money system

[Maverick]

ok I was wondering....... this seems like a stupid question but here goes

I live in Canada and we are billons in debt like the USA.... We donate 80 millon bucks to tsunami fund........ why are we in debt ? and why would donating any money be a problem if the goverment can just print up any amount of money they want and pay off the debt and send money to help the tsunami victims.

I have heard that the goverment does not control the federal mint, it is the banks that control that (they are the ones that are in control and use the goverment as a puppet) otherwise known as NWO (New World Order) blah blah blah

Maybe it is different in Canada but we have the same money system as the USA I am assuming.

Any thoughts ?

 

[flex229]

short answer: if a country were to print unlimited amounts of money, inflation would take over, and our money would be worth nothing eventually...

 

[Maverick]

but how ? I think that is what they want you to think

 

[WODIN]

Mikeboy604 if you have 100,000,000.00 dollars are you going to sweat paying 100.00 for a steak?

 

[WODIN]

The Canadian Currency, like the US, or anyother country that uses central banking is a fiat currency. Meaning that only the good will and faith of the people back the currency.

Any country that uses a central banking system will never be out of debt. Ever.

 

[*MissFit*]

Hmm with out the monetary incentive we have in society very few ppl would work to their full potnetial. most people do not work because they want too, but because they have to in order to survive.. kind of like survival of the fittest.

If we could print whatever money we wanted, not only would it create one big mess of lazy assed ppl but, it would also cause ppl to lose the drive to work or succeed. There would be no need if money was just there

 

[Maverick]

Im not saying that we (as in ourselves) should have the access to print money.......... but why wouldn't the goverment print the 80 millon dollars that we are donating to the tsunami fund. then it would not put us more in debt !!!

since money is only worth what they print on the bills, it costs cents to make but it can be worth millons

 

[Scotsman]

Im not saying that we (as in ourselves) should have the access to print money.......... but why wouldn't the goverment print the 80 millon dollars that we are donating to the tsunami fund. then it would not put us more in debt !!!

since money is only worth what they print on the bills, it costs cents to make but it can be worth millons

Money isn't worth what it's printed. It is worth whatever the backer is worth. The us dollar is backed by the value of the us labor force. Hence the decline in the value of the dollar with the rise in unemployment. Originally the dollar was backed by gold, or the gold standard, which gave each dollar a precise weight amount in gold bullion. Thus the reason that the majority of gold owned by the US is in fort knox. So any debt owed by the us was payable in gold or gold standard(paper notes). Now that we are off the gold standard it is much more of a sliding scale. Also the debt that always gets brought up is the money owed back to the us populace by the government. They have taken a certain perctentage of income(taxes) to use for day to day operation of the us, but they borrow money from banks against the gross domestic product of the american workforce. This is like someone using a credit card in your name, you aren't spending the money but you are responsible for it. This is why when there is a period of surplus the government reinvests money in the us people(ie tax surplus refunds). Only once in the history of the US has there been such a surplus and the nation prospered accordingly. Now that spending far exceeds taxation the government borrows money from large lender banks(chase manhattan, et al.) against our tax payments. So with the shrinking workforce and increased spending you can see why the national debt has increased so much.

Cheers,
Scotsman

 

[Deterass]

short answer: if a country were to print unlimited amounts of money, inflation would take over, and our money would be worth nothing eventually...

nuff said^^^^^^^^^^

 

[Razorguns]

i wonder if people knew just how much fraud is performed globally during the fancy subtle electronic bank transactions between foreign banks. Especialy in some of the smaller islands and countries. Bank A electronically tells Bank B that it has deposted $24 million electronically to it's system (thru some wired communication code). What's to ensure Bank A actually credits it's own database 24 million aftewards? Nothing.

Remember the HUGE british bank fiasco a few years ago when some bankers were busted with HUGE fraudulent trasnactions? The whole bank got shut down.

 

[bran987]

razorguns lol