“The study of money, above all other fields in economics, is one in which complexity is used to disguise truth or to evade truth, not to reveal it.” -John Kenneth Galbraith
Yeah I was going to say law as well. In fact business in general. Profit is made off what people don't know. Oh you're buying at 10%, and marking up 90%...
Holy God, I didn't realise just how screwed we really are. No politician we elect is going to be able to fix this because so very few people actually understand how it all works, and the majority of those that do are the ones making money from it all.
Actually the federal reserve, bank of england, bank of Japan, ECB and all this super big central banks knew exactly what is going on. It is definitely their agenda to work on behalf of big business and not the SME's. If you read 'Princes of the Yen" by Richard Werner. He perfectly explains how the Bank of Japan knew before hand that their decisions are going to cause a market bubble burst. Bare in mind that these BOJ governor are all closely related to the US as they had previously served as the US ambassadors. In my opinion they were following instructions from the US. Before the end of the Soviet Union they needed Japan to be strong in order to fight communism. But once the soviet union is dead and China has dropped this hold closed economy idea. They ditched Japan.
12 U.S. Code § 411 "....The said notes shall be obligations of the United States and shall be receivable by all national and member banks and Federal reserve banks and for all taxes, customs, and other public dues. They shall be redeemed in lawful money on demand at the Treasury Department of the United States, in the city of Washington, District of Columbia, or at any Federal reserve bank."
Some say that all Central banks are interlocked, the Bank of England was created when we lost the Battle of Beechy head to rebuild the navy and funded from Italy the popes banking family at the time, the shares and stocks are owned by family's all around Europe, in many books ive read with bits on this some are right some are wrong but a picture comes to light, Swiss bank is still on Gold standard is this true ? and is it the Apex as Antony Sutton said.
Moxon why do you think Trump gets it? My impression from outside is that he is not only a friend to rich and powerful but one of them. His key policies have been things like tax cuts for wealthy and corporations (including, even primarily banks), and reducing things like environmental regulations (again reduction of costs for corporations which people will later have to pay to clean up). Trump is also in debt to Deutsche Bank for hundreds of millions of dollars, so I doubt you will see him cracking down on banks, promoting decentralisation, etc. If you want this kind of thing I'd say you'd be better of voting for someone like Sanders, right?
Astoundingly informative Prof Richard Werner should, if there is any shred of truth an justice, be the next governor of th Bank of England. We have had a Canadian lets have a German. Sadly truth and justice do not exist in banking or politics. We can hope and pray. Thank you for a Rosetta
0:30 Financial industry: "What is the value added?" - "There is no value added. There's value extracted." Just awesome! 12:25 Introduce bank credit guidance : "Ban bank credit for financial transactions!" - "Let them borrow money, but not from banks!" Even more awesome!
@fynes leigh I would suggest, if you did not already, to watch: th-cam.com/video/p5Ac7ap_MAY/w-d-xo.html and see where Prof. Richard Werner got his experience and first-person knowledge and what he is talking about. It is not a theory; he saw that already happened elsewhere. Then maybe this if you can spare the time: th-cam.com/video/XcGh1Dex4Yo/w-d-xo.html
th-cam.com/video/EC0G7pY4wRE/w-d-xo.html The most important info in this video, saved for the end. And this too. th-cam.com/video/LrObZ_HZZUc/w-d-xo.html
Prof. dr. Werner is assuredly a prominent economist of this era, and he extraordinarily explains so many facts that have been in the past shrouded in the ambiguity.
The whole implications of this legal anomaly is not clear. Surely the City of London as an international financial capital of the world was created from the success of the British Army, Royal Navy and Royal Air Force in creating the British empire. Those instruments of force and violence are part of the British state.? As Churchill said in 1914, just prior to WWI: “We have got all we want in territory, and our claim to be left in unmolested enjoyment of vast and splendid possessions, mainly acquired by violence, largely maintained by force, often seems less reasonable to others than to us.” (Cited in Paul Kennedy, The Rise of Anglo-German Antagonism (London: The Ashfield Press, 1987), p. 467) [Quoted in World Socialist Web Site: "War and Revolution: 1914-1917" (10 April 2017)]
Wow oh wow.... The way Richard Werner explains the banking systems errors and the solution to it is phenomenal! We need such great minds in such a time as this. He would make such a fantastic finance minister 👏
I just witnessed two minds in the process of being blown! It was priceless! I'm no banker or economist (except in the sense that anyone who banks and manages money is both) but I can tell the guy on the left is speaking naked truth. The whole western system is like that. It's not based on what actually is. It's based on the hopes, drives, aspirations, ideologies and fantasies about human beings; not what we are, but what we want to believe we are. I think it's ultimately a bankrupt system that will occasionally benefit the few and frequently deprive the majority. Never the less, the majority will never swallow the red pill.
Sure it works. We "work" it everyday. And when people figure out how it works they then work it to their own benefit. I think it's ultimately bankrupt because it takes more than regulations and "mechanisms" to administer something of benefit to human beings. It takes the inclusion of human beings and all of the considerations that human beings need. If people are administering a system without those considerations, I believe it will fail them. I believe the Western system is awesome and magnificent when administered wisely. But, the system doesn't work by itself. People work it, but if people put their hopes in the system. itself, and not in the humanity of each other, what they call the system will fail them. Even more, when they integrate their greed and selfishness into that system it will ultimately fail them.
The banker on the right is putting on a show. He already knows these things and he knows very well they shouldn't be widely known so he acts like it's all new to him. This type of fake ignorance is rampant in banking.
Man I have watched a thousand videos on the fiction of money creation but this one is by far the best. And the fact that in the UK only 5 banks control banking while in Germany it's over a thousand. I have always wondered why the financial industry is so powerful in the UK. As we would say in South Africa, "the government has been captured". This is one interview the BBC will NEVER show😔
@fynes leigh , Werner has been studying the banking system in Japan, Asia, U.S., and Europe. He know what he's talking about. What are your credentials, and knowledge to be disputing the traceable facts? Why don't you watch this, and learn: th-cam.com/video/p5Ac7ap_MAY/w-d-xo.html
Am I missing something here?? Why aren't bankers put in jail for creating money out of thin air. It's why we have the mother of all crisis climate change. This is the reason why: by creating fictional money to buy natural resources to turn into bullshit useless stuff that drive economic growth that's killing the planet.
@@nazeerahmedsonday5071 You know how they say, a person is only a criminal if caught. It's something like that. They have created a bubble so big, a pyramid scheme of epic proportions that it could last for your lifetime before it bursts. So, people just go along with it and get their share of 2-8% interests of their money. Would you rather keep your money at home for a decade and have it deprecate or put money somewhere that doubles?
Credit Unions: an immensely successful "neighborhood banking system" - and established banks try to hijack it - no wonder why, after listening to the splendid deliberations of Prof. Werner. PS: Bangladesh has seen a lot of successful Credit Unions
Thanks so much for posting this! This needs to become the new common knowledge about how money really works, not just in the UK, but basically everywhere--at least in the West.
Wow... just Wow! I spent my childhood listening to my father explaining me these things and I could never grasp it so simply as I did in this video. The man is not only brilliant, he should be given more voice on serious society debates about this issues because he can really explain it all in a very simple, smooth way. I love the detail of saying that some of his expressions weren't exactly accurate, this shows he understands completly the meaning and feeling of the words, which is a very legal and balanced point of view, and he can probably translate that into actual solution working. Please, give this man some more voice, not only in UK, as for the rest of the world also.
Heres why and what to do. Our world has 4 fundamental practices that are problematic. If we dont understand the causes of a problem we will address the symptoms or actors, not the causes. 1st Large private and Central banks have obtained the Exclusive franchise to create ALL new Currency as Debt, at interest. An increasing population needs an increase in currency, but it is ALL created as debt bearing interest. This indebts the whole world, every person, every government, in totally unpayable debts, enslaving us all to bankers through personal debt or ever increasing oppressive and unjust taxation, permits, licences, registrations, regulations, rates, duties, fees, fines, levies, surcharges, adinfinitum, of which an increasing volume goes straight to the debt creators, who created it for free. (At zero cost to themselves.) 2nd. Virtually no limitation plus fractional and recirculating fiat currency allows banks to effectively create massive new Currency volumes as DEBT, blowing massive bubbles (in housing/stocks) which devalues everyone's savings, work, pension by raising all prices. We call this inflation, but it's really devaluation. Shrinkflation adds to our reduction and desolation. The fix ? Go back to Sound Metalic Money and stop all banks and financial institutions loaning out more than they have on deposit, but further, DO NOT ALLOW ANYTHING BUT Metalic Money TO BE CALLED AN ASSET OR COLATERAL. Real Estate loans have been classified as collateral. That allows the bank to call the loan an asset, and sell it, or loan against it, which helps blow real estate bubbles. Return legal currency creation to national treasury departments with a zero Inflation policy. This will not create inflation like some bankers/economists would have you think. It is not WHO creates currency that drives the constant devaluation of your work & money, it is THE VOLUME per population/ productivity. The banks increased the base currency supply by over 65 % since March 2020 & 300% since 2008. This is multiplied as real estate bubbles lever up equity to back increased loans. You can't spend it off planet, and we've had no increase in population or productivity. How can it not devalue our savings, wages and retirement funds by a similar % as it enters the economy ? 3rd. Fiat currency whether paper OR DIGITAL has no intrinsic value, thus it cannot be used as a long term store of value, particularly in an ever expanding fiat system. In fact taxation and the 'legal' currency label attached to fiat creates artificial demand for fiat currency. The fix ? Return to Silver, Gold, Copper & Nickle currency, designated by weight, not cents/dollars. These will find their own local value. These can't be printed to oblivion, have intrinsic value, and are a safeguard against bankers counterfeit loans. Continue to keep the manufacture of Gold & Silver rounds by private mints & foundries to help keep the government mints honest as to premiums. Do not allow bankers and economists of the current system to con you into believing there isn't enough Metalic Money. You mix 1% gold, 99% copper or Nickle and you have Gold backed currency. Same with Silver & Nickle. Mint 10th ounce, 2 10ths, 5 10ths and 1 ounce. Or grams in similar fashion. Never give it a 'value number,' which is a lie. Give it its weight & purity, and let the market decide what it will buy. Call it 'slow money," like 'slow food.' It's slower for sure, but it's 10 times better for you. Probably necessary to nationalise mines & pay shareholders out in metals. We are aiming at a more just, more perfect union, and that requires we treat shareholders justly and make them whole while preserving a mining and exploration industry. So gently, thoughtfully, carefully on this one. 4th The 'world bank' and IMF are your friendly international arms of the Federal Reserve, who loan worthless US currency invented at zero cost to enslaved nations of people to purchase necessities, when their own commodities or worthless currency would do just as well. This ensures the indebtedness of nation's simply to survive. Correct these 4 Principles and >80 % of a nation's problems would disappear. Do not allow your masters the Debt slave creator's to tell you it can't be done. They are not seeking your best interests, but theirs. It is easily done. Beware. The FED, IMF, WEF wants you totally enslaved with Digital currency. Convert your garbage fiat currency into Gold and Silver or prepare for destruction. Come to think of it, you better prepare for destruction anyway. The bankers motto is : 'Preserve your Capital at all costs.' The bankers are buying Gold. We the people can afford Silver.
If only people knew / wait until people find out. That was totally Epic, and totally correct assessment of the situation and, why the Titanic was sunk. Such a shame your comment doesn't have 2.5 million views like Mr Beast
Only since the "nixon shock", to "solve" the "oil crisis". There is also a fair point that using gold reserves means that the foundation of economic and political power is owned and controlled by the people who control the gold mines, who are not the nicest people in the 21st century globalised economy.
surprising how many people never asked throughout their lives what your money was backed by and how and how many bills are printed and why all these smart types, education, accountants etc etc and this is obscured. it shows most of us just go along with the flow and leave navigating to the lawyers, if I was a barrister or counselor or attorney or lawyer, for the right incentive, id lead all the non-member fish right into the catcher's net.
wow....1) I just had a real education on Finance. 2) I just witness 3 totally true gentleman ....each allowing the speaking person to speak, interrupt appropriately, no shouting, and no one trying to talk on top of the speaker. What a delightful round of interviews, lecture and conversation ...between top class human being with manners, respect and graciousness. I am overwhelmed. That is what I would called Perfect English Gentlemen. .....thank god there are still some around. And what a surprise to found it on TH-cam and RT. Thank you Alessandro Del Prete for posting. I will have to listen to it many time over to really understand the subject of banking and Fiance. Was too distracted by by their good looks , good manners, good English and good disposition. I cannot find any fault with them. Simply Brilliant. I can now go to sleep with a smile....there are still decent human being on this planet.
Extremely refreshing to see a discussion where the critic would actually listen. I hope every government financial decision makers would watch this video
His two academic books are *Princes of the Yen* (bestseller in Japan) and *A New Macroeconomic Paradigm* Both are Fantastic, Fantastic books. The first talks about the whole history of banking, ECB, history of korea, German, and Japanese banking in very undestandable terms before centralling in upon Japan's 20th century history and how it was the 2nd biggest economy for the 20th century, not the USSR. The second, Macroeconomic Paradigm, explains more the economics behind it. Princes of the Yen is the best book I've read ever!
anyone with a basic understanding of economics can tell this guys word salad doesnt really make any sense... England's economy skyrocketed in the 80s. people take out loans to start businesses. thats why the amount of money lent went up in his graph... To say that money lending went up therefore its bad is retarded
Amazing when someone crystallises what you always thought was wrong but couldn't identify why. Problem is that the people who should do something about it are those with least reason to do so.
Seems like I have to explain what wrong means. Examples- 70% of M&A destroys shareholder value, mostly driven by banks and other financial institutions. The grotesque amounts handed out in QE to " rebuild their balance sheets" Why? Only one minnow jailed for for malfeasance in the UK. Even the Americans did more. Libor. The revolving door of CEOs and their chums voting each other ever more absurd " remuneration" where in the case of say Persimmon or Thomas Cook or TSB their performance is dismal. Overall what's happened is that risk- the reason why banks exist- has been transferred to us- the outsiders. Meanwhile the banks have a blank cheque- issued by them. Why objectively wrong? Because it erodes the trust that we all have to have to operate a decent society. Otherwise go and live in a cave in Scotland with lots of guns and MREs. But make sure that you've got more guns than anyone else because sooner or later you'll be the victim not the victor. And the other reason- because if you have any moral compass at all you'll recognise what wrong is. As that nice Mr Stalin said when his policies caused the deaths of millions of Russians. " You cannot make omelettes without breaking eggs". His interlocutor replied " I can only see eggshells, Comrade Stalin". Naturally he was shot shortly afterwards.
@@billtaylor2050 Another Stalin quote you might enjoy: He was asked "When will you stop having people killed?" His answer was "When it is no longer necessary".
...and Prof Richard Werner is not only brilliant, he is good looking, he is totally articulate, he has nice voice, he speaks gently and present his lecture without having to resort to antic or drama. I can listen to him all day. ...Hope he is the same when he is at home.
15 minutes and he'll give you an unforgettable insight into the financial system that's swallowing down the most "Aware" and "Educated" nation on the planet. I'd love him to be my teacher, infact i'll be following him for knowledge around money supply.
anyone with a basic understanding of economics can tell this guys word salad doesnt really make any sense... England's economy skyrocketed in the 80s. people take out loans to start businesses. thats why the amount of money lent went up in his graph... To say that money lending went up therefore its bad is retarded
Where are the companies that were founded? There are hardly any small and medium-sized companies in England. In Germany, the small and medium-sized companies are the backbone of the economy, creating many jobs. In England the loans went into real estate speculation (see real estate prices in Londen) and the speculation with assets. This speculation initially generates an economic boom, but when the financial bubble bursts the banks are saved with taxpayers' money and social inequality increases sharply.
I would say consumption loans are not necessarily inflationary if there is a significant glut of supply or if budget constraints are too severe. The loans would then either be used to purchase that surplus inventory (which is probably being discounted since businesses want cash, not inventory) or enabling production to increase to its capacity, enabling more goods at the same price. The catch is three-fold though. 1) Consumption loans are more common with higher income earners (since that is what the banks are lending against) who don't have significant budget constraints and thus will likely be inflationary. 2) Supply and demand may occassionally pass one another in the perpetual journey to equilibrium, but in general, when a glut is due to a shortage of purchasing power, the financial system again is less likely to loan funds to the consumers that want (or need) those goods. 3) When to switch gears from consumption lending to investment lending is definitely more art than science, and every industry has its own turning point.
When one realizes that money is simply numbers used to measure the value of goods and services...and numbers can simply be made up...the solidity of the game starts to crumble.
Oggy Oggy. Why don't YOU come up with an answer instead of someone else doing it for you? Are you that much of an idiot? You obviously have no idea about money etc. If you do some research, you may come up with a good idea. We could always go back to the Gold std where money is actually backed by a REAL asset, not thin air or taxpayers. It may not be perfect, but it is better than what there is now. It stops rampant greed for starters.
u just need to reduce regulation on banks and stop the bailing out system, let big banks fail and make it easier to open banks treat it like what it is a business
Just been sent the link to this. Really good. There is SO MUCH that the average person does not understand about finance and economics. This is just a part of it.
We live in a tape-worm economy, The largest banking cartels are like a stupendous tape-worm that consumes all the benefit that should normally go to society itself. - Foster Gamble. (THRIVE)
It's been more than 2 years that I've bought "Where Does Money Come From" which btw I read twice since and prof. Richard Werner still doesn't stop to amaze me. What a clarity.
The issue which has swept down the centuries and which will have to be fought sooner or later, is the people versus the banks. - Lord Acton I find it interesting to note that the only time Jesus was angry and used violence against anyone was the time he turned over the tables of the moneychangers and chased them out of the temple with a whip.
yes. banks use the 1% they have "on hand" to lend 100 times that and then indeed they go on to state they are worth such and such amount by utilizing your collateral for a loan as their assets and lend 100 times on that without ever having anything on hand. but hey, why cant you and me do that? becuase we are not licensed to create money out of thin air on a server somewhere. the end.
then if you take "their" money you go to jail. which was never their money, to begin with since they didnt come up with the original loaned amount, they only had to start with 1%, which was actually just deposited by a group of people just like you and me!
indeed, then they lend only for purchases and programs that benefit their friends and their corporate interests. small business loans, especially to women and minorties are nearly impossible and so the rich continue to amass wealth through debt creation for everyone else
anyone with a basic understanding of economics can tell this guys word salad doesnt really make any sense... England's economy skyrocketed in the 80s. people take out loans to start businesses. thats why the amount of money lent went up in his graph... To say that money lending went up therefore its bad is retarded
The point werner has made repeatedly, economics; as economists understand it; is the actual problem. Yes. Lending went up for small businesses to be created. Gotchu. But the point isn't that. The point is what gives a bank a license to create money out of thin air...lending isn't bad, unless your muslim, then collecting interest is actually a sin. However, what makes the banking system illegitimate is it's ability to create money from nothing in our accounts when we go get a loan and then for us to say okay, let me pay you back for money you just created into my account (free money for them) plus some interest on top set by your best buds. Modern economics is the issue here...so to refute something by stating that a further understanding of it would create less ignorance...when I am saying the axioms and premise by which that very thing exists is ignorant.
the "city of london" is outside of london, which itself may be outside of the uk as well...but it is the banking district, called cityoflondon, R.W. was referring to .
@@freydenker6335 Yes. Here's how it works. Spoiler: Banks and corporations have the voting power, elected officials must be members of medievel guilds and the UK Parliament have no legal control over the City. Pure plutocracy www.theguardian.com/commentisfree/2011/oct/31/corporation-london-city-medieval
Prof Werner asks: If banks are a simple intermediary providing a commodity-like service, why are there so few of them? For that, you will need to ask about barriers to entry of competition. The barriers in place are primarily regulatory both to establish oneself as a banking entity and also to maintain compliance. Fin-tech disruption is sneaking through and capturing some parts of the big-bank's market share but I am not sure how much.
"This [Federal Reserve Act] establishes the most gigantic trust on earth. When the President [Wilson} signs this bill, the invisible government of the monetary power will be legalized....the worst legislative crime of the ages is perpetrated by this banking and currency bill. "From now on, depressions will be scientifically created."-- Congressman Charles A. Lindbergh Sr. , 1913
That was awesome. Loaning money for financial assets instead of for productive purposes is what’s driving asset inflation and increasing inequality. The banks need to be returned to serving the public!
Brilliant insight-analysis into the mechanics of how the central-banking monopoly-franchise works. The tenets of 'free trade' neoliberalism are an economics of demand-destruction and scarcity, dehumanization and degradation, fiat dollarization and debt-peonage, tributory/tutelege dependency and subjugation, manufacture of leveraged crises, systemic destabilization, securitized austerity and impoverishment, monopoly-franchising of elite capital-privelege, laize-faire deregulation and privatization.
We must be grateful for RT for featuring economists who are mostly ignored by British media. I am not only a fan of Richard's but an ally for nearly 20 years. Indeed when I was living in the Tatton Constituency and George Osborne was made the candidate, I tried to get Richard and George together. George agreed but Richard was still in Japan and I did not succeed before I left the constituency in 2004.
14:45 Has the U.K. a finance caste ? Dr. Richard Werner (RW): Is this a trick question ? The UK doesn't have finance. The City of London has, and is not part of the UK. David Buik, Financial Commentator: Good answer, it is international. RW: The City of London is outside the United Kingdom, you know that. It's really shocking: Therefore it's also not part of the EU. Which explains - it couldn't be part of the EU, because you have to have democratic elections and the City of London doesn't [have them]. It's the _banks that have the votes_ - per staff. David Buik: That's a very useful piece of information. RW: And it is not part of the UK, because the Queen is not allowed to enter without permission. She's not the sovereign, therefore it's not part of the UK. Since 1688, since the ? foreign invasion. [I guess that refers to William of Orange] slightly edited (repetitions, filler words)
@@tomAlderweireld I'll recommend you to my expert Mr Harry Webar of financial education, he has been my broker account handler for over three months now and its been of good experience and gain
fix I was going to read it but then I discovered his book cost hundreds. I can’t bring myself to spend that much on a book but I did see his amazing documentary. I didn’t get notified of your reply. I noticed it after rewatching this. I like to watch anything with him in it over and over.
he is NOT ... this is NOT how the banking system works at all ...it is way complicated than that ...banks do take money in deposits and do make loans with them ...they only keep 10 % as rezerves at the Central BANK ...the other money is loaned out ....money is created when money is loaned out that's called CREDIT... and 100 % money is DEBT today ...FED is private and loans out money to American govermement... around 95 % people around the world don't have a clue how banking works ...
Kiril Mihaylov Sorry, but you are the idiot. Did you not understand what he said? Courts have confirmed that deposits are loans to the bank & not a deposit. And it is how the banking system works. As for the Fed, they print Federal Reserve Notes, not US dollars. Look at one. They are not backed by anything. The Fed then charges the full dollar value even if it only costs 20 cents to print plus interest. When it comes to digital currency, one will find that it is not legal tender. Look it up. When you steal digital money from a bank, one is not charged with theft of money, just commiting computer/eletronic fraud. Please do your homework. You just make yourself look silly.
The problem is that the banks have no incentive to judiciously create deposits to fund the goods and services and promissory notes that Werner describes. The bank's incentive is to create as much 'loans' as possible no matter the creditworthiness of the borrower. There are 2 reasons why the banks are incentivized to do so: 1. Loans can be created effortlessly by simply crediting the borrowers account in their electronic database. A $1000 dollar loan is no more difficult to create than a $100000000 dollar loan. 2. If the loans begin to default a systemically-important bank's bad assets will be bought with newly created reserves by the central bank. Ultimately, this leads to inflation which in effect can be thought of as a form of taxation paid by the rest of us.
No one should be amazed that all big money-center banks award their top people huge bonuses good years or bad. Every year is a "good year" when you're the one holding the money. I wish Werner had addressed that point, which has become a cornerstone of U.S. banking, along with behemoth trading units which occasionally lose huge amounts. How do they fund those losses? How do they prepare for them? Good video, for sure.
Its a Cartell, like a banana cartell or a sugar cartell. Money making should be a public service. And stabil as meter, liter and kilo/feet, gallon and pound. They manipulate its value to make it a deal.
Masters in Engineering, Going for a PHD, great GRE scores...i still had to watch this 3 times with google in the background, no wonder they can hide this stuff...
🤯 they really did succeed in keeping this info from us! Oh how sheep we have all been and may well continue! The best part was when he started looking for his pen and note pad! ...and the fact that he has one at his disposal shows he is smart to begin with! Everyday really is a school day ....again 🤯🤯
The city of London is not part of the UK. Yes, indeed, and this little nest of financial conglomerates dictate what its host, ie England itself has to do and not to do. The government supposedly govern the people of England and the city of London, being what it is govern the government and give it its marching order.
In the air transport industry, there is a similar service providers for all the airlines and airports and aircraft manufactures. This organisation is SITA
Giving banks the power to create the currency, decide who gets it and for what purpose and charge a compounding rental fee for something created by punching numbers into a keyboard...this puts a giant twist in the story of our current economy.
@fynes leigh The system has been embraced by the public because they have been brainwashed from an early age by the education system and the corporate media. University education is also part of neoliberal indoctrination.
@fynes leighIts not about doing away with numbers being used as money its about regulating and prioritizing how banks issue and allocate the publics money.
Beautifully explained for the common man to understand however there is a catch to it. If Bank approaches the individuals asking for money as loans in return of interest + Principle to be paid upon maturity then the Promissory Note & creators of money supply theory is apt. When Individuals approach Banks as consumers then the banking termonolgies used by Bank as Deposists stands good, because banks have created this system over a period of centuries where Trust, Goodwill & Value was primordially core to its banking principles, then the position of obligation is reversed as to who is in dominant position, though we understand the banking principle from this video, the evolved banking system cannot be upturned with its terminologies that easily. The large bank small bank inflation etc explained is impeccable and commendable.
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“The study of money, above all other fields in economics, is one in which complexity is used to disguise truth or to evade truth, not to reveal it.” -John Kenneth Galbraith
Actually the law is much worse.
I didn't realize the law was a field in economics.
Yeah I was going to say law as well. In fact business in general. Profit is made off what people don't know. Oh you're buying at 10%, and marking up 90%...
Too true.
Perfect 👌
This is one of the most important TH-cam videos of all time - it should be mandatory viewing for anyone in school.
The man on the right should be given the best supporting actor award. His facial expressions prove the Professor is a genius.
When i read this comment i looked and he was shaking his head in affirmation. I fell out laughing😂😂😂
I could be wrong, but it seems as if he has been edited out most of the time.
Great comment
fynes leigh - Calm down and take your meds silly. It’s only peoples opinions, you shouldn’t wish for their lives to end, that’s just wrong.
fynes leigh I’ll leave you to argue with yourself 😊
This is the smartest and most lucid professor on banking! So brilliant!
Check out Reclaim your securities on TH-cam with host Adam
He's, the bankers friend he's in favour of the debt based system
He's a shill for the bankers
Check out the money masters rise of the bankers. It's on yt.
"Brilliantly explained."
I couldn't agree more.
I’m lucky enough to be here today to watch from Sierra Leone 🇸🇱. So educative 😢
Africans are just so far behind on finance. True
Holy God, I didn't realise just how screwed we really are. No politician we elect is going to be able to fix this because so very few people actually understand how it all works, and the majority of those that do are the ones making money from it all.
Actually the federal reserve, bank of england, bank of Japan, ECB and all this super big central banks knew exactly what is going on. It is definitely their agenda to work on behalf of big business and not the SME's. If you read 'Princes of the Yen" by Richard Werner. He perfectly explains how the Bank of Japan knew before hand that their decisions are going to cause a market bubble burst. Bare in mind that these BOJ governor are all closely related to the US as they had previously served as the US ambassadors. In my opinion they were following instructions from the US. Before the end of the Soviet Union they needed Japan to be strong in order to fight communism. But once the soviet union is dead and China has dropped this hold closed economy idea. They ditched Japan.
12 U.S. Code § 411
"....The said notes shall be obligations of the United States and shall be receivable by all national and member banks and Federal reserve banks and for all taxes, customs, and other public dues. They shall be redeemed in lawful money on demand at the Treasury Department of the United States, in the city of Washington, District of Columbia, or at any Federal reserve bank."
Some say that all Central banks are interlocked, the Bank of England was created when we lost the Battle of Beechy head to rebuild the navy and funded from Italy the popes banking family at the time, the shares and stocks are owned by family's all around Europe, in many books ive read with bits on this some are right some are wrong but a picture comes to light, Swiss bank is still on Gold standard is this true ? and is it the Apex as Antony Sutton said.
i would wager corbyn will have a go of it. Just vote for whoever the right wing media and business groups are trashing and you'll be alright.
Moxon why do you think Trump gets it? My impression from outside is that he is not only a friend to rich and powerful but one of them. His key policies have been things like tax cuts for wealthy and corporations (including, even primarily banks), and reducing things like environmental regulations (again reduction of costs for corporations which people will later have to pay to clean up). Trump is also in debt to Deutsche Bank for hundreds of millions of dollars, so I doubt you will see him cracking down on banks, promoting decentralisation, etc. If you want this kind of thing I'd say you'd be better of voting for someone like Sanders, right?
I love the old man that admits defeat and is happy about it! Finally persons truly and honestly searching for the truth and not feeding their ego
One of the most financially enlightening and expository videos on TH-cam - revealing the very essence of the banking system at its core.
This may be the best and most important interview ever filmed.
Agreed.
Nah. I think it show limited insights.
@@crispinswainstonharrison9042 well enlighten us wise one
Astoundingly
informative
Prof Richard Werner should, if there is any shred of truth an justice, be the next governor of th Bank of England. We have had a Canadian lets have a German.
Sadly truth and justice do not exist in banking or politics. We can hope and pray.
Thank you for a Rosetta
0:30 Financial industry: "What is the value added?" - "There is no value added. There's value extracted." Just awesome!
12:25 Introduce bank credit guidance : "Ban bank credit for financial transactions!" - "Let them borrow money, but not from banks!" Even more awesome!
@fynes leigh I would suggest, if you did not already, to watch: th-cam.com/video/p5Ac7ap_MAY/w-d-xo.html and see where Prof. Richard Werner got his experience and first-person knowledge and what he is talking about. It is not a theory; he saw that already happened elsewhere. Then maybe this if you can spare the time: th-cam.com/video/XcGh1Dex4Yo/w-d-xo.html
Claudio D'Eugenio- if you’ve got a moment, can you explain to me where else you can borrow from if not the banks? I didn’t understand that part
@@liammorgans7329 Endowments, Pensions, Family Offices, etc... However, I actually do wonder if what he's saying is possible.
th-cam.com/video/EC0G7pY4wRE/w-d-xo.html
The most important info in this video, saved for the end.
And this too.
th-cam.com/video/LrObZ_HZZUc/w-d-xo.html
Effectively it's gonna come from banks, banks will just loan it to the entity that supposed to borrow the financial market
Prof. dr. Werner is assuredly a prominent economist of this era, and he extraordinarily explains so many facts that have been in the past shrouded in the ambiguity.
Over the past couple of years I've been coming to this video over and over, it is completely brilliant.
Same. I'm back again.
@@saltiplumz2103 😁This is creepy! was just thinking about this video yesterday and your comment shows up!
Me too. Third time back. Reading his book, where does money come from ?
Most notable quote, right at the end:
"'The City' is not part of the UK. It's international."
The rootless cosmopolitans who have no affinity to land and country. They are just locusts.
The whole implications of this legal anomaly is not clear. Surely the City of London as an international financial capital of the world was created from the success of the British Army, Royal Navy and Royal Air Force in creating the British empire. Those instruments of force and violence are part of the British state.?
As Churchill said in 1914, just prior to WWI:
“We have got all we want in territory, and our claim to be left in unmolested enjoyment of vast and splendid possessions, mainly acquired by violence, largely maintained by force, often seems less reasonable to others than to us.”
(Cited in Paul Kennedy, The Rise of Anglo-German Antagonism (London: The Ashfield Press, 1987), p. 467)
[Quoted in World Socialist Web Site: "War and Revolution: 1914-1917" (10 April 2017)]
Wow oh wow.... The way Richard Werner explains the banking systems errors and the solution to it is phenomenal! We need such great minds in such a time as this. He would make such a fantastic finance minister 👏
I am a student of one of his students, they are truly brilliant.
Actually no. Because the banks will retaliate and would not hesitate to burn a country for money.
@@AndrewManook George Tait Edwards?
I just witnessed two minds in the process of being blown! It was priceless! I'm no banker or economist (except in the sense that anyone who banks and manages money is both) but I can tell the guy on the left is speaking naked truth. The whole western system is like that. It's not based on what actually is. It's based on the hopes, drives, aspirations, ideologies and fantasies about human beings; not what we are, but what we want to believe we are. I think it's ultimately a bankrupt system that will occasionally benefit the few and frequently deprive the majority. Never the less, the majority will never swallow the red pill.
Sure it works. We "work" it everyday. And when people figure out how it works they then work it to their own benefit. I think it's ultimately bankrupt because it takes more than regulations and "mechanisms" to administer something of benefit to human beings. It takes the inclusion of human beings and all of the considerations that human beings need. If people are administering a system without those considerations, I believe it will fail them. I believe the Western system is awesome and magnificent when administered wisely. But, the system doesn't work by itself. People work it, but if people put their hopes in the system. itself, and not in the humanity of each other, what they call the system will fail them. Even more, when they integrate their greed and selfishness into that system it will ultimately fail them.
You exemplify my point.
The banker on the right is putting on a show. He already knows these things and he knows very well they shouldn't be widely known so he acts like it's all new to him. This type of fake ignorance is rampant in banking.
That's why it's called the "American Dream" because you got to be asleep to believe it
You need war To transfer the worth into weapons And Extract back resource as an exchange Of value
Man I have watched a thousand videos on the fiction of money creation but this one is by far the best. And the fact that in the UK only 5 banks control banking while in Germany it's over a thousand. I have always wondered why the financial industry is so powerful in the UK. As we would say in South Africa, "the government has been captured". This is one interview the BBC will NEVER show😔
There is no finance in the UK
@fynes leigh Youre seething
@fynes leigh , Werner has been studying the banking system in Japan, Asia, U.S., and Europe. He know what he's talking about. What are your credentials, and knowledge to be disputing the traceable facts? Why don't you watch this, and learn:
th-cam.com/video/p5Ac7ap_MAY/w-d-xo.html
Am I missing something here?? Why aren't bankers put in jail for creating money out of thin air. It's why we have the mother of all crisis climate change. This is the reason why: by creating fictional money to buy natural resources to turn into bullshit useless stuff that drive economic growth that's killing the planet.
@@nazeerahmedsonday5071 You know how they say, a person is only a criminal if caught. It's something like that. They have created a bubble so big, a pyramid scheme of epic proportions that it could last for your lifetime before it bursts. So, people just go along with it and get their share of 2-8% interests of their money. Would you rather keep your money at home for a decade and have it deprecate or put money somewhere that doubles?
Richard Werner is a genius.
One of the most important monetary and economics videos on TH-cam.
Prof. Richard Werner, what a great Interview just wow thank you for posting! He deserves a nobel prize
>'So we're stuck with speculation AND horrific property porn renovation shows'
>This host rocks
This guy is amazingly brilliant. I read his book Princes of The Yen and its so amazing. He should win the noble prize.
Credit Unions: an immensely successful "neighborhood banking system" - and established banks try to hijack it - no wonder why, after listening to the splendid deliberations of Prof. Werner. PS: Bangladesh has seen a lot of successful Credit Unions
Thanks so much for posting this! This needs to become the new common knowledge about how money really works, not just in the UK, but basically everywhere--at least in the West.
Wow... just Wow! I spent my childhood listening to my father explaining me these things and I could never grasp it so simply as I did in this video. The man is not only brilliant, he should be given more voice on serious society debates about this issues because he can really explain it all in a very simple, smooth way. I love the detail of saying that some of his expressions weren't exactly accurate, this shows he understands completly the meaning and feeling of the words, which is a very legal and balanced point of view, and he can probably translate that into actual solution working. Please, give this man some more voice, not only in UK, as for the rest of the world also.
Heres why and what to do.
Our world has 4 fundamental practices that are problematic.
If we dont understand the causes of a problem we will address the symptoms or actors, not the causes.
1st Large private and Central banks have obtained the Exclusive franchise to create ALL new Currency as Debt, at interest. An increasing population needs an increase in currency, but it is ALL created as debt bearing interest.
This indebts the whole world, every person, every government, in totally unpayable debts, enslaving us all to bankers through personal debt or ever increasing oppressive and unjust taxation, permits, licences, registrations, regulations, rates, duties, fees, fines, levies, surcharges, adinfinitum, of which an increasing volume goes straight to the debt creators, who created it for free. (At zero cost to themselves.)
2nd. Virtually no limitation plus fractional and recirculating fiat currency allows banks to effectively create massive new Currency volumes as DEBT, blowing massive bubbles (in housing/stocks) which devalues everyone's savings, work, pension by raising all prices. We call this inflation, but it's really devaluation. Shrinkflation adds to our reduction and desolation. The fix ? Go back to Sound Metalic Money and stop all banks and financial institutions loaning out more than they have on deposit, but further, DO NOT ALLOW ANYTHING BUT Metalic Money TO BE CALLED AN ASSET OR COLATERAL. Real Estate loans have been classified as collateral. That allows the bank to call the loan an asset, and sell it, or loan against it, which helps blow real estate bubbles. Return legal currency creation to national treasury departments with a zero Inflation policy.
This will not create inflation like some bankers/economists would have you think. It is not WHO creates currency that drives the constant devaluation of your work & money, it is THE VOLUME per population/ productivity. The banks increased the base currency supply by over 65 % since March 2020 & 300% since 2008. This is multiplied as real estate bubbles lever up equity to back increased loans. You can't spend it off planet, and we've had no increase in population or productivity. How can it not devalue our savings, wages and retirement funds by a similar % as it enters the economy ?
3rd. Fiat currency whether paper OR DIGITAL has no intrinsic value, thus it cannot be used as a long term store of value, particularly in an ever expanding fiat system. In fact taxation and the 'legal' currency label attached to fiat creates artificial demand for fiat currency.
The fix ?
Return to Silver, Gold, Copper & Nickle currency, designated by weight, not cents/dollars. These will find their own local value. These can't be printed to oblivion, have intrinsic value, and are a safeguard against bankers counterfeit loans. Continue to keep the manufacture of Gold & Silver rounds by private mints & foundries to help keep the government mints honest as to premiums. Do not allow bankers and economists of the current system to con you into believing there isn't enough Metalic Money. You mix 1% gold, 99% copper or Nickle and you have Gold backed currency. Same with Silver & Nickle. Mint 10th ounce, 2 10ths, 5 10ths and 1 ounce. Or grams in similar fashion. Never give it a 'value number,' which is a lie. Give it its weight & purity, and let the market decide what it will buy. Call it 'slow money," like 'slow food.' It's slower for sure, but it's 10 times better for you.
Probably necessary to nationalise mines & pay shareholders out in metals. We are aiming at a more just, more perfect union, and that requires we treat shareholders justly and make them whole while preserving a mining and exploration industry. So gently, thoughtfully, carefully on this one.
4th The 'world bank' and IMF are your friendly international arms of the Federal Reserve, who loan worthless US currency invented at zero cost to enslaved nations of people to purchase necessities, when their own commodities or worthless currency would do just as well. This ensures the indebtedness of nation's simply to survive.
Correct these 4 Principles and >80 % of a nation's problems would disappear. Do not allow your masters the Debt slave creator's to tell you it can't be done. They are not seeking your best interests, but theirs. It is easily done.
Beware. The FED, IMF, WEF wants you totally enslaved with Digital currency. Convert your garbage fiat currency into Gold and Silver or prepare for destruction. Come to think of it, you better prepare for destruction anyway. The bankers motto is : 'Preserve your Capital at all costs.' The bankers are buying Gold. We the people can afford Silver.
If only people knew / wait until people find out. That was totally Epic, and totally correct assessment of the situation and, why the Titanic was sunk. Such a shame your comment doesn't have 2.5 million views like Mr Beast
Wow, this is the most eye opening video about finance I've ever seen!
It even gives a solution to banking crises
When we "follow the money", it ultimately leads back to those who create the money - from thin air.
Only since the "nixon shock", to "solve" the "oil crisis".
There is also a fair point that using gold reserves means that the foundation of economic and political power is owned and controlled by the people who control the gold mines, who are not the nicest people in the 21st century globalised economy.
surprising how many people never asked throughout their lives what your money was backed by and how and how many bills are printed and why all these smart types, education, accountants etc etc and this is obscured. it shows most of us just go along with the flow and leave navigating to the lawyers, if I was a barrister or counselor or attorney or lawyer, for the right incentive, id lead all the non-member fish right into the catcher's net.
wow....1) I just had a real education on Finance. 2) I just witness 3 totally true gentleman ....each allowing the speaking person to speak, interrupt appropriately, no shouting, and no one trying to talk on top of the speaker. What a delightful round of interviews, lecture and conversation ...between top class human being with manners, respect and graciousness. I am overwhelmed. That is what I would called Perfect English Gentlemen. .....thank god there are still some around. And what a surprise to found it on TH-cam and RT. Thank you Alessandro Del Prete for posting. I will have to listen to it many time over to really understand the subject of banking and Fiance. Was too distracted by by their good looks , good manners, good English and good disposition. I cannot find any fault with them. Simply Brilliant. I can now go to sleep with a smile....there are still decent human being on this planet.
Only issue with your assessment is that he's German, not English. That might explain the respectful restraint. :)
Best video on finance I have ever seen. Thanks RT, thanks TH-cam, thanks Alessandro DP.
Extremely refreshing to see a discussion where the critic would actually listen.
I hope every government financial decision makers would watch this video
His two academic books are *Princes of the Yen* (bestseller in Japan) and *A New Macroeconomic Paradigm* Both are Fantastic, Fantastic books. The first talks about the whole history of banking, ECB, history of korea, German, and Japanese banking in very undestandable terms before centralling in upon Japan's 20th century history and how it was the 2nd biggest economy for the 20th century, not the USSR. The second, Macroeconomic Paradigm, explains more the economics behind it. Princes of the Yen is the best book I've read ever!
William Roberts I agree. There's also a great documentary based on Princes of the Yen available free on TH-cam.
Thanks
Thanks.
anyone with a basic understanding of economics can tell this guys word salad doesnt really make any sense... England's economy skyrocketed in the 80s. people take out loans to start businesses. thats why the amount of money lent went up in his graph... To say that money lending went up therefore its bad is retarded
I watched the doc this week! it was amazing! Have to read the books !
Watching this with the 2021 financial crash looming overhead.. This is absolutely criminal!
Amazing when someone crystallises what you always thought was wrong but couldn't identify why. Problem is that the people who should do something about it are those with least reason to do so.
'wrong' meaning you don't like it, what else?
Seems like I have to explain what wrong means. Examples- 70% of M&A destroys shareholder value, mostly driven by banks and other financial institutions. The grotesque amounts handed out in QE to " rebuild their balance sheets" Why? Only one minnow jailed for for malfeasance in the UK. Even the Americans did more. Libor. The revolving door of CEOs and their chums voting each other ever more absurd " remuneration" where in the case of say Persimmon or Thomas Cook or TSB their performance is dismal. Overall what's happened is that risk- the reason why banks exist- has been transferred to us- the outsiders. Meanwhile the banks have a blank cheque- issued by them.
Why objectively wrong? Because it erodes the trust that we all have to have to operate a decent society. Otherwise go and live in a cave in Scotland with lots of guns and MREs. But make sure that you've got more guns than anyone else because sooner or later you'll be the victim not the victor.
And the other reason- because if you have any moral compass at all you'll recognise what wrong is. As that nice Mr Stalin said when his policies caused the deaths of millions of Russians. " You cannot make omelettes without breaking eggs". His interlocutor replied " I can only see eggshells, Comrade Stalin". Naturally he was shot shortly afterwards.
i thought your icon was a bitcoin
@@billtaylor2050 Another Stalin quote you might enjoy: He was asked "When will you stop having people killed?" His answer was "When it is no longer necessary".
Wow...thanks for promoting this Mr. Morgan. Very eye opening.
...and Prof Richard Werner is not only brilliant, he is good looking, he is totally articulate, he has nice voice, he speaks gently and present his lecture without having to resort to antic or drama. I can listen to him all day. ...Hope he is the same when he is at home.
15 minutes and he'll give you an unforgettable insight into the financial system that's swallowing down the most "Aware" and "Educated" nation on the planet. I'd love him to be my teacher, infact i'll be following him for knowledge around money supply.
Brilliant Richard Werner!
Tarja Lauraeus
anyone with a basic understanding of economics can tell this guys word salad doesnt really make any sense... England's economy skyrocketed in the 80s. people take out loans to start businesses. thats why the amount of money lent went up in his graph... To say that money lending went up therefore its bad is retarded
Where are the companies that were founded? There are hardly any small and medium-sized companies in England. In Germany, the small and medium-sized companies are the backbone of the economy, creating many jobs. In England the loans went into real estate speculation (see real estate prices in Londen) and the speculation with assets. This speculation initially generates an economic boom, but when the financial bubble bursts the banks are saved with taxpayers' money and social inequality increases sharply.
alex krasnic economic prosperity occurs as a result of an increase in lending/debt. not the other way around.
The best form of regulation is a free market
Why has this not gone viral? Such an important aspect of our lives!
I would say consumption loans are not necessarily inflationary if there is a significant glut of supply or if budget constraints are too severe. The loans would then either be used to purchase that surplus inventory (which is probably being discounted since businesses want cash, not inventory) or enabling production to increase to its capacity, enabling more goods at the same price.
The catch is three-fold though. 1) Consumption loans are more common with higher income earners (since that is what the banks are lending against) who don't have significant budget constraints and thus will likely be inflationary. 2) Supply and demand may occassionally pass one another in the perpetual journey to equilibrium, but in general, when a glut is due to a shortage of purchasing power, the financial system again is less likely to loan funds to the consumers that want (or need) those goods. 3) When to switch gears from consumption lending to investment lending is definitely more art than science, and every industry has its own turning point.
Not only is his knowledge outstanding but the way he explains it all is just incredible!
Best TH-cam video I've watched all year.
Still the best 5 years later
This is the smartest guy in any room when it comes to the monetary system and how it affects the financial system.
Maybe not the “smartest”, but the most honest one! Big difference!
@@slobodanpesic2302 bravo sir, I stand corrected
When one realizes that money is simply numbers used to measure the value of goods and services...and numbers can simply be made up...the solidity of the game starts to crumble.
Right, so what would you replace it with?
Right, so what would you replace it with?
Oggy Oggy. Why don't YOU come up with an answer instead of someone else doing it for you? Are you that much of an idiot? You obviously have no idea about money etc. If you do some research, you may come up with a good idea. We could always go back to the Gold std where money is actually backed by a REAL asset, not thin air or taxpayers. It may not be perfect, but it is better than what there is now. It stops rampant greed for starters.
Oggy Oggy The replacement has been right in front of your eyes for about 9 years now.
u just need to reduce regulation on banks and stop the bailing out system, let big banks fail and make it easier to open banks treat it like what it is a business
WOW! Richard is so well spoken and brillant! I learned more from these 15 minutes than I do from my classes. Problems gonna be remembering it, lmao!
this is an excellent program other media Outlets can learn from it !!!!!!!
Just been sent the link to this. Really good. There is SO MUCH that the average person does not understand about finance and economics. This is just a part of it.
Thank you Sir for presenting this show.Not what we were taught at college
We live in a tape-worm economy, The largest banking cartels are like a stupendous tape-worm that consumes all the benefit that should normally go to society itself. - Foster Gamble. (THRIVE)
If that were true, we would see even more flagrant wealth than we do.
Great information I am suprised this Professor is still alive
It's been more than 2 years that I've bought "Where Does Money Come From" which btw I read twice since and prof. Richard Werner still doesn't stop to amaze me. What a clarity.
The issue which has swept down the centuries and which will have to be fought sooner or later, is the people versus the banks. - Lord Acton
I find it interesting to note that the only time Jesus was angry and used violence against anyone was the time he turned over the tables of the moneychangers and chased them out of the temple with a whip.
well said
yes. banks use the 1% they have "on hand" to lend 100 times that and then indeed they go on to state they are worth such and such amount by utilizing your collateral for a loan as their assets and lend 100 times on that without ever having anything on hand. but hey, why cant you and me do that? becuase we are not licensed to create money out of thin air on a server somewhere. the end.
then if you take "their" money you go to jail. which was never their money, to begin with since they didnt come up with the original loaned amount, they only had to start with 1%, which was actually just deposited by a group of people just like you and me!
indeed, then they lend only for purchases and programs that benefit their friends and their corporate interests. small business loans, especially to women and minorties are nearly impossible and so the rich continue to amass wealth through debt creation for everyone else
anyone with a basic understanding of economics can tell this guys word salad doesnt really make any sense... England's economy skyrocketed in the 80s. people take out loans to start businesses. thats why the amount of money lent went up in his graph... To say that money lending went up therefore its bad is retarded
The point werner has made repeatedly, economics; as economists understand it; is the actual problem. Yes. Lending went up for small businesses to be created. Gotchu. But the point isn't that. The point is what gives a bank a license to create money out of thin air...lending isn't bad, unless your muslim, then collecting interest is actually a sin. However, what makes the banking system illegitimate is it's ability to create money from nothing in our accounts when we go get a loan and then for us to say okay, let me pay you back for money you just created into my account (free money for them) plus some interest on top set by your best buds. Modern economics is the issue here...so to refute something by stating that a further understanding of it would create less ignorance...when I am saying the axioms and premise by which that very thing exists is ignorant.
EnergyFlowabundance
the banks do not create money..... You dont know what your talking about. The federal reserve prints money not the banks...
Clear thinking at its best. London is outside the UK it has its own rules.... a true revelation.
the "city of london" is outside of london, which itself may be outside of the uk as well...but it is the banking district, called cityoflondon, R.W. was referring to .
@@freydenker6335 Yes. Here's how it works. Spoiler: Banks and corporations have the voting power, elected officials must be members of medievel guilds and the UK Parliament have no legal control over the City. Pure plutocracy www.theguardian.com/commentisfree/2011/oct/31/corporation-london-city-medieval
Prof Werner asks: If banks are a simple intermediary providing a commodity-like service, why are there so few of them? For that, you will need to ask about barriers to entry of competition. The barriers in place are primarily regulatory both to establish oneself as a banking entity and also to maintain compliance. Fin-tech disruption is sneaking through and capturing some parts of the big-bank's market share but I am not sure how much.
Great interview
Great dr. Werner...
"This [Federal Reserve Act] establishes the most gigantic trust on
earth. When the President [Wilson} signs this bill, the invisible government of
the monetary power will be legalized....the worst legislative crime of the ages
is perpetrated by this banking and currency bill. "From now on, depressions will be scientifically created."-- Congressman Charles A. Lindbergh Sr. , 1913
and here we are
Outstanding. Thank you for uploading this.
That was awesome. Loaning money for financial assets instead of for productive purposes is what’s driving asset inflation and increasing inequality. The banks need to be returned to serving the public!
Brilliant insight-analysis into the mechanics of how the central-banking monopoly-franchise works. The tenets of 'free trade' neoliberalism are an economics of demand-destruction and scarcity, dehumanization and degradation, fiat dollarization and debt-peonage, tributory/tutelege dependency and subjugation, manufacture of leveraged crises, systemic destabilization, securitized austerity and impoverishment, monopoly-franchising of elite capital-privelege, laize-faire deregulation and privatization.
Actually, one of the most useful vids on youtube.
Prof Werner nails it. If I have a univ, I would like him to teach in my univ.
They create money out of thin air, and I work my ass off to pay it back. Very insightful indeed.
Excellent post. Thanks for including the link to the full video.
We must be grateful for RT for featuring economists who are mostly ignored by British media. I am not only a fan of Richard's but an ally for nearly 20 years. Indeed when I was living in the Tatton Constituency and George Osborne was made the candidate, I tried to get Richard and George together. George agreed but Richard was still in Japan and I did not succeed before I left the constituency in 2004.
The best video on you tube!
14:45 Has the U.K. a finance caste ? Dr. Richard Werner (RW): Is this a trick question ? The UK doesn't have finance. The City of London has, and is not part of the UK.
David Buik, Financial Commentator: Good answer, it is international.
RW: The City of London is outside the United Kingdom, you know that. It's really shocking: Therefore it's also not part of the EU. Which explains - it couldn't be part of the EU, because you have to have democratic elections and the City of London doesn't [have them].
It's the _banks that have the votes_ - per staff.
David Buik: That's a very useful piece of information.
RW: And it is not part of the UK, because the Queen is not allowed to enter without permission. She's not the sovereign, therefore it's not part of the UK. Since 1688, since the ? foreign invasion.
[I guess that refers to William of Orange]
slightly edited (repetitions, filler words)
Investing rightly today can save you a whole lot of stress in the nearest future
I invested in both stock and Cryptocurrency, but I see crypto doing more better and profitable to me
Yeah no doubt the crypto market has earned me a lot you just got to understand the market
I've got interest in investing but afraid of doing it on my own to avoid loss from my end
@@tomAlderweireld That's why you need the help of a professional who understand the market and how it works very well
@@tomAlderweireld I'll recommend you to my expert Mr Harry Webar of financial education, he has been my broker account handler for over three months now and its been of good experience and gain
Omg, this is so spot on.
Can't believe prof werner hasn't yet been take out by the powers that be. Stay safe professor!
Thank you for sharing! Prof Werner is so brilliant. I just learned a lot of valuable things just now.
This is absolutely brilliant 👏
Wow, I wish i could add a few more likes to this
Oh my god. Richard Werner is a genius.
He is. You should read his "Princes of the Yen" book. Its brilliant and shocking.
fix I was going to read it but then I discovered his book cost hundreds. I can’t bring myself to spend that much on a book but I did see his amazing documentary. I didn’t get notified of your reply. I noticed it after rewatching this. I like to watch anything with him in it over and over.
he is NOT ... this is NOT how the banking system works at all ...it is way complicated than that ...banks do take money in deposits and do make loans with them ...they only keep 10 % as rezerves at the Central BANK ...the other money is loaned out ....money is created when money is loaned out that's called CREDIT... and 100 % money is DEBT today ...FED is private and loans out money to American govermement... around 95 % people around the world don't have a clue how banking works ...
Kiril Mihaylov Sorry, but you are the idiot. Did you not understand what he said? Courts have confirmed that deposits are loans to the bank & not a deposit. And it is how the banking system works. As for the Fed, they print Federal Reserve Notes, not US dollars. Look at one. They are not backed by anything. The Fed then charges the full dollar value even if it only costs 20 cents to print plus interest. When it comes to digital currency, one will find that it is not legal tender. Look it up. When you steal digital money from a bank, one is not charged with theft of money, just commiting computer/eletronic fraud. Please do your homework. You just make yourself look silly.
Wow !! This truly is eye opening. Why not make him Chancellor of Exchequer ? Not going to happen.... wonder why?
The problem is that the banks have no incentive to judiciously create deposits to fund the goods and services and promissory notes that Werner describes. The bank's incentive is to create as much 'loans' as possible no matter the creditworthiness of the borrower. There are 2 reasons why the banks are incentivized to do so: 1. Loans can be created effortlessly by simply crediting the borrowers account in their electronic database. A $1000 dollar loan is no more difficult to create than a $100000000 dollar loan. 2. If the loans begin to default a systemically-important bank's bad assets will be bought with newly created reserves by the central bank. Ultimately, this leads to inflation which in effect can be thought of as a form of taxation paid by the rest of us.
No one should be amazed that all big money-center banks award their top people huge bonuses good years or bad. Every year is a "good year" when you're the one holding the money. I wish Werner had addressed that point, which has become a cornerstone of U.S. banking, along with behemoth trading units which occasionally lose huge amounts. How do they fund those losses? How do they prepare for them? Good video, for sure.
Its a Cartell, like a banana cartell or a sugar cartell. Money making should be a public service. And stabil as meter, liter and kilo/feet, gallon and pound. They manipulate its value to make it a deal.
Masters in Engineering, Going for a PHD, great GRE scores...i still had to watch this 3 times with google in the background, no wonder they can hide this stuff...
any intelligent person would conclude banking and economics is complete convoluted horse shit designed to confuse and enslave.
Errrr... there is nothing complex about what is being discussed, you must never read general news and especially not financial news
@@numbereight886 once you get it...true...
Masters in Engineering as well.!!
I am American and often moaned about our banking system.
Well, apparently the U.K. has it worst than us😱
Excellent commentary and summation. I really enjoyed this video.
Feckin' brilliant. Richard Werner is "A Man for All Seasons" This needs airing now (the Hour grows late!) more than ever!
Thank you Alessandro for sharing such a fantastic interview, really important information in there that not many are aware of 👍
My pleasure. I always try to do what I can to share what I learn.
That’s great Alessandro!
You might then be interested in this other video as well: th-cam.com/video/6288YPnqPhE/w-d-xo.html
👍
Werner's entire brilliant argument proves why Bitcoin is so valuable, and the future.
Proof of WORK will outlast all.
🤯 they really did succeed in keeping this info from us! Oh how sheep we have all been and may well continue!
The best part was when he started looking for his pen and note pad! ...and the fact that he has one at his disposal shows he is smart to begin with! Everyday really is a school day
....again 🤯🤯
Excellent explanation, thank you.
wow. great interview!
Somebody please protect this guy lol
I appreciate the professionalism of everyone in this video
Excellent, thanks.
At 8:25 he says "I don't know the answer to that" and I just can't stop laughing.
He has no clue.
The city of London is not part of the UK. Yes, indeed, and this little nest of financial conglomerates dictate what its host, ie England itself has to do and not to do. The government supposedly govern the people of England and the city of London, being what it is govern the government and give it its marching order.
Brilliant, thank you.
In the air transport industry, there is a similar service providers for all the airlines and airports and aircraft manufactures. This organisation is SITA
Thats really a great interview.
Giving banks the power to create the currency, decide who gets it and for what purpose and charge a compounding rental fee for something created by punching numbers into a keyboard...this puts a giant twist in the story of our current economy.
Summondadrummin even more so when you realize who creates the securities
@fynes leigh The system has been embraced by the public because they have been brainwashed from an early age by the education system and the corporate media. University education is also part of neoliberal indoctrination.
Summondadrummin this is nothing new
@fynes leighIts not about doing away with numbers being used as money its about regulating and prioritizing how banks issue and allocate the publics money.
@@RobertMJohnsonWhat would be new is a significant minority knowing how it works and what can be done to regulate banks.
Really informative and well explained simple principles of banking system
These moving camera angles and motion shots are amazing
This is fantastic, sad though that we need a Russian broadcaster to produce it/make it available...
Now do central banks.
This definitely needs to be seen by so many more people!
Beautifully explained for the common man to understand however there is a catch to it. If Bank approaches the individuals asking for money as loans in return of interest + Principle to be paid upon maturity then the Promissory Note & creators of money supply theory is apt. When Individuals approach Banks as consumers then the banking termonolgies used by Bank as Deposists stands good, because banks have created this system over a period of centuries where Trust, Goodwill & Value was primordially core to its banking principles, then the position of obligation is reversed as to who is in dominant position, though we understand the banking principle from this video, the evolved banking system cannot be upturned with its terminologies that easily. The large bank small bank inflation etc explained is impeccable and commendable.