Economic Freedom or the Rise of Socialism

Economic Freedom or the Rise of Socialism

Economic Freedom or the Rise of Socialism

Does a Socialistic System destroy a nations money?

In this conspiracy theory we take a look at our monetary system and why it’s the key to this recent desire on the part of many for socialism.

There have always been various economic systems that mankind has used thought-out our long history on this planet.

Extending as far back to the Ten Commandments, it was understood that mankind needed some form of rules or system in order to live in peace with one another.

The Kingdom as an Economic System

In the earliest of times there was the Rule of Kings. In this economic system the king was in charge. Mankind was rising from hunter gatherers to the agrarian societies.

And as has always been the case the land provides for the needs of the people.

So what we are really talking about here is what organizational structure is in use for a particular society at a particular point in time.

In this type of governmental system the king owned the lands, and thus controlled the lives of the people, and he also provided for the needs of the people.

This type of system is top down control.

Freedom

As time progressed, and as some of these kings were tyrants, men began to desire freedom from kings. And usually a revolution would ensue.

When mankind would from time to time throughout history gain their freedom. And when this would happen, it was necessary to come up with a method of governing so the people could co-exist.

Especially since men don’t always play fair with one another, as such there has always been the need for rules which today we call laws.

A new collective idea would form amongst the people.

A Constitutional Form of Governing

In this form of government a document or a charter would be created, that most those people could agree with.

It would be designed to cover as many of the situations as we’re understood to have arisen over the many timelines.

It was also understood long ago, that there would be a need for judges who could interpret what the original writers of said document or constitution had intended.

Read the book of Judges in the Bible.

Moving on’

One of the oldest Constitutions was the Magna Carta, This document was one of the earliest written constitution that gave some expressed powers to the people.

This was necessary because the Kings of that day understood that if they didn’t give the elites of their day some latitude, then soon they would be faced with a revolution. And this would be a dangerous thing for the king.

And that these permissions granted by the king needed to be put down on paper for all to read.

All of this was the precursor to our own American Constitution.

Freedom works if not taken too far?

So let’s see what happens next.  Now when these rules by which to play by, so to speak, the people flourish.

The peoples are happy when they know what the rules of the game actually are.

Under a written constitution that gives the population certain freedoms like owning land, which is such an important one because remember that everything comes from the land. And since previous to that all of the land was owned by the King.

Now good things can happen, things like growing food, to extracting minerals and metals of which all things are made.

Then it isn’t long before men become wealthy land owners. This is how man progresses. Men because they are industrious nature create more and more things.

So they can now have things to trade with one another. Then as more time passes, and because of the freedom much abundance gets created and along with all of this trading or bartering things become complicated.

A better system for trading goods was necessary.

The Invention of Money

Men soon realize that bartering isn’t the most efficient way to conduct trade so man invents a better way.

Money was man’s invention to solve this dilemma. Money could be any excepted item or something of value that can be used in trade. This money thing could instead represent the value of the hours of labor or be use to trade for an item of interest.

Why Barter didn’t work

The problem with barter was that if you had a cow and you neighbor was a fisherman, you wouldn’t want to trade your cow for a couple of fishes, and can you see the dilemma?

With money you could establish a value for each item, and then make the purchase for the item you wanted instead.

Money was the excellent way to transact trades.

Money

Now over time many different things we’re used as money. At one-time even sea-shells were used as money for trading.

Over a long period of time it was found that in order for money to retain its value it needed to be something special.  Something hard to get and durable enough to remain useable over long periods of time.

And it needed to retain its value over these long periods.

What was decided on long ago was that gold and silver we’re the best forms of money.

I took this detour as it was necessary, to explain where we are today, and how we got here through the course of this history.

Continued

As long as man had good money to conduct trade with the societies became wealthy and the people prosperous.

As all if this is going on, there have always been individuals who produce more than others.

And also there are individuals who want to gain from the work of others. These we call the bankers.

I hope your still with me on all of this’

When this happens in any society stresses build up between “The haves and the have-nots!

Travel

Now when people would travel they didn’t want to carry their gold and silver with them. This necessitated a system to carry wealth with them without carrying the gold and silver.

Originally they would leave the gold with a banker. The banker would issue them a receipt, and that people would use those receipts to pay for purchases.

Now the person who was in possession of the receipt could go to a bank, and exchange the receipt for the gold.

This was how transactions we’re handled back then.

This method worked very well over a long period of time, that is until the bankers realized that people were just exchanging the receipts, and we’re not coming back to pick up all the gold.

Secrets of the Banker

So the bankers got an Idea, that they could create additional receipts and no one would be the wiser!

So these bankers became very rich using this process.

Fractional Reserve Lending

This was how fractional reserve lending got its start. Fractional reserve lending, is where the bank holds on to a fraction of your deposit and lends out up to ten times the amount that’s actually in the bank. They do this because they want to earn more on the interest they charge on the money. And Money always gets the Blame!

This cycle repeats itself over time. Money gets the blame rather than what is really taking place. Money is not the problem money is a great tool to be used to trade for our labor and goods. The reason I wanted to write this dissertation is because money always gets a raw deal.

The Money System is corrupted that’s all’

We shouldn’t blame money for the ills of society because money is the best tool ever invented to trade our labor and goods. What happens is that over time it gets corrupted by both the bankers and government. Remember government is just an extension of “we the people.”

Now what happens over the course of time is that the people become lazy, and ask the government to do things for us, well then they the politicians will oblige us. Soon the amount of things we ask for becomes bigger than what the government was originally designed for.

This is the crux of the problem. What we call today the special interest. This can range from profit making corporations, and as far down as Non-profit organizations. All wanted to receive from the government.

So what happens is the politicians who all want to get elected will make promises to the people. And the people not realizing that they will have to pay for these things they want one way or another, since we should know that in this world in which we live we must pay for what we get.

So let’s see how we pay. One way that we pay is through taxes of course, but there’s also another way we pay. Let’s look at that now.

Money Printing

Remember those receipts that I mentioned earlier? The ones that these bankers made up when they held the peoples gold and silver before they would travel.

Those receipts are the heart of the problem. See when we ask for things from the government, it goes to the banks, lenders, and ask them for money. And what the banks do is create more of those receipts. We call them dollars.

Backed by?

Now earlier I told you that you would place your gold with the banker and he would give you the receipts that you could spend during your travels. The receipts would be accepted by other bankers because they knew that they could retrieve the gold or Silver to back them up.

However, over time the bankers printed many more of the receipts than what gold there was to back them up.

So you’re no doubt thinking what does this have to do with socialism in the title. I will answer that now’

As all of this stuff gets created and remember we are the ones asking for things of the government, well like anything else the more you create of something, the Law of Supply and Demand will kick in, and the value of that thing becomes less or worth-less.

The Danger of Socialism?

Whenever this process takes place and it is a process don’t doubt me on this. Those that know how to take advantage of this money printing system, well they get rich. The problem is that those who don’t know what’s happening feel they’ve been left out, and want their share.

This is the very definition of socialism. What many don’t know is that many more people have died in socialistic societies than have in capitalistic societies.

The Problem

When we get to this point is when you’ll see the people becoming restless. The money has floated to the top to those who understood the system and knew how to take advantage of it. It wasn’t that money is bad, it was that very little of the money was left over for the regular people.

This is a cycle. So now the people go to the government and ask for more and more benefits from the government. And this cycle repeats itself over and over as the money gets diluted even more. Soon hyperinflation has started and prices begin to rise, and because it’s a subtle process the people don’t understand what is taking place.

As this process is going on the country is becoming socialist. This process has already taken place in many countries, and it never ends well.

You see when people realize that they can get from the government without working for it, well then, why should they work any harder. The end of this cycle is poverty for everyone. That’s if the people don’t wise up quickly and put a stop to it before it’s too late.

Hope you now have a better understanding of this issue.