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Originally Posted by ExNYer
Since we are not a shitty third world country - yet - then i suppose our central bank must not be corrupt, huh?
Oh, the Chinese is growing in leaps and bounds. It used to be a shitty third world country. Now it is an emerging global powerhouse. So I guess having a central bank isn't hurting them either, is it?
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Central banks are sort of a necessity because if the government simply printed the money, like Lincoln and Kennedy did, the people would figure out what was going on and resent it greatly.
Central banks are a kind of illusion governments use so they can claim that money isn't created out of thin air, but is somehow, some magical way related to "good faith and credit," or it's still linked in some infinticimal way to some sacred commodity like gold.
But when you give that much financial power to a private bank there will absolutely be abuses.
The owners of the bank will issue the money, created fictiously using debt, to benefit themselves.
That's not to say that other people don't benefit also, but not to the extreme amount the central bankers do.
In shitty little countries everyone knows the central bank prints money out of nothing and loans it out to politicians or dictators so they can buy up the country while everyone else works their fingers to the bone to create everything being bought up.
In the 1970s the dictator of Sierra Leone ordered the President of the Sierra Leone central bank to print up millions of dollars in local currency and deliver it to his house.
When the banker refused the dictator, Shaika Stevens, had three goons go to the banker's house and throw him out the window.
The next day the banker was replaced.
