Paper Money Issued by Private Central Banks (PMIPB-P) (Pretending to be government entities)

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Executive Summary

This is one of the major types of money.
The important feature is “who” issue the money.

Introduction

The success of paper money greatly depends upon whether a government or private bank issues the currency. When the government issues the currency, the history is good. Although all monies eventually devalue. Some say that gold or other precious metals do not devalue, but commodities normally back a paper currency and are rarely used for exchange.

When private banking interests issue the currency (as with the Fed or Bank of England) and act as the central bank, this is a problem because, for one, the money is in a way partially private, while living off of the support of the government’s ability to create money.

The Multi Century Fight Over Public Versus Private Banking

There has been a multi-century fight between private bankers and the government for the right to issue fiat currency. This debate is hidden from the public and seldom mentioned. One can grow old and die without ever hearing about the debates on public versus private banking.

The Dominant Form of Banking Today

Today the dominant form of central banks is that the central bank is in the hands of private bankers but pretends to be controlled by the government. Because it is in private hands, interest rates must be charged, and enormous financial gains that go to the private banker and are hidden from the public within the banking system. These are rents extracted from the citizens for the right to access money, that at the end of the day is supported by the faith in the government.