top of page
Writer's pictureRichard Lipscombe

Money, money, money...


Borrowing, borrowing, borrowing...

Money is one of the most misunderstood entities in the world today [see photo]. Think about that notion for a moment... What do you think? Is gold what we think of as money? Is bitcoin a practical/viable replacement for paper money? Is digital money the best pathway towards a better and brighter future?


Minimalist nominally understand the role of money in their lives. They understand money because they first-and-foremost use it to facilitate their individual needs not others' wants. The minimalists understand that the money they use is created by banks at the instant they lend it to households, businesses, individuals, etc. So the first version of "money" is that it exists because you borrowed it from a bank. I know that might be hard to accept as a fact; but, it is nonetheless a practical definition for "money". Banks create "money" for those who built assets in the past and for the future use by borrowers. In this respect "money" is a facility that is bequeathed to us by previous generations. Alternatively "money" is a borrowing facility gifted to us by future generations.


Minimalists nominally understand that "public moneys/borrowings" are spent on "other's wants". Of course sometimes these spending programs benefit the minimalists among us too. But in general... All such minimalists will prefer to look to their own material means to help them meet their individual needs. Minimalists were present in much larger numbers in 1950s than we see today due to hardship imposed on most families during and after WWII. However, over the past 70 years, the capacity for government to spend, spend, spend was substantially boosted by increasing general revenues drawn from tax receipts and loans. Today the tax base is so broad that it ensures that the supply of "public money" will grow even if a nation/community is trapped in a economic recession/depression.


War is when public borrowings truly kick-in to support the big spending programs of our governments. However whenever we think of "wartime spending" we tend to think of an external threat. In contrast to that notion the big public spending today is focused on culture wars [and the like] which are waged inside national borders. Perhaps that is why we see [American, Australian, British, EU, etc] politicians wearing a badge that has a national and a ukraine flag fused together as if they are one. This signals a completely new definition of "public money" as national electors are asked to accept spending programs on issues that lie entirely within the borders of Ukraine as if they are national imperatives. This is part of the push by the globalists [WEF, EU, NATO, Bank of England, etc] to move to a centralised world government [an expanded EU, NATO, UN, etc]. This globalist push comes at a time when global debt is increasing at an alarming rate and currencies wars [between Russia and EU or America and China or Middle East oil producers and the rest of the world] are accelerating.


Acceleration of currencies wars has reversed the global central banks support of zero interest rates in recent months. And this is because the Bank of England [and globalist bankers] got caught in an all-out-fight against demand/supply based price inflation. The Bank of England has been raising interest rates to quell demand; and, at the same time lowering interest rates by selling bonds into an illiquid market. The globalists [such as EU and the Bank of England] are pushing Climate Change policies [public spending that plies public subsidies to those who shun fossil fuels], sanctions against oil/gas suppliers [such as Russia], support for the NATO backed war in Ukraine [pushing the world towards the doorstep of a nuclear conflagration], support for all varieties of woke culture wars [public spending directed to groups rather than individuals], and so on...


Globalists are using their power, status, and wealth to push for a digital version of money which comes with the features of central government control [China has "credit scores based system" and Global Corporation have recently embraced ESG - environment, social, and government - scores to guide their investors. These new global schemes includes a digital money framework that gives governments/corporate entities unprecedented control over spending [private and public]. In fact this new global digital form of "money" will release the control of spending/borrowing from individuals and hand it over to governments, banks, corporations, etc. At this stage the meaning of "money" will have more to do with the individual/group ability or capacity to "comply" with current and future regulations [think Covid-19 lockdowns, vaccine mandates, public schools agenda for kids, etc] than was possible in the 1950s. Today the notion that money/borrowings are a facility provided to individuals and families to fund their dreams [home, car, education, travel, etc] is a fairytale...


Money, money, money...


Richard.








7 views0 comments

Comentarios


bottom of page