Marxism Unmasked from Delusion to Destruction.pdf 7471KB

M U S 1 ^ . ; S I i K i S I . A M> I H t B t S I S t i N e ^ C t 1
inteicit finally di%appcM% completely. Thcrr air actualh* toculist authors
xho bcbevr thtt t% the nght wa>' to bring about abundance, to create
icncy for all. and make everybody nch.
Wr mttif draw a tharp dntinctxMi between tuT> t^-pet of bank
tramactions.The daantc^ old definition of a banker, the bunneuman'i and
• onomiftt
definition. wa» that a banker w» j nun who loaned
her peoplet money (A man %idio lend* only hn own nmnex- it a
money-lender.) The banker n a penon who get* depoiit% from people.
%^ ho take» other people % nKNiey. and lend» ihn monr> lo ttiU other people
I ht buuncM fcaim air denvrd fitim a difiermce in the rate oC intetr^i he
p jy% to hit depoiiton »nd the rate of interrtt he get\ fioni thotc lo whom
lie lendi money Thn it the fcrnuine bmtneM a4 bankinn. of a banker
The iituatum thai came oboui in the ntncirnith centur> uith the
development ai tiMKicf n meihudt ai bankin|t with the i«mk' (4 bankmMet
and of depoittt uib|c(t to check, led to t%w» «mou% pniblenn fiducur>incdM
and ctrdii expamion
It waft a htHoncal evolution that took place fini in (•rrot Brtuin. and
(hen ako in other couniriet IVople depotned m Un ufrkerping utih
pcrtom whom the>' later called bankert—earlier thcv pcTw»m urrr the
' whith they uted in nuking p«\ii»mt% ItHln. %%t utnild coll
ihete receipt* "banknote* " When the ftolduntth tcmtrrncd cn^ovvd fa\T>r-
ible good will, there wot no rraton for atHMher pervm m>t tu accept tuch
» receipt in payment cjf monr>' due hmi I he icoldututht Mui the early
l>jnken \Try mkni chucnrrrd that it lA'at ihm t>ecc%v>rv to keep a« rocrv-rt
lit their vault* fund* amouotiiti: to the total aiiHHjnt c>f the receipt* the>-
i\tued—they could i**ue more receipt*. riKm- lunkfu>te*. than the* really
had ready in their ca*h hc4din|0 lhe>- dttccnx'rrd that tlte> could lend a
part of their reserve*, that it wit pcmible to p*T nH»re c redit b> meant a(
hanking operanont than the amount ot tiHtne* actually depotited with
them *%x)uld hatr permitted Thut the*- chucnrrrd what ur \t*)uld call
tiducury medu"
The tecond verv- c)uettionable buunevt comttt* at' the imtitution of
cirdit expantton. which ma* be called the moti imponant economic
problem of our a|{e ITm meant that the banker lend* iikjit moue*' to
people than he ircei*r* fiom hn depotttort. Thtt turplut of banknotet
issued by the banker, or of depottt* tubject to check which he open*
for his customer*, it credit expantion. The cjuettion it. "What are the
consequences of such operauom?" At the beginning, credit expamion of