The Western Monetary System Is A Scam

previously, in the comment section:
So, quick recap on how money is created in Capitalism:

  1. Person A (“Johnny”) takes a loan in the form of credit.
  2. This loan is entered as both an asset and liability on the bank balance sheet.
  3. The central bank transfers 1 dollar for every 10 loaned to the lending bank during a transfer window at the reserve.
  4. Johnny spends this credit at a store, incurring Goods and Services Taxes.
  5. This credit is deposited into the store/company wallet as “money”, digitally.
  6. This money incurs theoretical tax (Corporate income) to be paid at the end of fiscal year.
  7. This money then gets paid out to employees. It gets taxed immediately as income tax, with a portion witheld and digitally transferred to the government.
  8. Johnny pays the monthly interest due on the original credit.
  9. The employees spend the money on food/housing, incurring Goods and Services Taxes.
  10. The bank at this point has lent out even more derivatives of the loan, which has at this point been deposited twice, transferred once, and partially spent.
  11. The central bank has transferred even more cash to the bank’s fault in the reserve.
  12. The government spends tax revenue to function. It isn’t enough to fund the government, so it takes a loan from a merchant bank.
  13. Said merchant bank gets some cash - 1 dollar of cash for every 10 loaned - transferred to reserves by the central bank.
  14. The government now has to pay interest on loans.
  15. goto 12

Seeing that is easy, the hard part is doing something about it.

It is a scam. When a bank gives you a car loan, they create that money out of nothing, but somebody is paying for that car. Who? The earth.

The current system is open to manipulation, we are all pawns in this game unless we exit, which is getting easier by the day.

Andreas Antonopoulos has some wonderful talks about this on Youtube.

Even Marx expected a transitional socialist state to make use of, and issue, currency as a means of incentivising labour. Money is essentially just playing pretend - so our goal should be to transition it away from being controlled by and for the few to being controlled by and for the many.

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Societies that are built on the assumption of endless consumption require endless consumption to continue. Hilariously, because of the Credit Rating sub-system, credit is not being granted to enough consumers at a fast enough rate to sustain the church of Capital.

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