Why the whole banking system is a scam - Godfrey Bloom
People who liked this video also liked
Comments
27 comments posted so far. Login to add a comment.
41
Comment rated too low. Show this comment
2. ughlah commented 11 years ago
He is of course part right, yet there is about every other speaker who will say, that with 10 or so times less bank credits our industry wouldn't be able to work at all.
Simple example: I make 4000 $ per year in revenue. I buy a really good computer (or whatever) every 4 years, cause I need that for me work for 4000 $. Now depreciation over 4 years means I have to pay taxes on 3000 $ in the first year. The alternative is to buy the computer with a credit. Thus I'm paying the money back at the same rate it is depreciated.
If you are about to change money printing and the credit system you will have to go a lot of steps further and change the IRS and its workings as well.
Simple example: I make 4000 $ per year in revenue. I buy a really good computer (or whatever) every 4 years, cause I need that for me work for 4000 $. Now depreciation over 4 years means I have to pay taxes on 3000 $ in the first year. The alternative is to buy the computer with a credit. Thus I'm paying the money back at the same rate it is depreciated.
If you are about to change money printing and the credit system you will have to go a lot of steps further and change the IRS and its workings as well.
32
4. WildMonkey commented 11 years ago
Fractional banking and seigniorage are nothing new, it's as old as banking itself. The problem doesn't lie entirely on them; it's the grotesque misuse of said tools, including leverage, the ridiculous 30:1 Debt-to-Equity ratios of financial institutions, unregulated securities market, the destruction of Glass-Steagall, a do-nothing SEC, cronyism, financial lobbyist that literally write the laws and tell politicians what to do, say, and sign in to law.
The financial markets aren't the joke, human nature is.
The financial markets aren't the joke, human nature is.
46
5. krillemaster commented 11 years ago
We cannot allow our economic life to be controlled by that small group of men whose chief outlook upon the social welfare is tinctured by the fact that they can make huge profits from the lending of money.
-FDR, 1932
-FDR, 1932
26
6. sidewinder commented 11 years ago
TRUE! TRUE! TRUE!
35
7. jackDjohnson commented 11 years ago
Bout time someone grew up and started telling the TRUTH !!! I hate Politics !!
50
8. Oddi commented 11 years ago
I believe actually everyone in there has a rather excelent understanding of how and why the system works this way.. and all know what the problem is... the greed of bankers and polititians of course. So this speech is probably given to get more voters for his party and to show that he cares for us.. anyway at least they start telling some big truths.. even kinda pointless is still a good thing
37
Comment rated too low. Show this comment
10. Thanny commented 11 years ago
Comparing quantitative easing to counterfeiting is ludicrous. And fractional reserve lending is not a problem when you have deposit insurance and regulation. Moreover, no bank in history has ever *not* done fractional reserve lending.
Really, this is just a profoundly ignorant rant, from a man who clearly has no understanding what caused the financial crisis and what did not.
Really, this is just a profoundly ignorant rant, from a man who clearly has no understanding what caused the financial crisis and what did not.
46
11. banzemanga commented 11 years ago
That woman, she must be part of the scam. Just look how annoyed her face was when listening to his speech.
16
12. UofMichFan commented 11 years ago
For a minute there I thought he was talking about what Obama and his stooge Geithner are doing with our Treasury Department.
33
13. mosfet23 commented 11 years ago
Just as the chasm between the rich and poor is growing exponetially...So will the gap between rich and poor governments grow equally immense. Rich governments will be able to continue printing money and it hold value against each other, while the poor one's will see their currency become toilet paper by doing exactly the same. It's all about 'Might Makes Right' and nothing to do with right and wrong. Someone always pays in the end but it won't be rich folks or rich countries.
27
15. Break-a-leg commented 11 years ago
@Acorn, isn't it that the whole world is built on money? And that in this world, money is nothing more than a guarentee that I, the spender, have done my share of work and hereby request you to do your share.
Ever since our ancestors thousands of years ago traded 1 wolfskin for two hammers has money (in an indirect form) been around.
therefore, to claim that democracy only exists as a product of money is true, but just as true is the statement that science is only possible because somebody pays for it.
For as far as the video goes, I totally agree. However, damage done to the entire financial system if more banks would topple over is huge. saving the banks is probably necessary.
BUT: Isn't it entirely valid to ban the CEO and board from doing a similar job again, ever? Or even jail them? That way, the financial system won't collaps and those greedy bankers will end up broke and harmless to society.
Ever since our ancestors thousands of years ago traded 1 wolfskin for two hammers has money (in an indirect form) been around.
therefore, to claim that democracy only exists as a product of money is true, but just as true is the statement that science is only possible because somebody pays for it.
For as far as the video goes, I totally agree. However, damage done to the entire financial system if more banks would topple over is huge. saving the banks is probably necessary.
BUT: Isn't it entirely valid to ban the CEO and board from doing a similar job again, ever? Or even jail them? That way, the financial system won't collaps and those greedy bankers will end up broke and harmless to society.
25
16. Baliverne commented 11 years ago
Everyone throwing human nature and "the way it just is", learn some facts because youre thinking inside the box you've grown and are desperately imprisoned in.
It's the environment you are raised into that shapes the kind of person you are, off course the financial market is the joke and not human nature. A joke that forces us to compete in a game of musical chair that has your house and well-being at stakes when the music stops.
If you change the variables in the early life of a person (having both relatively caring parents instead of only one that beats him for exemple), the child that grows into a ruthless competitor for money also has the potential to be an altruistic adult.
It's not in our nature to destroy each other, it's a way of self preservation we auto-generate in reaction to the system.
Human Behavior, not human nature.
It's the environment you are raised into that shapes the kind of person you are, off course the financial market is the joke and not human nature. A joke that forces us to compete in a game of musical chair that has your house and well-being at stakes when the music stops.
If you change the variables in the early life of a person (having both relatively caring parents instead of only one that beats him for exemple), the child that grows into a ruthless competitor for money also has the potential to be an altruistic adult.
It's not in our nature to destroy each other, it's a way of self preservation we auto-generate in reaction to the system.
Human Behavior, not human nature.
5
17. Dolfy commented 11 years ago
Mr Bloom just proved he has no idea how the fractional reserve system really works.
http://g0f1gure.blogspot.hu/2012/11/back-to-gold-standard.html
http://g0f1gure.blogspot.hu/2012/11/back-to-gold-standard.html
24
19. vfines commented 11 years ago
If we had stayed on the gold stantard this currency manipulation could not have happened. Also kept private central banking, Federal Reserve, out of the government would have been a big help. No FR no IRSS. We can Thank Woodrow Wilson and Richard Nixon primarily for this fine mess we are in.
41
Comment rated too low. Show this comment
21. ughlah commented 11 years ago
Well, as soon as someone starts talking some sense, they are voted down.
Just because something sounds good, it isn't automatically true. But I guess there is always enough sheep to follow an eloquent speaker, and history has shown us more than enough examples.
Next, let's post a video where someone asks why some top managers work 90 hours for awesome money and how it would be so much better to give that work to two people instead. Or why it is such a brilliant idea to increase taxes for the rich to 75% or even 100% after a certain amount of income.
Just because something sounds good, it isn't automatically true. But I guess there is always enough sheep to follow an eloquent speaker, and history has shown us more than enough examples.
Next, let's post a video where someone asks why some top managers work 90 hours for awesome money and how it would be so much better to give that work to two people instead. Or why it is such a brilliant idea to increase taxes for the rich to 75% or even 100% after a certain amount of income.
24
22. roady commented 11 years ago
#17 the issue is not fractional reserve as such, which is lending out most of the money you have. The issue is lending money you don't have, never had, and claiming interest you do not deserve. This devalues the money, which was fine when it was just the bank that would go bust. Money is called "bank notes" for a reason. But when the country guarantees the notes, then only the country should be issuing the money. And as a policy, should perhaps not issue inflationary amounts that sacrifice pensions and services to get politicians dodgy deals.
58
23. thundersnow commented 9 years ago
#5..I like the quote..FDR, the best President we've ever had in the US, the one who made some true changes...also like this video!
53
24. Judge-Jake commented 9 years ago
Sadly He went on say some very stupid things in public and got fired but his banking speech wonderful and what a great speaking voice
67
25. sux2bu commented 9 years ago
#23 FDR....father of the modern welfare state ,thanks a lot.Franklin Roosevelt’s New Deal was bad news for the economy because he expanded the burden of federal spending, raised tax rates, and increased government intervention.His policies made the Great Depression last longer than it should have.
Also during the height of the Great Depression FDR passed the Agricultural Adjustment Act, which was probably the most idiotic law in American history because it initially mandated that farmers slaughter livestock and burn their crops in order to keep prices high and get people to move from the cities to the country.
He also made it illegal for citizens to own gold coins or bullion which they were required to turn over the the Federal Government under threat of fines and/or imprisonment....thus he stole people's private property.
He was power-hungry so he trampled on the Constitution and people's rights. (similar to what BO has been doing)
Also during the height of the Great Depression FDR passed the Agricultural Adjustment Act, which was probably the most idiotic law in American history because it initially mandated that farmers slaughter livestock and burn their crops in order to keep prices high and get people to move from the cities to the country.
He also made it illegal for citizens to own gold coins or bullion which they were required to turn over the the Federal Government under threat of fines and/or imprisonment....thus he stole people's private property.
He was power-hungry so he trampled on the Constitution and people's rights. (similar to what BO has been doing)
58
26. thundersnow commented 9 years ago
Yeah, those are the same people who gladly (and rightfully) accept unemployment, disability, and social security, all of which he had initiated while they are criticizing it at the same time. So much for logic!
+52 1. steve1960 commented 11 years ago