I think the system is so bizarre people really don't want to believe it.

You know this story, but for the benefit of others.........

Fractional reserve lending all started when goldsmiths produced more paper receipts for gold than the amount of actual gold in their possession. The goldsmiths took in gold for safe keeping, and issued a wharehouse receipt for the gold. The receipts started circulating in place of the gold so people did not need to transfer the actual physical gold in and out of storage. The gold receipts essentially represented the actual gold. The goldsmiths realized not everyone wanted their gold all at the same time so they could create more receipts than they had gold and no one would be the wiser. As long as everyone did not want their gold at the same time. The additional receipts spent just like gold. Creating new receipts was a lot more profitable for the goldsmiths than the small rent they received for storing the gold. Fractional reserve lending was created and started out as a fraud. Now it is just legalized, and has been for generations.

It is not for the benefit of the people. It is for the benefit of those who get to create the money.

John