensure that the debt-free money would tend to neutralise the effects of the debt-based money. This would lower the level of debt in society and reduce the negatives associated with systemic debt.
Michael Rowbotham's reform, promoted in his book, The Grip of Death (1998), is intended to move the money supply to being largely publicly-created. It can be summarised in 3 parts:
1. Commercial banks are allowed to continue creating credit. No legislation is needed to change their status.
2. The State -- via an independent public body -- creates and spends into society a certain amount of debt-free money each year, allowing the public purse to benefit from the seigniorage on the amount created.
3. The amount of debt-free money supplied to the economy would match the net growth in debt per year.
Joseph Huber and James Robertson's reform promoted in their book Creating New Money (2000), differs from the Rowbotham reform in that it is intended to move the money supply to being wholly publicly-created. It can be summarised in 4 parts:
1. Forbid private banks to create money.
2. An independent public body -- a branch of the Central Bank -- creates all the money debt-free, on a regular basis.
3. Government spends this money into society via its spending projects.
4. It is this money which private banks compete to attract into their...
YOU CAN READ MORE BY GOING TO THE LINK BELOW. THIS IS THE WAY FORWARD FOR THE DEVELOPMENT OF AFRICA. I HAVE ATTENDED A PRESENTATION SIMILAR TO THIS TOPIC WHEN I WAS AN ELECTED MEMBER. THE WORLD BANKERS (MONEY CHANGERS - ILLUMINATES) WILL NOT ALLOW THIS TO HAPPEN IN THE WHITE MAN'S COUNTRIES BUT WE DO NOT HAVE TO FOLLOW THEM! WE SHOULD LOOK AT WHAT THESE LEARNED COMMENTATORS ARE SAYING. TAKE A LOOK AT THE LINK BELOW.http://www.sovereignty.org.uk/features/articles/manifesto07/mreform...
You are correct! The loans do not serve the purpose they were borrowed for. Instead, it is shared amongst the Cabals and let the masses suffer for their greed. The problem is, how do we get our country back from these Cabals? We have our Central Bank that should produce the money needed for our development. The foreign currency received from the sales of oil and other goods should be used for the purchase of machinery and technological equipments to aid our development.
The employed in the newly created jobs will pay taxes and the taxes will be used to reduce the money produced by the Centarl Bank, which will in turn reduce the circulation of money hence limit inflation! It is so simple because it is there online for everyone to look at. But because of the conspiracy by the Cabals and Illuminatis (bankers & influential peoples), our leaders are discouraged and again, without the external loans, they will lose the source of their ill-gotten wealth! Regards
Charles Ugochukwu Okere said:
No country's economy can recover from borrowed funds. This is one secret African leaders should know. Foreign loans are structured to serve the interest of the lending nations/institutions. It is better we manage our economies and avoid these loans because they don't serve the purpose for which they were borrowed.