Why Americans Don’t Have Any Savings

Debt Slaves–to the master–the government–funded by the Fed (debt) and taxes

———————————————————

Central bankers think too much saving is a problem that must be solved with more money creation. But the real problem is the Keynesianstyle fractional reserve banking system.

This Keynesian nonsense about hoarding has been around for nearly a century and has led to some very bad economic decisions over the last eighty years…

The government fear is that a recession will increase bankruptcies, nonperforming loans, and induce banks to cut back on lending, or essentially allow the money in checking accounts to revert to its intended function as a store (or reserve) of purchasing power. The money supply will then contract, leading to the Keynesian nightmare scenarios described above. But this money contraction results not from hoarding, but from fractional reserve banking. It is this process which leads to swift contractions in the money supply when recessions strike. This problem would be mitigated by more real saving, including the type of saving that Keynesians call ‘hoarding.’”

https://mises.org/wire/why-americans-dont-have-any-savings

SEE PRIOR POSTS:

“Thus, fractional reserve banking is at one and the same time fraudulent and inflationary…”-Rothbard

 

Promises to pay on demand in excess of the amount of goods…is simply fraud…[fractional reserve banking]-Rothbard

 

The Birth of a Monster-Fractional Reserve Banking

 

“It should be clear that modern fractional reserve banking is a shell game, Ponzi scheme, a fraud in which fake warehouse receipts are issued and circulate as equivalent to the cash supposedly represented by the receipts”–Rothbard

 

Why the whole banking system is a scam – Godfrey Bloom MEP–Fractional Reserve Banking

 

Joe Salerno on Economic Calculation, Fractional Reserve Banking, and Stories of Rothbard as White Knight-The Bob Murphy Show

 

Money as Debt – Fractional Reserve Banking part 1 of 5

 

Money as Debt – Fractional Reserve Banking part 2 of 5

 

Money as Debt – Fractional Reserve Banking part 3 of 5

 

Money as Debt – Fractional Reserve Banking part 4 of 5

 

Money as Debt – Fractional Reserve Banking part 5 of 5

 

Fractional Reserve Banking–Video