DiscussWorldIssues - Socio-Economic Religion and Political Uncensored Debate - View Single Post - Let's talk about the fractitional reserve banking system

**DevaRextusidis** · 01-03-2012, 09:45 PM

I see 2 distinct problems:

1- money created out of thin air, exponentially
2- interest on something that doesnt exist

Couldnt the US Treasury print fiat currency and charge 0% interest?

OOOPS. Sorry, didnt mean to give away the big secret. Not that im a fan of paper (Im not), but its the interest that is never printed into circulation, that KILLS all of us and our country.

The whole deal with credit is this: You can increase the money the money supply WITHOUT AN INCREASE IN GOODS AND SERVICES.

THAT is what cause inflation.

Well there are 2 seperate issues...credit created out of thin air, and interest created out of thin air. Thank you for clarrifying that. The interest created out of thin air is not the interest repaid by those requesting credit, it is the interest owed to those that use the exponential function when they put their money in the bank or buy T-bills or whatever. Correct?

dys

01-03-2012, 09:45 PM	#7
DevaRextusidis Join Date Oct 2005 Posts 445 Senior Member	I see 2 distinct problems: 1- money created out of thin air, exponentially 2- interest on something that doesnt exist Couldnt the US Treasury print fiat currency and charge 0% interest? OOOPS. Sorry, didnt mean to give away the big secret. Not that im a fan of paper (Im not), but its the interest that is never printed into circulation, that KILLS all of us and our country. The whole deal with credit is this: You can increase the money the money supply WITHOUT AN INCREASE IN GOODS AND SERVICES. THAT is what cause inflation. Well there are 2 seperate issues...credit created out of thin air, and interest created out of thin air. Thank you for clarrifying that. The interest created out of thin air is not the interest repaid by those requesting credit, it is the interest owed to those that use the exponential function when they put their money in the bank or buy T-bills or whatever. Correct? dys
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