Thursday, September 26, 2013
Capitalism: No Financial Crisis
It is plain that the global financial crisis was caused by governments and the regulated States but the lie is perpetrated that it was a bank driven disaster.If we had capitalism rather than what we do have a mixed economy the crisis would not have occurred because the banks would have known that if they engaged in risky behaviour they would not get a taxpayer bailout and this would have led to more prudent reality based banking rather than the casino banking so the origin of the catastrophe was governments too big to fail policies.They also encouraged and coerced banks into lending people money for their mortgages they had no way of being able to pay back which caused the housing sub prime fiasco.So we see that far from capitalism being to blame it was governments around the world and the mixed economies that prevailed that cause the crash.Still capitalism gets the blame when it was nowhere near the vicinity when the crime was committed.The Freedom Party would effect a complete separation of State and money,the bank of England which is our federal reserve would be privatised and governements would have no power to issue money.This would be the province of the banks and various forms of money would emerge including bitcoin as at present.Governements would have no financancial policies as such and we would not look to the chancellor to effect social policy via manipulation of the currency.
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