How money is created

[Allen]

To put a complex system in to as few words as possible; Money is borrowed from a bank. This money is borrowed with interest. Even if you turn a profit, that money you collected is borrowed as well. You can be out of debt but that only leaves other in debt. If everyone gave all their money to the central bank there would be interest left over to be paid. This interest can not be paid back because money is not created to compensate.

[groupeii]

To put a complex system in to as few words as possible; Money is borrowed from a bank. This money is borrowed with interest. Even if you turn a profit, that money you collected is borrowed as well. You can be out of debt but that only leaves other in debt. If everyone gave all their money to the central bank there would be interest left over to be paid. This interest can not be paid back because money is not created to compensate.

That is how US money is made.. Canadian money is made by printing it at the mint, and putting it into circulation.

Congress can still mint their own coinage.. but havn't done so since JFK's money was withdrawn from circulation after he was killed.

http://www.canlii.org/en/ca/laws/stat/rsc-1985-c-c-52/latest/rsc-1985-c-c-52.html

eagles are still made though their face value is a little off though.

Edited March 24, 2010 by groupeii

[Allen]

and how is that money put into circulation?

[Jack Weber]

As I understand it,one of the many conspiracy theories around the Kennedy assassination is that he was going to end the Federal Reserve system and use the United States treasury to print money and control monetary policy?

[groupeii]

and how is that money put into circulation?

By being made available to the public.

Old money was under the Canadian Mint act new money is generally under the bank of canada act

http://laws.justice.gc.ca/en/B-2/

Basically banks are the major source of new circulation - people have to come to some point to get the money so the bank of canada become th issuer to the other banks... as most people have private bank accounts.

There are other ways this could be done - the thing is though the bank of canada doesn't manage private bank accounts - thus the issue of circulation. You can buy direct from the mint.. but only certain places cash government cheques. It is true however that you can cash government cheques at any bank, even if you arn't a customer for free.

http://74.125.93.132/search?q=cache%3A8Nzzdsu2A3wJ%3Awww.fcac-acfc.gc.ca%2Feng%2Fpublications%2FCashingGovCheque%2FPDF%2FCashingGovCheque-eng.pdf+place+to+cash+gst+cheque+gc.ca&hl=en&gl=ca

How do you propose people get their government money?

However based on the information you can cash government cheques at the bank of canada - since it is a bank.

Bank notes are just a type of cheque for a certain amount redeemable at banks which accept those notes.

You can buy minted coins of gold and silver at the mint.

You don't need money to do business with the government since each citizen who has a tax file has a balance with the government - and they can do business through this account - as long as you have funds in surplus.

Edited March 24, 2010 by groupeii

[Allen]

This is no conspiricy theory. Simple fact.

[M.Dancer]

To put a complex system in to as few words as possible; Money is borrowed from a bank. This money is borrowed with interest. Even if you turn a profit, that money you collected is borrowed as well. You can be out of debt but that only leaves other in debt. If everyone gave all their money to the central bank there would be interest left over to be paid. This interest can not be paid back because money is not created to compensate.

That ain't how money is created. If you need a hint, think about internet usage in 1937

[Alta4ever]

Is there a full moon out tonight or do we feel secure with a couple of hundred feet of tin foil wrapped around our heads?

Why are the nut bar conspiracy theorists coming out of the wood work here?

[bjre]

You work, and many others work. All work takes time.

Some people produce food, you need food, you don’t produce food. If you make suit, then you give others suit, and you take money. The other one give others food, they take money, then you can buy food and he buys suit, and others.

When the time comes one person can produce food to feed many many people, more and more people can produce other things such as entertainment works and others for exchange.

If it is fair, for a product that cost average necessary time it will have a price. If you use average time (you are not slower or faster than average necessary time) you should be able to use your one hour to change another one’s one hour.

Now everyone takes much less time than ancient people, when ancient people can have place live, can have food to eat, but lots of people now can not without ask for bank, why?

When only man works, your boss have to pay you that enable you living so that they pay that make you able to eat, dress, and buy house for living and others.

Then women can work, your boss think he can pay you half of the value you give out you still can survive. If you don’t like that, many others would willing to work with that salary.

Then comes mortgage, your boss can pay even less value, you can still survive.

And mortgage becomes longer and longer, some with 0 down payment. So your boss can pay even less value. Bank can take your future money.

Where is the value you created? Bank takes it. You loan for $100,000 for 30 years, you will pay back bank $200,000. The government services takes it. Only Children’s Aid Society cost each man, woman, elder, or kid $100 a year. And others like jail, cops, court, health care, and many others. All those take money, the value you created.

[groupeii]

Is there a full moon out tonight or do we feel secure with a couple of hundred feet of tin foil wrapped around our heads?

Why are the nut bar conspiracy theorists coming out of the wood work here?

It is general conversation, you don't like it leave.

[Alta4ever]

It is general conversation, you don't like it leave.

Why not fly away moonbat, I have already seen what your type do to good forums. If you post outrageously moronic conspiracy theory you will be ridiculed for it.

[Alta4ever]

It is general conversation, you don't like it leave.

You and allen might feel more at home here

http://www.abovetopsecret.com/

or here

http://www.modernconspiracy.com/

[Jack Weber]

You and allen might feel more at home here

http://www.abovetopsecret.com/

or here

http://www.modernconspiracy.com/

I only brought up the Kennedy theory for the sake of conversation.I did'nt say it was fact...

[groupeii]

It is general conversation, you don't like it leave.

http://www.bankofcanada.ca/en/financial/financial_pay.html#lvts

http://www.bankofcanada.ca/en/about/history.html

1938, the Bank of Canada became publicly owned

The US federal reserve is privately owned but certain of the boards seats are appointed by the president from an open pool, while other seats are from a closed pool.

They arn't exactly the same.

Edited March 24, 2010 by groupeii

[Allen]

The system is fundamentally flawed. To have a fair system, money should be created at the point labour is complete. This only makes sense because once your done working, you have already "paid" for your service. Then to create a functioning circular system, at the point of sale of any good or service, have the money return to the bank. No conspiricy theroy here. Money is created through a signature to pay the money back with interest. The bank doesn't just hand out money. Well ok maybe a little but well below their profit margins.

[M.Dancer]

Again, that is not how money is created. And if you continue along the fallacy you are pursuing, you won't be creating any money either.

[Alta4ever]

The system is fundamentally flawed. To have a fair system, money should be created at the point labour is complete. This only makes sense because once your done working, you have already "paid" for your service. Then to create a functioning circular system, at the point of sale of any good or service, have the money return to the bank. No conspiricy theroy here. Money is created through a signature to pay the money back with interest. The bank doesn't just hand out money. Well ok maybe a little but well below their profit margins.

How well did this work for the USSR please remind me again.

Our current system leverages against future wealth creation, and that said we have allowed the politicians of the last 70 years to over leverage us.

[Michael Hardner]

I can never understand these money conspiracies. How exactly would Canada look if we weren't conspired against ? The banks would make less money ? Ok.....

The banks are capitalized at about $250 B and our GDP is 1.3 TRILLION collars.

[bjre]

How well did this work for the USSR please remind me again.

Our current system leverages against future wealth creation, and that said we have allowed the politicians of the last 70 years to over leverage us.

The current system make laws to enable big interest groups such as banks, insurance companies, real estate business take much easier money from us without work as hard as us.

The current system make laws to ask pay services such as CAS without asking us.

We vote those law makers for various reason include no other more suitable person available, we don't know when CAS are granted to ask police regularly take away kids before court orders and we have to pay for that.

Some laws are even passed by inquiries only.

And the Senators are even not voted by us and most of us even don't know what they are doing there and we have to pay them.

All those additional cost is taken from the people who work.

The whole complex law system is a huge wealth re-distribute system to make sure fat cats takes away most money all of us created, and ensure others in debt. That is the reason why goods and service in Canada is so expensive.

[M.Dancer]

The current system make laws to enable big interest groups such as banks, insurance companies, real estate business take much easier money from us without work as hard as us.

You know, for mere pennies a word you can pay a student to edit your prose so that it sounds like you speak english....

....and that's how money is created...by offering a commodity or a service that people need or simply enjoy and was not offered before.

Edited March 24, 2010 by M.Dancer

[Alta4ever]

The current system make laws to enable big interest groups such as banks, insurance companies, real estate business take much easier money from us without work as hard as us.

The current system make laws to ask pay services such as CAS without asking us.

We vote those law makers for various reason include no other more suitable person available, we don't know when CAS are granted to ask police regularly take away kids before court orders and we have to pay for that.

Absolute garbage the market (citizens, and business) pays for these services what it can bear.

There is no conspiracy and no collusion, just those that are jealous of their neighbours ability to create wealth.

If you don't like the system, don't have a bank account, don't buy insurance, don't take out a mortgage to buy a house. opt out of as much of the system,as you can or join a hutterite/menonite colony and live in an agrarian society, with out such want or need of outside society.

[bjre]

I can never understand these money conspiracies. How exactly would Canada look if we weren't conspired against ? The banks would make less money ? Ok.....

The banks are capitalized at about $250 B and our GDP is 1.3 TRILLION collars.

The banks need not to earn more, but the bankers can earn a lot.

And some others such as TTC General Manager Gary Webster made more than $278, 000 in 2009 pay by tax payers, which is about $115,000 more than Toronto Mayor David Miller.

[bjre]

If you don't like the system, don't have a bank account, don't buy insurance ...

If I don't buy insurance, police will not allow me drive, that is the law. And there are some other laws to prevent more insurance company to enter the market to lower the cost. Monopoly makes free market dis-functional.

[M.Dancer]

Monopoly makes free market dis-functional.

There is no monoploy. There are dozens of companies and 1000s of brokers if not more. Shopping around will save you 100s. Being a crappy driver will cost you 1000s...

[Alta4ever]

If I don't buy insurance, police will not allow me drive, that is the law. And there are some other laws to prevent more insurance company to enter the market to lower the cost. Monopoly makes free market dis-functional.

So what, don't drive. Its your choice.

Join a hutterite colony. They operate in a manner you would like.

Edited March 25, 2010 by Alta4ever