I'm old enough to remember when we had smaller banks and building societies. They've all been bought up. What's the difference between a bank and a building society?
@@wernereconomics Thanks for your response. Really good to see you're using a DAO. Are you also looking into using btc as part of the enabling sovereign wealth or only fiat currencies?
Only 1% of the population understands that private banks create all money (NOT government). We cannot succeed in abolishing the bank-created money scam until millions more people learn of its existence. Unfortunately, Werner wants to continue the bank-created money scam, but with some modest reforms (community banking). Why doesn't he want to abolish bank-created money altogether and return to the principles of a debt-free, interest-free money system?
Professor, here in the North West of Tasmania Australia we call this "the 180° rule" that not only works with economics but most mainstream narratives. We think it's reliable and give us the best first approximation and indeed many times it reveals the truth. 😂
Hello Prof. Werner, thanks for this series of videos (Part 1 thru 4) ... I thoroughly enjoyed them. I do have two questions about our current banking system. First, why is the charging of interest allowed? No one less than Aristotle saw interest on money as being wrong since money cannot reproduce, like fruit or animals. Secondly, why shouldn't the banking system should be ran solely by the government? Didn't Germany do this in pre-WWII in order to get out from under the private international banking system and gold standard?
Interest need not be outlawed if the people are incharge of the money creation mechanism. Werner's work clearly shows that money, when handled correctly, fosters production. Interest motivates banks to lend, therefore it is not the evil that it is made out to be. Personally, I redefine "usury" as ill gotten gains from monetary manipulation, without productivity, which could include interest in certain situations. Usury, in this case, should be criminal, yet interest is not usury by default.
I'm all in into cooperative banks, but I also think they could work without bank credit creation. We could have a public money created by a public institution and then let banks lend savings.
So let the government spend without consequence? Hope you like inflation... And have banks only lend what's removed from the economy? Hope you like very little growth...
@@GamezGuru1 I don't think there is a problem as long as there is no systemic risk. If people choose freely to hold bank deposits with the real risk they onvokve then let it be. Indeed we may not want infinite growth but rearrange the economic activity so it serves real needs and not materialist addictions from the rich. And I believe there can be a diversity of currencies where a public one has all the right to be. I think that there could be a good public currency if there are alfernatives like cash, bank money, social currencies and foreign currencies available. This would force them to be as good as possible and thus have no inflation. I dont think ot is possible to do without them for many reasons, one dealing with private money destruction in times of crisis and two having some stable amount around created free of debr so that debt repayment becomes much easier. Anyway, good points.
I like Prof Werner and agree that we need community banks, however growth is limited. We’re on a finite planet and growth is limited by the availability of material resources and in many areas such as biodiversity loss and climate change we are already operating beyond a sustainable level of resource use.
Like he said, growth doesn't need to be environmentally taxing. For example you can create an online game where people are willing to pay to have fun, or a service to match mentees and mentors, and now on the whole the economy has grown and become better off with that one more game/service without any extra harm to the environment.
Ok, so as an investor in banks ( Canadian), what will happen if and when central banks force the end of our banks. Will the value of shares just go to zero? Dividends stop, just like that? What sort of reaction will this provoke from individual investors and institutional investors like pension funds?
It's already happening - look at silicon valley or signature bank (there are others) that have failed in this rate cycle. Depositors lost money above the government insured amount. Given how all the banks and pension/hedge funds are all linked together, the systemic risk is high
Werner supports continuing the bank-created money scam that enslaves humans to debt bondage for eternity. A better solution would be the abolition of bank-created money altogether, and a return to the principles of a debt-free, interest-free money system.
In all bank-created money schemes, there is never enough money to repay all the debt. This is because banks only create the original principal sum, but never the additional interest that is due. Richard Werner's "community banking" idea does NOT solve this problem; Community banking condemns us to eternal debt-slavery to legalized-counterfeiters. This is the moral equivalent of treating slaves more humanely rather than abolishing slavery altogether!
Where do you think the interest goes? It doesn't just disappear. It is used to pay salaries, fees, and resulting dividend is paid out to shareholders that in turn spend it on buying goods and services. The principal is created and, if it is repaid, destroyed. The interest is paid to the bank (like any business the bank has to make a 'profit'), the bank provided a service and the business has to pay for it (i.e interest). The bankers use their salaries to pay for their mortgages, families, etc. (just like any employee does). Just because the person is a banker doesn't mean they aren't entitled to make a living. - Oliver
@@wernereconomics Please clarify something: In Werner's community banking model, does the government force us to use bank the created money to pay taxes, fines, and fees? YES OR NO. Does anyone else have the ability to create money, or is this monopoly privilege reserved only for community banks? YES OR NO? If the monopoly on money creation is given to private banks by a government that forces us at gunpoint to use this bank-created money, then bankers have no moral right to "make a living" from the forced-indebtedness of the masses. The banker's salaries are stolen from us. Also, you dodged my original point: When money is created by debt, there is never enough money in circulation to repay all the loans. This leads to perpetual debt-bondage to the money creators! Do the math yourself: x = money supply, y = debt plus interest due. Y is always much larger than x. If the total money supply is x, how is it possible to repay y? A real life example of this is the debt to money ratio in the USA: today there is a $23 trillion money supply compared to $85 trillion in total debt principal (not including the additional interest that is due). If we all tried to repay our debts at once, we would be $63 trillion dollar short! This makes it mathematically impossible for all of us to repay our debts to the parasitic bankers. This makes the debt PERPETUAL. The same thing must happen with any debt-based money system, including Werner's community banking model. It is a recipe for endless debt-enslavement to parasitic bankers. I wish professor Werner could address these vital issues instead of delegating responses to you.
@@widehotep9257 He doesn't delegate responses, I manage the channel with him. I see the issue here... You misunderstand credit creation, productive credit creation, and community banking. A community bank creates new money for productive purposes -> new money used to create additional goods or services -> GDP growth & business makes a profit -> business repay loans and interest (it has earned the money from selling the goods or services) -> money destroyed (so no inflation) -> profit made by bank to pay bankers salary -> banker goes to shop to purchase goods sold by the businesses who take productive loans -> that interest has now gone into the hands of the business owner in return for the goods that he was able to produce thanks to the loan. Banks provide a service just like any other business. Just because they are creating (and destroying) money doesn't mean they are villains - the power to create and destroy money can be used for productive purposes to help local businesses (i.e what community banks do). Not all debt is productive, most of it is unproductive. We are against unproductive bank credit creation as it leads to boom/bust cycles, we are for productive credit creation that results in healthy economic growth without inflation. Community bankers are not 'stealing wealth' or forcing indebtedness. They boost employment and equality, and are hubs for local economic growth. I hope this helps. Oliver
@@wernereconomics You are an expert at dodging direct questions. I will ask again: 1) Under Werner's plan, does the government force us at gunpoint to use bank-created money to pay for taxes fines and fees? 2) Under Werner's plan, do any other entities other than banks have the power to create money?
@@widehotep9257 ) Under Werner's plan, does the government force us at gunpoint to use bank-created money to pay for taxes fines and fees? Werner does support taxes but he also supports local currency initiatives, so yes and no. Under Werner's plan, do any other entities other than banks have the power to create money? Yes.
But the 0.1% that is becoming too powerful will find new ways to break anything that's decentralised. Be it energy, finance, politics or religion, they would like it all centralized. How would any regular individual from the 99% play against this.?
This entire presentation was exceptional! Very straight forward and easy to understand. Thank you for putting these videos up, Prof. Werner!
Please release the full video guys this is so intriguing
This is the final part of the talk. Parts 1-3 can be found on the channel. I'm glad you enjoyed it!
Excellent Prof. Thank you 👍🙏❤️
Prof. Werner could you have a word with kwasi kwarteng? He has had a rough first few days on the job.
I'm old enough to remember when we had smaller banks and building societies. They've all been bought up. What's the difference between a bank and a building society?
These ideas are great but the question is not what would work, it's how could you possibly motivate the world to move towards this outcome?
The most pivotal question, if anything has to progress further, how do we incentivise the masses to go in the desired direction. 🙏🏽
Check out our efforts to do this: ValhallaNetwork.io (a DAO that will establish and own the banking system of community banks).
@@wernereconomics Thanks for your response. Really good to see you're using a DAO. Are you also looking into using btc as part of the enabling sovereign wealth or only fiat currencies?
Only 1% of the population understands that private banks create all money (NOT government). We cannot succeed in abolishing the bank-created money scam until millions more people learn of its existence. Unfortunately, Werner wants to continue the bank-created money scam, but with some modest reforms (community banking). Why doesn't he want to abolish bank-created money altogether and return to the principles of a debt-free, interest-free money system?
@@wernereconomics how does your DAO-community bank get permission to create money into the ‘system’?
Thank you!!! The next thing is what's the business model of successful community banks?
Professor, here in the North West of Tasmania Australia we call this "the 180° rule" that not only works with economics but most mainstream narratives. We think it's reliable and give us the best first approximation and indeed many times it reveals the truth. 😂
Hello Prof. Werner, thanks for this series of videos (Part 1 thru 4) ... I thoroughly enjoyed them. I do have two questions about our current banking system. First, why is the charging of interest allowed? No one less than Aristotle saw interest on money as being wrong since money cannot reproduce, like fruit or animals. Secondly, why shouldn't the banking system should be ran solely by the government? Didn't Germany do this in pre-WWII in order to get out from under the private international banking system and gold standard?
Interest need not be outlawed if the people are incharge of the money creation mechanism.
Werner's work clearly shows that money, when handled correctly, fosters production. Interest motivates banks to lend, therefore it is not the evil that it is made out to be.
Personally, I redefine "usury" as ill gotten gains from monetary manipulation, without productivity, which could include interest in certain situations. Usury, in this case, should be criminal, yet interest is not usury by default.
Stay safe, Richard!
I'm all in into cooperative banks, but I also think they could work without bank credit creation. We could have a public money created by a public institution and then let banks lend savings.
So let the government spend without consequence? Hope you like inflation...
And have banks only lend what's removed from the economy? Hope you like very little growth...
@@GamezGuru1 I don't think there is a problem as long as there is no systemic risk. If people choose freely to hold bank deposits with the real risk they onvokve then let it be. Indeed we may not want infinite growth but rearrange the economic activity so it serves real needs and not materialist addictions from the rich. And I believe there can be a diversity of currencies where a public one has all the right to be. I think that there could be a good public currency if there are alfernatives like cash, bank money, social currencies and foreign currencies available. This would force them to be as good as possible and thus have no inflation. I dont think ot is possible to do without them for many reasons, one dealing with private money destruction in times of crisis and two having some stable amount around created free of debr so that debt repayment becomes much easier. Anyway, good points.
Viva!
Bank of Dave!
I like Prof Werner and agree that we need community banks, however growth is limited. We’re on a finite planet and growth is limited by the availability of material resources and in many areas such as biodiversity loss and climate change we are already operating beyond a sustainable level of resource use.
Like he said, growth doesn't need to be environmentally taxing. For example you can create an online game where people are willing to pay to have fun, or a service to match mentees and mentors, and now on the whole the economy has grown and become better off with that one more game/service without any extra harm to the environment.
He never says growth is unltd, so what's your point?
Thank you very much sir
Ok, so as an investor in banks ( Canadian), what will happen if and when central banks force the end of our banks. Will the value of shares just go to zero? Dividends stop, just like that? What sort of reaction will this provoke from individual investors and institutional investors like pension funds?
It's already happening - look at silicon valley or signature bank (there are others) that have failed in this rate cycle. Depositors lost money above the government insured amount. Given how all the banks and pension/hedge funds are all linked together, the systemic risk is high
so how can small banks be recreated in UK? there are none?
awesome sir 👏
Prof. Werner how do you feel about the current Indian economic growth story? Is it good growth or is it unsustainable in the long term?
Please Professor I am extremely curious about your thoughts on India's economic growth.... Is this growth sustainable or not?
Oh, we also had co-op what happened to that?
If Carlsberg made professors...
Why was my comment deleted?
What was the comment? I don't think anything was deleted otherwise you would be banned from commenting (as we only delete spam/hate speech).
He's professor Werner but you love him like he's uncle Richard, while he should be King Richard I, the first king of Europe.
Werner supports continuing the bank-created money scam that enslaves humans to debt bondage for eternity. A better solution would be the abolition of bank-created money altogether, and a return to the principles of a debt-free, interest-free money system.
Sir right now Pakistan's 🇵🇰 economy is near to bankruptcy. Kindly make a video how Pakistan can get rid off their debts or strong their economy
Pakistan must abandon Islam to get its economy on right side
weak yen keiretsu system and window guidance. china has the ssame pirncipels as japan.
In all bank-created money schemes, there is never enough money to repay all the debt. This is because banks only create the original principal sum, but never the additional interest that is due. Richard Werner's "community banking" idea does NOT solve this problem; Community banking condemns us to eternal debt-slavery to legalized-counterfeiters. This is the moral equivalent of treating slaves more humanely rather than abolishing slavery altogether!
Where do you think the interest goes? It doesn't just disappear. It is used to pay salaries, fees, and resulting dividend is paid out to shareholders that in turn spend it on buying goods and services.
The principal is created and, if it is repaid, destroyed. The interest is paid to the bank (like any business the bank has to make a 'profit'), the bank provided a service and the business has to pay for it (i.e interest). The bankers use their salaries to pay for their mortgages, families, etc. (just like any employee does).
Just because the person is a banker doesn't mean they aren't entitled to make a living. - Oliver
@@wernereconomics Please clarify something: In Werner's community banking model, does the government force us to use bank the created money to pay taxes, fines, and fees? YES OR NO.
Does anyone else have the ability to create money, or is this monopoly privilege reserved only for community banks? YES OR NO?
If the monopoly on money creation is given to private banks by a government that forces us at gunpoint to use this bank-created money, then bankers have no moral right to "make a living" from the forced-indebtedness of the masses. The banker's salaries are stolen from us.
Also, you dodged my original point: When money is created by debt, there is never enough money in circulation to repay all the loans. This leads to perpetual debt-bondage to the money creators! Do the math yourself: x = money supply, y = debt plus interest due. Y is always much larger than x. If the total money supply is x, how is it possible to repay y?
A real life example of this is the debt to money ratio in the USA: today there is a $23 trillion money supply compared to $85 trillion in total debt principal (not including the additional interest that is due). If we all tried to repay our debts at once, we would be $63 trillion dollar short! This makes it mathematically impossible for all of us to repay our debts to the parasitic bankers. This makes the debt PERPETUAL.
The same thing must happen with any debt-based money system, including Werner's community banking model. It is a recipe for endless debt-enslavement to parasitic bankers.
I wish professor Werner could address these vital issues instead of delegating responses to you.
@@widehotep9257 He doesn't delegate responses, I manage the channel with him.
I see the issue here... You misunderstand credit creation, productive credit creation, and community banking.
A community bank creates new money for productive purposes -> new money used to create additional goods or services -> GDP growth & business makes a profit -> business repay loans and interest (it has earned the money from selling the goods or services) -> money destroyed (so no inflation) -> profit made by bank to pay bankers salary -> banker goes to shop to purchase goods sold by the businesses who take productive loans -> that interest has now gone into the hands of the business owner in return for the goods that he was able to produce thanks to the loan.
Banks provide a service just like any other business. Just because they are creating (and destroying) money doesn't mean they are villains - the power to create and destroy money can be used for productive purposes to help local businesses (i.e what community banks do).
Not all debt is productive, most of it is unproductive. We are against unproductive bank credit creation as it leads to boom/bust cycles, we are for productive credit creation that results in healthy economic growth without inflation.
Community bankers are not 'stealing wealth' or forcing indebtedness. They boost employment and equality, and are hubs for local economic growth.
I hope this helps. Oliver
@@wernereconomics You are an expert at dodging direct questions.
I will ask again:
1) Under Werner's plan, does the government force us at gunpoint to use bank-created money to pay for taxes fines and fees?
2) Under Werner's plan, do any other entities other than banks have the power to create money?
@@widehotep9257 )
Under Werner's plan, does the government force us at gunpoint to use bank-created money to pay for taxes fines and fees?
Werner does support taxes but he also supports local currency initiatives, so yes and no.
Under Werner's plan, do any other entities other than banks have the power to create money?
Yes.
But the 0.1% that is becoming too powerful will find new ways to break anything that's decentralised. Be it energy, finance, politics or religion, they would like it all centralized. How would any regular individual from the 99% play against this.?