Did you know that banks all over the world can create money out of thin air?Did you know that all central banks are privately held and completely independant from government?This will be an interesting post, i can only promise it wont be a waste of your time so read it till the end.Well, in the Netherlands the actiongroup OnsGeld (Our Money) has started a succesfull petition to get the government to take a look at how the money supply is increased each year by the banking system. Their main argument is that this money creation dilutes the value of existing money and therefore causes inflation and low interest rate on you savings. And because the banks dont spend the money they create on usefull stuff such as business loans and infrastructure projects but rather on derivatives and complicated financial products (more than a few times illegal activities) it is a major cause of financial bubbles such as that really juicy one in 2008.To put it simple: You have 100$ in your savings account. Your local bread baker (or another entrepreneur) wants to borrow 1000$ to buy a new oven, he goes to the bank. The bank can loan out for every dollar it gets from people who save at the bank 10 times (!) as much. This means that the bank can create 900$ out of thin air, it is literally created digitally in a computer and lend the 1000$ to your baker. This proces is called fractional reserve banking and it should be a CRIME. Why? Because this means that the baker will be paying the bank 5% of interest over the 1000$ every year which comes to 50$ which means that the actual interest paid is 50% of the original 100$ the bank has. So the bank makes a 50% interest profit from your money, but do they give you the same interest for your savings? I dont know how its worldwide but ALL Dutch banks currently give about 1% of interest, even though inflation is 3-4%.You have to understand that this system puts a gigantic brake on economic growth and growth of prosperity. Why should a banker who does not produce anything usefull be allowed to create our money and then loan it to the people at 5% interest. Its crazy!Can you imagine what it would be like if everyone who has a loan no longer has to pay interest?! The population would immediately be a lot richer and spend more money to satisfy their needs and the economy would boom. Businesses would immediately be a lot richer and hire more people and invest much quicker because the massive costs of interest are no longer a problem. And why not? If the money is created out of thin air anyway and a credit rating check has been performed, whats the problem?In 2008 we saw that when everything goes wrong the buck stops with the government and citizens who have to pay to clean up the mess. So my point is: why not cut out the middle man!Whats the solution you ask? Simple! You let the government (thus the citizens of the country) control the money creation. Want to build a new bridge or road? You create a few billion and you DO IT. Nothing would change compared to the current situation except the money now ends up with the government who can spend it on usefull stuff instead of with a bank who prefers to speculate with it at high risk for profit.Can you imagine if the US quantitive easing 1&2 at around 1500 billion were used to directly lend to businesses at a low interest instead to the banks at 0.01%?Last example: the European central bank this week announced they will create 1000 billion dollars to buy up government bonds to make it easyer for countries to refinance their debt.......Why the f*ck dont you just give the money to the countries so they can pay their debt off and they wont have to refinance anymore!!Anyway, I encourage the creation of similar action groups in other countries.If you`re dutch and you want to support this group, take 2 minutes to sign the petition.it has already reached the minimum of 40.000 signatures but the goal is to reach the 1.000.000.If you signed the petition, let us know by voting for this post.Here are some entertaining/informative videos:embed not foundembed not foundembed not found