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Another Topic that won't be discussed in the Presidential Debates: Public Banking

Below is the Editor's column from the Public Banking Institute. Public banks are a commonsense solution that won't be discussed in the Presidential Debates. We are publishing this column because it contains excellent information and links.

Editor's Column
During a presidential election season in which the corporate press sugar-coats its coverage of the “two” parties responsible for implementing the current crises (on behalf of the profiteers and usurers who control the world’s banking and monetary systems), it is doubly important to present alternate views of the individuals and policies that have enabled the current state of lawlessness.

In addition to the long list of crimes perpetrated by the “financial services” industry this year—including the rigging of worldwide interest rates through LIBOR, the manipulation of the municipal bond market, the ongoing foreclosure frauds and MERS scam, the refusal of Fannie Mae and Freddie Mac to follow federal law and negotiate in good faith with mortgagees, the Fed’s open and hidden market operations, the ongoing electronic manipulation of the stock market—we can now add private equity firms, including Bain, being investigated for tax avoidance strategy.

There is nothing new in this general state of affairs, as evidenced in a great quote passed along by fellow PBI board member Mike Krauss:

"We had to struggle with the old enemies of peace--business and financial monopoly, speculation, reckless banking, class antagonism, sectionalism, war profiteering. They had begun to consider the Government of the United States as a mere appendage to their own affairs. We know now that Government by organized money is just as dangerous as Government by organized mob. Never before in all our history have these forces been so united against one candidate as they stand today. They are unanimous in their hate for me--and I welcome their hatred. I should like to have it said of my first Administration that in it the forces of selfishness and of lust for power met their match. I should like to have it said of my second Administration that in it these forces met their master." –Franklin Delano Roosevelt in a speech given at Madison Square Gardens, October 31, 1936.

Today, only a third party candidate would say these words, for example, the Green Party’s Jill Stein. In this newsletter, you will find my analysis of the platform that she and her policy analysts put together, the Green New Deal, including a plank on public banking. We have also included the platform of another alternate party, the Populist Party, formed in 1892. As you can see from the text, little has changed regarding the will of the majority of citizens to eliminate the criminal elements in control of our once-sovereign state apparatus.  We encourage everyone to become familiar with third parties, for as noted journalist Chris Hedges argues, the only choice offered by the so-called two-party system is between poisons.

While real unemployment hovers at 23%—and the banks continue to use the government to force taxpayers to bail them out after reaping huge profits—from duping states and municipalities, pension funds, public banks, and even other private banks into buying their toxic derivatives—the resistance and pushback continues to grow:

Not surprisingly, efforts to change the power structure are met with fierce resistance; for example, in Britain, the Tory Chancellor of the Exchequer proposed a quasi-publicly owned bank to lend directly to small businesses to get Main Street back on its feet. The private banks immediately pushed back on the idea, saying that they must get first pick on loans and that the government “program” would be left the dregs.

Across the English Channel, the destruction of sovereign currencies continues apace, with the private central bankers proposing that the EU Central Bank have oversight over all banks in the Euro Zone. Their strategy is transparent, as this proposal followed on the heels of criticism of the German Landesbanks, for investing in the TBTF banks’ sub-prime mortgage scam! Since we know the Fed is funding the EU Central Bank with Federal Reserve Notes (which are still the world reserve currency outside of China [where the TBTF banks have a minority position in the big four state-owned banks] and Russia [where the TBTF banks will soon have minority stakes in as well as full control over formerly state-owned banks]), what we are seeing here is the TBTF banks knowingly misrepresenting the value of securities, pushing worldwide sales of these toxic assets, and then blaming the victims for their crimes.

so•ci•o•path (noun) a person with a personality disorder manifesting itself in extreme antisocial attitudes and behavior and a lack of conscience. (The New Oxford American Dictionary, Elizabeth J. Jewell and Frank Abate editors, Oxford University Press, 2001, p. 1619.)

Bob Bows
Board Member, PBI Newsletter Editor
Public Banking Institute


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