#time
"The banks Ponzi scheme is alarmingly simple. They lend the same money to several people or institutions at the same time and collect interest on it from each... Over the years, due to the avarice of the banks and the complicity of the politicians, that ratio has increased dramatically. In the early days of the 20th century, federal chartered U.S. banks were required to keep gold reserves of 25 percent. That means they were allowed to lend the same money four times. I remember when Canadian banks were required to maintain a cash reserve of 8 percent. That means they were allowed to lend the same money 12½ times. Today, thanks to Milton Friedman’s irrational flip-flop from being a proponent of 100% cash reserves to the opposite extreme of zero reserves, and the adoption of his ideas by the major central banks of the world in 1974, multiples have increased dramatically – in some cases to as much as 20 to 1 or more."
React to this quote
More by Paul Hellyer
See allResonant Thoughts
Explore Further
Related Quotes
"It has always seemed a little curious to me that joy should be held in such contempt here, and yet promised…"
— Robert G. Ingersoll"In the beginning of the year 1854 a new policy was inaugurated with the avowed object and confident promise…"
— Abraham Lincoln"Are you sitting comfortably? Then get up. This is no time for sloth."
— Maureen Lipman"I began to become an adult when I was 24 and got married and had children. That matures you, but I wouldn't…"
— J. G. Ballard"I’m a huge fan of not overemphasising with music. Sometimes you can really get a sense of music underlining…"
— Thomas Newman"I'm so excited — I think today I'm going to brush all my teeth."
— Woody Allen