/biz/ - Business & Finance

No inflation means you pay out the ass more for the things you buy already.. Ex: 20 oz coke used to be just $1.00. Now? $1.75 - 2.00.

>>50952480
https://www.minds.com/groups/profile/1315469745230712837/feed

Inflation doesn't have a Purpose
That's like saying "Rape" has a Purpose
Before 1913, there was No Inflation

>>50952550

Inflation isn't "supposed" to do anything, retard. Its just what they call it when prices go up because government printed too and stole everyone's purchasing power or there are shortages so everyone has to bid up prices.

>>50952480
Inflation is just what (((they))) the effect, that visible to the average pleb, of governments going on a shopping spree with their savings. It's just orwellian language for monetary debasement/theft.

>>50952480
>So is inflation suppose to make people buy more stuff, is that its only purpose?
Inflation is to make people keep working
It's literally that simple
If it wasn't for inflation, a large chunk of people would just make enough money to survive for the rest of their life, and then check out of society
Inflation is to make sure only people with multiple millions are able to do that

>>50952565
This is why all of the Arabs and Jews have "We Buy Gold" signs in their windows
They want to trade their "Paper Government Money" for your Yellow Boomer Rocks that have remained stable value for 6000+ years

>>50952480

this is why

>>50952480
>So is inflation suppose to make people buy more stuff
Lmao what? How are you going to buy more stuff when everything costs more?

Less than 1% of the population understand that private banks create all money and are responsible for inflation.

Banks create new digital money to lend AFTER the borrower signs the loan contract. The entire money supply is created this way. Too much money creation causes the currency to devalue (AKA "inflation"). Since only private banks create new money, ONLY private banks are responsible for inflation.

Proofs at:
bankLIESdotORG

Even the Library of Congress admits that private banks create new money when they lend. Creating too much new money causes inflation. Only banks create new money, so banks are 100% responsible for inflation, recessions, and hyperinflations.

proofs at:
bankLIESdotORG

Here's a 1966 admission by the NY Fed from 1966.

ALL money is created by private banks, NOT government. Too much money caused the currency value to drop, AKA "inflation". Since only banks create new money, private banks are 100% responsible for inflation.

Proofs at:
bankLIESdotORG

Inflation is caused by too much money creation.

Who creates all the money?

Private banks create all money when they issue loans. Banks create new digital money to lend AFTER the borrower signs the loan contract. The entire money supply is created this way. Therefore PRIVATE BANKS are 100% responsible for inflation, NOT government.

proofs at:
bankLIESdotORG

>>50953578
>>50953610
>>50953633
>>50953665

Saying commercial banks create money like saying the gun shot someone, not the guy pulling the trigger. The fed controls reserve rates and other regulations that determine how commercial banks operate. The fed can tweak these things to adjust the money multiplier, how much credit / lending has multiplied the money supply beyond the base supply. The fed is the one who controls this, not commercial banks, they are just the tool.

That is also only how credit is expanded, the actual base money supply can only be expanded by government spending, either to fund itself or to acquire reserve assets. Without a government deficit for example, the fed can only loosen requirements so much, If the reserve rate is 0% for example, then there is not much more the circulating supply can be expanded without government spending.

tldr the money supply is completely controlled by the government.

>>50953793
You are wrong. You are repeating the debunked "fractional reserve model," and the phony, "money multiplier effect."

Banks create new digital money with no need for prior reserves or deposits. Richard Werner proved this empirically in 2014. And now even the Bank of England admits this openly.

Banks do not lend customer deposits or excess reserves. They simply create new digital money to lend AFTER the borrower signs the loan contract!

Your silly fractional reserve/money multiplier models pretend that the money being lent exists in an account somewhere before the borrower arrives. This is completely untrue.
Maybe you should actually read the picrels I posted that show admissions by Central Banks and other monetary authorities. They OPENLY ADMIT that all money is created by private bank lending.

(The new, digital money created out of thin air by private banks is called "customer deposits," or "demand deposits.")

Proofs available at:
bankLIESdotORG

>>50954789

What are you talking about? Are you saying it matters whether a loan is delivered "digitally" vs through actual cash? Yes, if someone borrows money then the bank is probably going to just credit their account digitally, not send them literal cash.

But borrowers borrow money to actually spend it. So yes, the bank will need to actually have the reserves to make the loan because the borrower is going to withdraw or spend that money. But he will probably make digital payments to another entity with an account as some bank. So the reserves rarely actually leave the banks.

Either way, the circulating supply of money is either limited by banking regulations, or demands for loans. Since reserve requirements are 0% right now its limited by demand for loans. But no where are commercial banks ever able to decide how much money there. They will lend as much money as people want to borrow and the government allows them to.

>>50954789
What about national debt and goverment bonds. Is that debt still created by private banks?

>>50952524
This, and also the extra money they print goes into the pockets of Jewish bankers. It’s a way of taking your payments on cocacola and cheeseburgers and putting the value into the hands of Jews. It’s a form of taxation really, and the reason we need Nash’s ideal money (a.k.a. Bitcoin), but also the reason bitcoin will never take off.
Money printers are absolutely essential to the Jewish system and TPTB will do everything they can to prevent a return of sound money (including assassinating US presidents like, e.g., JFK after his executive order 11110).

>>50952550
>Inflation doesn't have a Purpose
yes it does
inflation serves the purpose of transferring your wealth to the state via counterfeiting

>>50955502
Another assassination attempt happened on Andrew Jackson. Because it was unsuccessful, it’s less well known. Jackson turned on his street attacker after being shot, took the gun from the man, and beat the living hell out of him with it. Then he went to his chief of staff and said “the federal reserve is trying to kill me.”

>>50955414
that's the fed doing the balance sheet expansion, private banks do the same with private loans

>>50955414
>>50955715

Only the fed can expand the base money supply, usually by buying govermemt debt to fund the deficit. The base money supply is more important long term.

Commercial banks can expand the circulating supply, like checking/savings deposits, by lending.

But commercial banks have no interest in what the supply of money is. If someone wants a loan they will lend, because they want to make money. Its the government that comes in and restricts them to contract the circulating supply, or incentives lending further to expand the money supply. Its the government that has an interest is manipulating the circulating supply because its more important for prices in the short term.

>>50955381
You don't get it. You are wrongly assuming all money is created by the central bank or government, and that banks only lend out money that has been deposited with them.

In fact, banks DO NOT require reserves or prior deposits to lend money. They CREATE THE MONEY THEY LEND digitally, out of thin air. This is how the entire money supply is created.

Banks do not lend out deposits: bank lending CREATES all deposits!


And since banks create all money, banks alone are responsible for inflating the money supply. Inflation can only end when we abolish bank-created money and transition to a debt-free, interest-free money system.

Proofs at:
bankLIESdotORG

>>50952480
Purpose of inflation is to make sure people are incentivized to spend as keeping it is detrimental to you as your money loses value year over year. It's also to put it in real assets like land, stocks, precious metals, houses, etc. as keeping it in cash would also make you lose purchasing power. Unless your money has value or depreciates over time, there's really no point keeping it in cash except in circumstances like you see today (ie market uncertainty, etc.)

>>50952550
>Before 1913, there was No Inflation
>easily forgets how Yuan Dynasty, Roman Empire and the likes had inflation.
This is your brain when listening too much lolbertarianism and Peter Schiff, the gold merchant.

>>50956484
>market uncertainty
which itself is completely artificial.... it's a big scam

>>50956513
yeah, what good is gold when inflation happens anyway, a fucking rock can't stop rational human behavior

>>50955414
The government gets all revenue from taxation or borrowing. When the government taxes, it is collecting money that was created somewhere in the economy as a bank loan.

When the government borrows, the money being loaned was also created somewhere in the economy as a bank loan. ALL money is created by private banks, NOT government!

When government borrows, they first create US Treasuries (Bond, Bills, Notes, etc.). These are promises to repay money PLUS INTEREST. The US Treasuries are all sold at auction. The auctions happens at the Federal Reserve, but most of the US Treasuries are purchased by giant private firms called "bond dealers" (AKA "primary dealers."). They create the money out of thin air when they buy government bonds.

Think about it: if government could create their own money, why would they be paying over $500 billion per year in interest on a $30 trillion national debt?

the 2% inflation target is to trick investors into zero growth companies

>>50956426
>You are wrongly assuming all money is created by the central bank or government, and that banks only lend out money that has been deposited with them.

That is true, its just that borrowed funds are immediately deposited back into the bank where they can be rehypothecated. If a borrower would take out a loan then withdraw their account in cash, of course the bank will need to cover that withdraw. Its just that since almost all money remains in bank deposits right now, the cycle of borrowing and redepositing is shortcut.

>>50956030
You are wrong. You are repeating the debunked "fractional reserve" banking model, and the nonsensical "money multiplier effect."

Banks simply create new, digital money out of thin air when they issue loans. Banks create new money to lend AFTER the borrower signs the loan contract. Banks create new digital money with NO NEED for prior reserves or deposits. The entire money supply is created this way.

Yes, the 12 Federal Reserve banks can create money out of thin air, and they sometimes use this digital money to buy government debt. But the 12 Federal Reserve banks are privately owned by the banks in their district, and are NOT government agencies.

Only privately owned banks and the bank-owned Federal Reserve banks create money, NOT government.

Here's a link to a 15 minute video of Chicago Fed spokesman Jerry Nelson admitting that the 12 Fed Banks are privately-owned, and can create unlimited money (Skip to 4:17 to hear his admission): https://www.youtube.com/watch?v=6N-8DyPoNgU

>>50956691
There is no rehypothecating required. Banks do NOT lend out the deposits of savers, nor are they constrained by reserves. Banks simply create new, digital money out of thin air after the borrower signs the loan contract. All money is created this way. Richard Werner proved this empirically in 2014 and it is no longer in dispute.

bankLIESdotORG

>>50956707
You make it sound like this is some grand revelation or conspiracy when it's just how the system of every modern country works. I know you invested time into making that website and can't admit that it's a silly waste of every ones time, but come on. Conspiracy theories are so 2021.

>>50956970

just because the system does something doesn't mean its right

we were lobotomizing people for a long time

>>50957024
But did we need lobotomyLIES.org to inform the public about something they learn in school? It's public knowledge, no need to frame it as a conspiracy.

>>50956707
>>50956772

Now you're just copy and pasting the same shit which is only half right. Look, go withdraw a dollar from your bank. Say you use BoA or whoever, you aren't going to get a BoA note, you get a dollar issued by the fed which is part of the government. Only the government issues dollars. This is basic shit.

Now yes, most money is deposited into banks where you don't really have dollars you have deposit balances, but these are so widespread that essentially we call those "money" and dollars just like actual dollars you would have in cash, or if you had a direct account with the fed like big banks and the treasury does.

You are partially right that most "money" is created by private banks, I'm saying though that the total supply of this money is highly controlled and centrally planned by the government though regulation of banks. Private banks do not give a shit about how much money there is in the system, they do not care about controlling inflation. If they can sell loans for profit they will do it. It is only the government subsidizes or restricts lending to control the supply of money. That is my only point you keep ignoring.

>>50957183
He's got too much invested into his "business" of spreading misinformation and fear, he won't listen. But good info, thanks anon.

>>50956513
Kek I think they mean in the US you retard

>>50956772
>>50956707
>>50956555
>>50954789
>>50953665
>>50953633
>>50953610
>>50953578
You are two decades behind modern financial systems. Things are much less sinister, but also much more dire than you're thinking.

Please go research what a repo contract is, then come back to this thread and apologize.

Securitization of assets and derivatives thereof, both of which can be used as collateral, are the primary source of monetary expansion. Combined, these have an exponential effect similar to fractional reserve effects, but these transactions are hidden from the common pleb. That's why it looks like money appears out of nowhere. It doesn't, it's all just happening way over your head with transactions that occur at an amazingly fast rate through two particular market making institutions.

tl;dr -- credit markets are on a knife's edge all day every day. Think Men In Black -- the world is about to end all of the time, and the only way people go about their lives is that they don't know about it.

>>50957736
My original points were:
1) all money is created as bank credit
2) inflation is caused by an increase in money supply
3) therefore banks are responsible for inflation.

If you have evidence to the contrary, please show it.

I am not going to follow you into the weeds and overcomplicate an unbelievably simply system. If you have evidence that anyone other than private banks create money, I want to see it.

Also, nice job dodging all the evidence I provided.

>>50957183
No, government doesn't issue any dollars. THe US Treasury creates the paper notes and coins, but these are sold to the 12 Federal Reserve banks for pennies on the dollar (less than $0.20 for a $100 note). And I've already given proof that the 12 Federal Reserve banks are privately-owned by the banks in their district.

The 12 Fed banks distribute this cash to banks and credit unions based on requests by the bank managers. New cash can only be obtained by citizens in two ways:
1) Exchange older cash for new cash.
2) Exchange bank-created digital money for cash.

The US Government DOES NOT spend any cash directly into circulation. Your ideas are all based on lies you were told as a young man. This is normal because the bank-controlled money scam requires a lot of lying and disinformation to stay in place. That is why less than 1% of the population understand that private banks create all money, NOT government.

>>50956970
Less than 1% of the population knows that private banks create all money. The comments in this section prove it! Most people have been duped to believe the government creates all money, and banks only lend out the deposits of savers. If everyone knows this and it is a conspiracy theory, how come all these people in the comment section have no idea that banks create all money?

We can abolish this scam when enough people are aware it exists. Banklies.org is simply a growing collection of evidence that banks create all money. That way when someone says it isn't true, they can be sent to website rather than wasting hours retyping the same proofs over and over.