HomeA new report came out and once again declared what is already known: Rich got richer, poor got poorer. But is anybody asking why this is happening? Let us dig the contreversial answer.
Entire population is in debt to the bankers in America, in Europe, in Japan. And people still do not see the interest scheme that these bankers are running!
Folks, when we borrow, banks do not lend existing money. Banks create money when we borrow and give it to us! Here is how banks create money:
http://www.tradingstocks.net/html/banks_create_money.html
This new money inflates the money supply and punishes the savers. More people feel the need to borrow, thus the ponzi schem feeds itself! More people pay interest for money that was created out of nothing for a life time! That is hell of a long time to work for something that someone else created with the stroke of a pen or a click to the computer keyboard.
Here the problem is that any new money should belong to the society, not the bankers. Thus, the right to charge interest should belong to the society, since borrowers are diluting the money supply and reducing the value of the dollar.
But the bankers made the laws so that it works the opposite way! If you borrow, you pay less tax due to mortgage interest deduction. Double whammy.
But at the end, the system is bankrupt by design. Entire nation borrowed and created the money supply for a century. Now banks demand that it is paid with interest. That is an impossible proposition because when everybody is already in debt, they cannot borrow more. Thus money supply is not enough to pay principal + interest.
This is why foreclosures happen. Homeowners cannot possibly find a job that pays enough to pay the debt. The economy does not have the money!
There are ways to fix this problem including interest free monetary system. But bankers who make your laws and they don't want to change them. They are making money in good days, and they are making money in bad days.
People, wake up, you are being robbed by the banking cartel! This is the cause of many wars and many problems around the world. Web of debt by Ellen Brown is a good book to read on this subject.