"The whole profit of the issuance of money has provided the capital of
the great banking business as it exists today. Starting with nothing
whatever of their own, they have got the whole world into their debt
irredeemably, by a trick.
This money comes into existence every time the banks 'lend' and
disappears every time the debt is repaid to them. So that if industry
tries to repay, the money of the nation disappears. This is what makes
prosperity so 'dangerous' as it destroys money just when it is most
needed and precipitates a slump.
There is nothing left now for us but to get ever deeper and deeper
into debt to the banking system in order to provide the increasing
amounts of money the nation requires for its expansion and growth.
An honest money system is the only alternative."
Frederick Soddy
(1877-1956) British author, professor, Nobel Prize for Chemistry, 1921
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Reader comments about this quote:
 -- Robert, Sarasota      
Just in case some of you folks didn't get it -- the banks do not 'lend' money -- they issue 'credit' -- BIG difference. When we go to the bank to borrow $100,000, the $100,000 springs into existence as soon as we promise to pay it back. And when it is paid back it disappears into the void from which it came. The problem is that interest is charged -- a LOT of interest, sometimes double or triple the original 'credit'. But if ALL money is created this way, then there is no way for everyone to pay back their debts -- because the interest comes out of the principal. The only way to pay back is to borrow more! (and more, and more, and more) Whoever gets stuck, loses their property -- and bankruptcies are guaranteed. It is done over and over and over and over. Just think of how many homes and businesses are mortgaged? MOST! It is a stinking business, and a crime against humanity.
 -- J.P., New York City     
  • 2
    A former governor of the Bank of England once said, back in the late 1800s, that if ever the people realized how the banks were screwing them, there would be a popular revolution and rioting in the streets by morning. Looks like people have been sleeping in on this for centuries.
     -- Anonymous, Canada     
  • 2
    And so, is there any THING of real value, other than good character and integrity?
     -- Anonymous, USA     
  • 2
    Currency that was once redeemable for precious metal and had solid backing is now "credit" redeemable in cheap chinese made crap.
     -- J Carlton, Calgary     
  • 2
    So few good citizens realize the delusion under which they live -- the rest continue merrily along believing the government is really there to help -- it isn't! We have been duped and if we ever do descend on Washington en masse, the bankers will crash our economy and Congress will let them rather than seizing the assets of the Fed, and turning this banking scheme inside out. It is slavery or war -- which side shall we choose?
     -- E Archer, NYC     
    Without specie currency, money, though debt, is created from thin air. We are experiencing in the economy, a Crack Up Boom as one of the great economists has called it. That is like a woman flying an airplane upside down and trying to land. Big crack up, boom!
     -- Shooterman, Beaumont, Tx     
    Check that dollar bill in your wallet, and all the other bills. Read where it says "Federal Reserve Note'. Then remember what a note is, a debt on which interest is paid. Guess who collects the interest, correct, it's that wonderful group known as the "Fed".
     -- jim kilpatrick, austin, texas     
  • 1
    Wealth does not come from the government. Unless you are a Communist. Keynesian economics is rubbish and has been proved to be so every time it is tried. This man was a fool.
     -- warren, olathe     
  • 2
    This makes me ill. Man has known for thousands of years (note Aristotle) that we are being screwed, and yet we just sit back and take it. Those robber barrons live a beautiful life while you, your parents, your wives, husbends, children ALL SUFFER. We are all slaves to these thieves. Is it just me or do I seem to recall that a really great man once said: "Is life so dear, or peace so sweet, so as to be purchased at the price of chains and slavery? Forbid it allmighty God. I know not what other men may choose, but as for me, GIVE ME LIBERTY, OR GIVE ME DEATH." God bless the soul of Patrick Henery. Lest we forget who we truly are, Or have we become cowards.
     -- Ken Hubeny Sr, Milford Pa.     
    I work for a Government I despise for ends I think criminal. ~ John Maynard Keynes
     -- J Carlton, Calgary     
    An honest money system is a giant part of the alternative. It would still be almost impossible to conduct business with the current legislation.
     -- Mike, Norwalk     
    Carlton, did Keynes say that before or after he succeeded in setting the monetary policy of interest-bearing, debt-as-money, fiat currency? I never heard him speak badly about what is now known as 'Keynesian economics.' Indeed, the current economic system is criminal, and the government should absolutely be despised...
     -- E Archer, NYC     
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