Fractional reserve banking india - Need Advice.

few points 1.) you mean to say that tomorrow if i have a property worth 50 Lakh , and if say we implement global currency(GC) , and they say 50rs = 1 GC , then my property becomes 1 Lakh , and produces becomes halved etc ? am i right ? how exactly they can equate so many varied currency to GC will be interesting to see , but thats just a fantasy right ? Iran / Pak and many other countries wont oblige. even india i think2.) when cash is created at rate of say 1:9 ( but i think its much more) , whatever increase in interest rate , for eg 10% of the said amount will not be enough to get back the excess right ?3.) 0% interest ? But then by this , any amount lended will be pure of creation without no holds , i mean by my understanding , the system works that even if all the money is collected , the interest are the ones which will ultimately help the banks , if all the amount is withdrawn or can i say if banks become solvency , interest are the ones which might save a bank ? But i even saw that in such FRB , even 20% fall will result in exponential loss to the banks (levarage)4.) If great economist have seen this very simple exponential , inflation-defaltion cycle and no ending to debts accumulated , why wasnt it opposed ? a simple super computer simulation could yield result for the next 100 years or so , if this model is allowed to be followed .. right ?5.) Is there any alternative to the current economy ? or we have to switch to more revolutionized Venus Project ?ohh , and thanks for the reply 😀
 
1) even if ur propery is valued at 1lakh in new currency, u have to understand so will everything esle. eg tomatoes which now sell for 20rs/kilo will be valued @ 2 in the new currency. so assuming the switchover happens properly the overall value shud remain more or less same(denomination will change).pak n iran are irrelevant and so are other like them !!! as far a india is concerned the BRIC countries already made a joint statement in 2011 calling for new currency !! russia has a official stand of including rupee,rouble, yuan in the SDR. so india is quite open to it.2) yes3)the interest alone cannot help the banks. eg citigroup is levered so high that a 5% fall in valuation(of held loans) will trigger them bankrupt. unofficially they are bankrupt. the only reason they exist is because of change in accounting. eg say they have an asset (e.g a home loan portfolio or bonds)valued @ 100 when bought. now say the valuation is 90. so the accounting books shud show a loss of 10. previously they used to consider the actual value everytime it changed and thus their own worth. its called mark to market. meaning u mark ur portfolio to the actual market value. after the housing collapse they forced the govt to change the rules. now they simply mark the portfolio to watever they please !!! (yes u read it right). the only time they need to mark it to actual value is when they sell it or it matures !!. so voila !!! no more losses !!!!!!! money can buy u everything dude. even ur own rules ! its called mark to fantasy !4)i don't knw if any1 has done any super computing models ! economists always tght they can control everything thru interest rates n money supply and we will be in endless cycles of inflation and deflation in a perfect world.5)i have no idea how on earth can any1 implement the Venus project. looks more like a fantasy world !
 
You must understand that fractional reserve is a fraud.It will collpase one day and in 2008 it was the begining of the end.
secondly banks only create princple via fractional reserve.How do you pay the interest?
the central bank has to perpetually increase the money supply so rs100 in 1950 would have used for food for 1 month but now for rs 100 you cant even order a pizza.

watch the money masters if you have the patience.it is 3.5 hrs long but tells everything about money from roman empire to now.

The govt does not print money but borrows money at interest.It issues bonds.

lincoln issued govt currency known as greenback to fund the civil war and was assassinated.

The Money Masters

FAQs

USA fought 5 central banks.during 1836-1912 USA didnt even have a central bank and it became the most powerful country that time.It was the envy of the world.


The plan is for the one world fascist govt and a one world digital currency.if you rebel your chip is switched off.
welcome to the new world order.
 
So mathematically we need to hit one point where there cant be more expotential expansion as it doesnt equate to real world backing to it right ?Do we have a time frame ? or bankers will extend it anther X no of years ?If this is so openly known , what are the counter arguments ? Even though many media outlet are controlled by banks , but cant the educated scholars see through this nonsense ?Thanks for all the replies guys..
 
So mathematically we need to hit one point where there cant be more expotential expansion as it doesnt equate to real world backing to it right ?Do we have a time frame ? or bankers will extend it anther X no of years ?

If this is so openly known , what are the counter arguments ? Even though many media outlet are controlled by banks , but cant the educated scholars see through this nonsense ?

Thanks for all the replies guys..
the point will definitely come. it cud easily extend for a decade or even more. i havea weird feeling it will begin with the collapse of the euro. too many ppl are obsessed about the dollar. but my question to u is what makes u think they want to stop it from happening?? artificially created crises is a time proven way to transfer wealth from many to few.
there are many economists who have been shouting for years about this madness. but they never get any airtime on tv. they mostly write articles on online sites etc. how many of the general public really take the effort to read blogs/ articles? all they care and believe is what is shown on the idiot box. they all deserved to be screwed anyways ! dumasses. why have any sympathy for them!
come over to the dark side ...bwaahahahaha
 
You must understand that fractional reserve is a fraud.It will collpase one day and in 2008 it was the begining of the end.
secondly banks only create princple via fractional reserve.How do you pay the interest?
the central bank has to perpetually increase the money supply so rs100 in 1950 would have used for food for 1 month but now for rs 100 you cant even order a pizza.

watch the money masters if you have the patience.it is 3.5 hrs long but tells everything about money from roman empire to now.

The govt does not print money but borrows money at interest.It issues bonds.

lincoln issued govt currency known as greenback to fund the civil war and was assassinated.

The Money Masters

FAQs

USA fought 5 central banks.during 1836-1912 USA didnt even have a central bank and it became the most powerful country that time.It was the envy of the world.


The plan is for the one world fascist govt and a one world digital currency.if you rebel your chip is switched off.
welcome to the new world order.

Thank god i bumped into this thread!!!
I thought i was the only one in India talking about the NWO lol .. getting back to the topic..I have 2 questions
1) Is the Reserve bank of India a private bank just like the Federal reserve of america and the bank of england of UK ..does the RBI "loan" out the money to the Indian government .. because wikipedia says the RBI is owned by the government.


2) i know about the fractional reserve banking but but .. my question here is ..

They say the problem with FRB is that "where does the money to pay back for the interest come from??" ... my doubt here is .. say the government borrows 1000 rs from the central bank ... now the government has to pay back rs1000+interest on it right?
So if theres only rs1000 in the economy then where does the money for the interest come from.. i understood that but my doubt here is -- in this era of globalization the government does trade with foreign governments right? it does invest in other stuff and trade a lot of things right? .. could it not be possible that the government gains a profit from the trading/investing and use THAT profit to pay back the interest??? ...

I might be wrong here. i know very little about economics but i would love to learn .. thats why im here ..so im sorry if I sound stupid 😛

Thank you 🙂
 

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