As the Federal Government moves to ban cash transactions above $10,000, there’s a theory gaining traction that the real motive for the cash ban isn’t the so-called “black economy”, but rather, to give authorities greater control over your behaviour during recessions.
This theory, put forward by economists such as John Adams — and picked up by some federal politicians — has not been plucked out of thin air.
It is based on repeated public papers and statements by the international body in charge of financial stability — the Washington-based International Monetary Fund (IMF).
A recent IMF blog entitled “Cashing In: How to Make Negative Interest Rates Work”, explains its motive in wanting negative interest rates — a situation where instead of receiving money on deposits, depositors must pay regularly to keep their money with the bank.
As the blog notes, during the global financial crisis central banks reduced interest rates.
Ten years later, interest rates remain low in most countries, and “while the global economy has been recovering, future downturns are inevitable”.
“Severe recessions have historically required 3 to 6 percentage points cut in policy rates,” the IMF blog observed.
“If another crisis happens, few countries would have that kind of room for monetary policy to respond.”
The article then goes on to explain that to “get around this problem”, a recent IMF staff study looked at how it could bring in a system that would make deeply negative interest rates “a feasible option”.
The answer, it said, is to phase out cash.
Cash acts as an ‘interest rate floor’
When cash is available, cutting interest rates into negative territory becomes impossible.
Cash acts as “an interest rate floor” as people hold cash when bank deposit interest rates are at zero.
The thought of paying the major banks to hold your money isn’t one that most consumers would jump at.
The alternative — as risky as it may be — is hoarding cash, or making investments in tangible commodities like gold.
So, the end game, the article explains, is the IMF’s ideal world — one without cash….
The problem with giving payoffs to organized criminals is that while it buys breathing room for a time, in the long run they always come back for more as they become more numerous and rapacious.
Any five-year old child knows that if you put ten marbles into a tin can, you can only take ten marbles back out. No amount of wishful thinking, dreaming, or praying, will yield that eleventh marble from inside that can. That eleventh marble does not exist. It never did, and it never will. All discussions about the eleventh marble are the product of imagination. The eleventh marble is a fantasy.
Private central bankers issuing the public currency as interest-bearing loans operate on the belief that they can put ten marbles (dollars) into a tin can (the world) and magically get 11 marbles (dollars) back out. Thus, we may conclude that the bankers are dumber than five-year old children! But unlike five-year old children, the bankers will take your home, your business, and your nation when they don’t get that eleventh marble! The spoiled child may cry and throw a tantrum, but that will be the end of their upset. The spoiled banker, however, in his or her arrogant rage that they cannot have the eleventh marble their imagination says must still be in that tin can, may start a war before they will admit that eleventh marble was never really there.
Economies are like tin cans. Before you can take a marble out, you must have put a marble in. Nobody can give you a marble that does not exist, yet this simple reality is lost to the priests of that fantastic religion called “economics” in that unholiest of temples called the Private Central Bank. Their religious doctrine seems to be that there must always be an eleventh marble inside the tin can, and that the tin can unfairly withholds that eleventh marble, indeed cheats them of their right to the eleventh marble, purely out of spite. That faith in the existence of the eleventh marble, unseen and improvable, is the article of faith the religion of banking rests on. It is far easier to burn the heretics than to question the dogma.
Today we see the bankers, having already retrieved their ten marbles from the tin can, flogging the world for that missing eleventh marble. Greece does not have that eleventh marble, so they turn to Germany and ask, “Do you have an eleventh marble”, and Germany replies, “Sorry, but the bankers already took the ten marbles they put in our tin can, and we are searching for an eleventh marble ourselves. Try the Americans.” The Americans, of course, have only just surrendered the last of their ten marbles back to the bankers and are looking under seat cushions for that missing eleventh marble nobody seems able to find.
But the eleventh marble will never be found. After all that mayhem brought down on the tin can there still will be no eleventh marble. It does not exist. It never did, and it never will.
The problem with all modern reserve banking systems is that the moment the first bank note goes into circulation as the proceed of a loan at interest, more money is owed to the banks than actually exists. Ten marbles have been put into the tin can, but the bankers see 11 marbles owed back to them. Sooner or later the non-existence of that eleventh marble will create a crisis of faith. People will stop believing in the religion called private central banking, and that crisis of faith will bring the system crashing down, as did the Temple of Baal in ancient times when the Syrians saw through the priests’ trickery. This evil magic of creating money out of debt was a fraud all along, as fraudulent and silly as the idea that one can put ten marbles into a tin can, and take out eleven.
In ages to come economists will look back at this failed experiment in debt-based currency, and dump it into the same category of human folly as Tulip mania, The Nation of Poyais, Credit Mobilier, the Great South Seas Company, and Mortgage-Backed Securities.
A controversial genetics database has turned over 1.3 million customer profiles – believed to overlap with 60 percent of white Americans’ DNA – to a forensics firm that mines genetic data for law enforcement. What could go wrong?
GEDMatch, one of the world’s largest repositories of genetic data, has been purchased by Verogen, an FBI-linked forensic genetics firm dedicated to exploiting the crime-solving potential of biological evidence. While GEDMatch was founded in 2010 as something of a hobby site for amateur genealogists to upload the results of personal DNA tests (the company does not conduct its own tests) and uncover unknown family relations, it has become better known in recent years for its role in solving the Golden State Killer case – which earned plaudits from law enforcement but excoriations from privacy advocates. Jumping into bed with Verogen – a company founded specifically to weaponize genetic data for law enforcement – indicates GEDMatch is going long on the genealogical panopticon.
ALSO ON RT.COMIt’s frighteningly easy to track someone down via DNA, scientist revealsIt isn’t just the 1.3 million individuals – reportedly increasing by 1,000 every day – who have profiles on GEDMatch who are potentially imperiled by the Verogen acquisition. A 2018 study found that the same DNA search that nabbed the Golden State Killer could serve up data on some 60 percent of white Americans through distant relatives (third cousins or further), with that proportion increasing exponentially as more users sign up to the database. Only about 0.5 percent of US adults are currently subscribed to GEDMatch; when that number surpasses 2 percent, the DNA dragnet will be capable of ensnaring upwards of 90 percent of white Americans.
GEDMatch came under fire earlier this year after its founder allowed police to dig through users’ DNA profiles to solve an assault case, violating the site’s own terms of service that limited authorities’ access to the database to homicide or rape investigations only. Massive public backlash following that case forced GEDMatch to overhaul its terms of service, allowing users to “opt in” to having their profiles matched against police’s crime scene samples, but such nominal barriers have already been deemed irrelevant in court. Last month, a Florida detective bragged to a law enforcement convention that he had obtained a warrant to search the entirety of GEDMatch, opt-ins or no opt-ins, and had every single profile at his fingertips within 24 hours….