Government Debt Explained

A giant flaw in the current banking scheme is that private banks, not governments, now create virtually the entire money supply; and they do it by creating interest-bearing debt. The debt inevitably grows faster than the money supply, because the interest is not created along with the principal in the original loan.

For a clever explanation of how all this works in graphic cartoon form, see this short French video “Government Debt Explained”.

Leave a Reply

Your email address will not be published. Required fields are marked *

*