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[Economic]
Public Banking Works
by Commonomics
Posted August 15, 2017

Public banks support communitiesLenders say they have money to lend, but that there are not enough credit worthy borrowers. Is this a valid argument?

This is a disingenuous argument, because it is the banks that choked the money supply in the first place, causing foreclosures, bankruptcies, joblessness, and bad credit. In late 2011, there was $3 trillion less money in circulation than before the crash three years earlier. Why do the banks choose to stop lending and create a money drought? Because this is how they obtain the fruits of our labor at fire sale prices.

It’s just at the notorious banker Andrew Mellon said, “During depressions, assets return to their rightful owners. The banks believe they are the rightful owners of our society’s assets because they own the money (bank notes that they pass off as sovereign currency). This is why we must take back control of the money creation process and replace the private central banks and create public banks that leverage the public’s money in the public interest. This is how to create liquidity on Main Street, restore jobs, and create a democratic economy. More…