… did you not get your fill during your 14 years as “our” RBNZ Governor?
I have just posed a question to Bruce Cotterill as to why he didn’t quiz Mr Brash – in actual fact, the answer is self-evident anyway, given who this “reporter” is employed by.
The long and the short – I don’t give this comment a snowball’s chance in hell of being aired, as this site has a record of binning questions that forthrightly challenge the status quo (AKA echo chamber) when it comes to financial matters.
I will simply post it here as an open letter and see what comes out in the wash…
Posted as a comment (effectively an open letter) this morning on the article BRUCE COTTERILL interviewing DON BRASH.
What a shame Bruce, that you didn’t take the opportunity to quiz Mr Brash on the fact that 90% of NZ’s monetary and fiscal problems, as well as our completely outrageous real estate prices, are caused by two very simple phenomenale phenomena:
- Orthodox Western economic theory is based on totally false maxims that completely ignore the way that money is created. This is largely what creates asset bubbles as this system fails to create liquidity for the real economy in order for it to thrive and avoid debilitating inflation which is a blatant tax on the 99% in favour of the 1%.
- The Central banking industry of the Western world, including of course the RBNZ, base their policy on the BIS (Bank for International Settlements) playbook – NZ is a fully paid-up member (one of 62) of this financial club. This is a predatory system which is all about feathering the nests of the wealthiest 0.1% of global plutocrats and has been in vogue since the BIS was set up in Basel Switzerland with the initial purpose of laundering Nazi war loot.
The simple fact is that no country in the world needs to borrow from abroad or from the private sector. All levels of banking can be conducted as a public utility where no interest goes to third parties and instead remains as liquidity and capital within the national or local economy, and available for whatever project is undertaken. For infrastructure this results in overall cost savings of at least 50-75% over a 30-year period.
Often for infrastructural projects the wealth and income generated from it can be immediate and when the job gets completed 10-20 years earlier this is another massive cost saving that must be factored in.
If the initial funding is created by the State as credit then the project can begin almost immediately after it gets the green light – it quickly becomes a source of valuable wealth creation for the nation, creating jobs, liquidity, increasing money velocity, and building a healthy component of productivity into the real economy, rather than feeding asset bubbles that are inflationary in nature and which only feed the FIRE (Finance Insurance Real Estate) economy.
This is all about the difference between industrial capitalism and financial capitalism – the former is both productive and non-inflationary – the latter is parasitic and inflationary. We have a simple choice here, continue with a system that rewards the 0.1% of the population which is the kleptocracy that the global central banking network supports, or change to a system where banking is run largely as a public utility which benefits the 99.9%.
Mr Brash loves the status quo – no surprise there, as he cut his teeth with the World Bank, one of the biggest culprits* within this parasitic global cabal, after which he enjoyed a long career as a central banker – within the very devil’s lair itself.
*(Read the book “Confessions of an Economic Hitman” if you want to find out about the predatory shenanigans of predatory constructs like the World Bank and the International Monetary Fund (IMF).
Imagine the millions of extra profits that are being sucked out of the NZ economy and promptly disappearing overseas as our interest rate hikes play havoc with our entire economy. There is no justification for these foreign-owned commercial banks to be able to thieve from our economy – these loans were all created out of thin air as ledger entries when they were made – the money never existed in the first place, it was simply loaned into existence – now because of interest rate hikes, which incidentally are the worst possible way to address inflation, ten’s of millions of dollars worth of potential liquidity are sucked out of an already struggling economy.
Rolling Stone’s Matt Taibbi famously called Goldman Sachs the “great vampire squid wrapped around the face of humanity, relentlessly jamming its blood funnel into anything that smells like money.” Turns out Nazi cartoonists came up with that image first. The simple truth is that this journalist’s description of Goldman ‘Sucks’ could just as easily be levelled at the entire Western central banking industry – it’s an even more monstrous bloodsucking squid than GS!
The biggest component of this perpetual con is the way in which our money supply comes into being. It does not originate from leveraged deposits, nor is it borrowed from third parties such as central banks – it is created out of thin air by the parasitic privately owned commercial banking industry. (Search up Richard Werner How Money Is Created)
Western financial systems make zero acknowledgement that the vast majority – (typically around 97% of the money supply in Western countries is created in this way) and that it is therefore the commercial banks which control the direction of liquidity in our economy. It is a no-brainer that most of this is advanced on existing assets and hence the inflationary and bubble-blowing reality we witness at the direct expense of the productive economy.
The science* of economics is a complete crock, at least in Western circles, just as it was when I studied it at University in the early 70s. I have spent thousands of hours revisiting the subject, and I am absolutely appalled at the extent of the lies that this discipline propagates and how it supports hand in glove, the utterly parasitic global central banking industry.
* (I use this word in the broadest possible sense – there is no way this is a science – all of the fundamental maxims are fictional nonsense)
For Mr Brash to express concern at the tragic plight of so many Kiwis being disenfranchised and completely shut out of the property market because of contrived central bank bubble blowing is as disingenuous as it is hypocritical. I am disappointed that you didn’t take him to task on any of these points.