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Originally Posted by Slava
She did a good job and kudos to her.
A lot of her arguments are really naive though. Sure, banks make some money lending money to the government(s), but so do bond holders. A lot of those bond holders happen to be regular citizens, pension funds, and investment funds. That money is a loan that requires interest, otherwise no one will lend the funds. So, while its great to say we shouldn't have to pay interest so someone else can profit, you run into that little flaw of no one lending you money..
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Good points, but I'd even take it one step further. You've essentially got a government that's funded by taxes (people and businesses), bondholders (people, businesses, institutions(pensions), and debtors (banks). At the end of the day,
all, of the cash coming in or out is going to lead to an individual (in dollars, services, etc)
So the Royal Bank earned $X billion in profits, thats just $X billion more flowing into individuals and the government in taxes. Arguments like hers paint corporations as some money eating pit where these grotesque profits are earned and hoarded away for some fictional entity. Nothing is stopping her or anyone else from owning their share of these banks and getting some of those earnings for themselves.
At the end of the day, regardless of where the funding/profits are coming from, it will eventually end up with an individual (in one way or another); the real arguments to have are the distribution of that wealth, and the impacts of foreign ownership.
Oh, and don't even get me started on the multitude of issues that occur from simply borrowing from the BoC. "Why borrow money when you can just make more money.....for free!" I eagerly anticipate the Twelve Billion
Zimbabwe Canadian dollar note.