socialist banks performing better than private banks

Discussion in 'Current Events' started by rickyb, Mar 11, 2015.

  1. rickyb

    rickyb Well-Known Member

    “When a public bank such as the bank in North Dakota funds infrastructure projects the interest costs, which [otherwise under private banking] are often 50 percent or more of a project, in essence fall to zero because the interest is returned to same people who own the bank and paid the interest in the first place,” said Armstrong, who previously worked for IBM Finance. “[Americans typically] hold labor costs under a microscope, but ... don’t hold interest costs under a microscope. North Dakota can offer commercial loans as low as 1 percent. Compare this with Wall Street banks that charge 14 or 15 percent. We can use bank credit, the tool Wall Street banks use to amass wealth and power, to empower ourselves.”

    Wall Street’s numerous scams works. When the Napa Valley Unified School District in California needed funds in 2009 to build a high school in American Canyon it took out a $22 million loan with no payments due for 21 years. “By 2049, when the debt is paid,” the paper noted, “the $22 million loan will have cost taxpayers $154 million—seven times the amount borrowed.

    “California public schools received $9 billion in loans over the last seven years,” said Armstrong, who is from California. “In 25 to 30 years the interest due on that $9 billion will be $27 billion. This is just one example of the massive societal crisis being caused by big banks. Wall Street investment banks should not be permitted to handle public financing, which has become simply another way for Wall Street to monetize and extract our nation’s wealth.”

    Public banks make loans based on deposits. Interest returns to the state on loans and deposits. In essence, the state lends money to itself.

    “The American Revolution had everything to do with who controlled our economic destiny. The money supply is central to that control. North Dakota has proven that a state can use a public bank to further the economic interests of its people.

    north dakota is a republican state.

    The establishment of city, regional and state banks, such as the state public bank in North Dakota, permits localities to invest money in community projects rather than hand it to speculators. It keeps property and sales taxes, along with payrolls for public employees and pension funds, from lining the pockets of speculators such as Jamie Dimon and Lloyd Blankfein. Money, instead of engorging the bank accounts of the few, is leveraged to fund schools, restore infrastructure, sustain systems of mass transit and develop energy self-reliance.
  2. oldngray

    oldngray nowhere special

    Interesting definitions of "banks" there. A bank is a capitalist concept and never socialist. Not private either if it is a bank. That might be more like a credit union.
  3. Jones

    Jones fILE A GRIEVE! Staff Member

    A state owned bank is not an example of a socialist bank, it's an example of state capitalism.
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  4. Monkey Butt

    Monkey Butt Obscured by Mirrors Staff Member

    I usually don't bother with threads started by rickyb but the titled seemed an oxymoron ... so I investigated.
    Oldngray and jones stated the issues with the confusing title.
    This confused logic is a demonstration of why I don't bother with rickyb.
    Y'all have fun but please do so with compassion and sympathy.
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  5. Harry Manback

    Harry Manback Robot Extraordinaire

  6. rickyb

    rickyb Well-Known Member

    many people call it "socialism" to be more specific its "state socialism" because real socialism from what i understand involves democratic worker control along with community input
  7. rickyb

    rickyb Well-Known Member

    i know its hard to wrap your head around haha
  8. Gumby

    Gumby *

    Cypress. How did that work out?
  9. rickyb

    rickyb Well-Known Member

    i know but the terms "socialism" and "capitalism" have been so badly skewed it doesnt matter. i could have said "government run and owned" banks.