Why Do Banks Make So Much Money?
Sign in to YouTube
Sign in to YouTube
Sign in to YouTube
Uploaded on Jun 7, 2011
The Proof that Banks Create Money:
Banks make so much money because they can create money, effectively out of nothing, by lending. Every single pound in your bank account was created by a bank, not by your government.
Like us on Facebook http://www.facebook.com/PositiveMoney
Follow us on Twitter http://www.twitter.com/PositiveMoneyUK
Follow us on Google+ http://www.positivemoney.org.uk/googl...
ABOUT POSITIVE MONEY:
Positive Money is a not-for-profit research and campaign group. They work to raise awareness of the connections between our current monetary and banking system and the serious social, economic and ecological problems that face the UK and the world today. In particular they focus on the role of banks in creating the nation's money supply through the accounting process they use when they make loans - an aspect of banking which is poorly understood. Positive Money believe these fundamental flaws are at the root of - or a major contributor to - problems of poverty, excessive debt, growing inequality and environmental degradation. For more information, please visit: http://www.positivemoney.org.uk/
Banks are the most heavily subsidised businesses
in the world, specially protected by governments.
While the money runs out for the rest of us,
the largest private banks still thrive. This
is because they get the biggest subsidy of
them all - the licence to print money.
Hard to believe? Martin Wolf, the Chief Economics
Editor at the Financial Times, said it recently:
"The essence of the contemporary monetary
system is the creation of money, out of nothing,
by private banks' often foolish lending..."
You heard that right. Private banks create
money out of nothing! Then they loan it to
us and ask for interest on top!
If you've ever wondered why the bank buildings
around the world soar higher than any palace
or spire ever did, you now have the answer.
But the banks don't simply print money using
secret printing presses in their basements.
They don't have to. Like so many other things
these days, printing money has now gone digital.
With the popular use of debit cards, electronic
fund transfers, and internet banking, only
3% of the money in the UK is now made of paper
and metal coins. The other 97% is entirely
in computers. Electronic money is convenient
for everyone, but it's especially convenient
for the private banks, since they own, run,
and control the entire digital money system.
And what do they do with this special privilege?
Do they channel new money, the blood supply
of the nation, towards the things we need
like hospitals, schools, universities and
Not if it doesn't make a profit for them.
Instead they use their licence to print money
to gamble on the financial markets and pushing
house prices out of reach of ordinary people
by pumping hundreds of billions of pounds
into risky mortgages. This is exactly how
the banks caused the financial crisis, and
now the rest of us are being asked to pay for it.
If we can't afford to run hospitals and build
schools, can we really afford to subsidise
the financial industry? Should we have to
live with less so the bankers can have more?
This is ludicrous, and it's time to put a
stop to it. The private banks can't be trusted
to hold the reins to our entire economy.
We need to take away the bank's power to create
money out of nothing. This will stop them
from causing yet another financial meltdown
and allow us to afford the crucial services
that we as a society need.
Help us caption & translate this video!
Standard YouTube License
- 47:08 How Banks Create Money out of Thin Airby GoingConstitutionalFeatured 144,938
- 10:04 How MONEY & BANKING Really works - Part 1 (1 of 5)by SIMFINITE: Observe - Understand - Redefine 124,018 views
- 4:15 A Simple Solution to the Debt Crisis - Positive Moneyby Positive Money 41,508 views
- 59:45 97% Owned - Positive Money Cutby queuepolitely.com 68,615 views
- 42:09 Money, Banking and the Federal Reserveby Mises Institute Media 893,843 views
- 10:53 How Money is Made - Part 1by MrCamcorder313 124,849 views
- 9:37 Banking - the Greatest Scam on Earthby BoKnowsEntertainment 208,420 views
- 46:22 Overdose: The Next Financial Crisisby journeymanpictures 1,237,235 views
- 8:16 How The Banking Industry Worksby Mike Hewitt 36,973 views
- 1:29:27 Silver & Gold - Debt Collapse - Mike Maloneyby whygoldandsilver 931,229 views
- 10:00 How banks create money out of thin air part 1 of 2by TheByronDaleChannel 9,159 views
- 2:03:07 Zeitgeist Addendumby The Zeitgeist Movement Official Channel 4,858,472 views
- 8:18 How MONEY & BANKING Really works - Part 1 (2 of 5)by SIMFINITE: Observe - Understand - Redefine 36,171 views
- 17:29 US Economy 2014 Collapse - *Peter Schiff* - FED will cause Huge Economic Crisis!by Gold, Silver & Economy News 2,488 views
- 55:19 Get Rich or Die Trying - Making Money on the Web the black hat wayby Jeremiah Grossman 51,835 views
- 5:15 How to create wealth without moneyby auburnmoney 7,152 views
- 47:23 Monopoly Men (Federal Reserve Fraud) (1999)by MasterpieceConCen7 9,858 views
- 10:00 Attract Money Subliminalby Iamvibration 44,514 views
- 19:46 How Money is Made / Created: Ben Dyson Explains the Debt Crisisby Positive Money 42,832 views
- 1:07 Ron Paul : Why do central banks hold Gold? Bernanke : Traditionby PArticenens 101,023 views
- Loading more suggestions...