In defense of Ellen Brown
Gary North on Rockwell’s site comes with a fairly vicious attack on Ellen Brown. He calls her a ‘Greenbacker’ as if that is something distasteful.
What it is all about is the Goldbug people versus the Interest Free Money crowd. It is one of the most crucial debates around. As I have mentioned before both on this site and elsewhere, Gold is the preferred currency of the Banking Fraternity and they plan to reinstate it in their world currency, which is coming closer every day.
North has compiled an enormously lengthy article with no less than 50 links to individual, detailed critiques to some of the statements in Ellen Brown’s Web of Debt.
Some of them are fair, others are outrageous. Such as his defense of deflation. Not seeming to realize that Europe suffered protracted (semi) depressions for long periods of time right up to the Great Depression. While on the Gold Standard. All these were caused by structurally scarce gold.
The simpleminded defense of deflation as ‘natural’ without reviewing the very negative implications of deflation for the broader social and economic fabric is difficult to swallow. It is not that we cannot see the effects of deflation today.
North apparently does not realize that the Bankers always favor deflation. Because deflation makes their outstanding debts more valuable.
He also thinks it is cosmopolitan and streetwise to attack Brown for her nuanced approach to Hitler.
It is not. Although many people would sympathize with North (which he obviously expects and hopes to use to destroy Brown’s credibility), it is simply politically correct and immature to do so. To understand Hitler, so we can learn to avoid people like him, we must understand what attracted others to him. Anybody with even marginally developed skills for independent thought can see that the treatment of Hitler in the post war era is a classic case of ‘Sieger Justiz’ and his current image has nothing to do with reality.
However, these are just minor points. Because North has managed to do something profoundly dishonest and unwise. In this enormous article of his he actually does not mention the problem of interest at all.
This is so totally unfair to Brown’s work, because this is surely one of the most important aspects of her narrative.
North only mentions Brown wants to print fiat money. But not the kind we have today. She wants to print debt free and interest free money.
If ever I saw an elephant in the room being ignored it is this case by North.
A more detailed expose on interest is here, for here and now just a few reminders of what again this interest problem is:
The US Government at this point pays between 400 and 500 billion dollars in interest per year on the ‘National Debt’. The trillions that the FED have created and will create to buy up Treasuries are interest bearing.
If you buy a house you pay hundreds of thousands of dollars in interest for your mortgage. For money that was created by pushing a few buttons.
Forty percent of prices you pay are costs for capital. So just through prices for normal commodities you pay 40 % of your disposable income to banks and other financiers.
Who pays for all this? The 80% poorest of the population. The have nots pay interest, the haves receive it. We are talking a worldwide, yearly multi trillion wealth transfer from poor to rich through usury.
Gold is also interest bearing and that is only one reason why it is totally unacceptable as currency.
And most important: there is no reason at all, no necessity, no economic law of any kind that makes this necessary. It is only the power of the few and the lack of knowledge of the many that allow this to continue.
Yes, there are many rationalizations for interest. And I’ll debunk them patiently time and again, because it is so necessary. But keeping the above in mind everybody can understand that what we have here is a simple, large scale fleecing of the multitude.
Anybody can see that if money is so ridiculously cheap to produce, it is simply outrageous that society needs to pay such mind boggling costs for it.
Interest free money, either printed debt free by the Government or through interest free credit either by private organizations or again by the State, is simple, proven technology and centuries old.
Yes, many systems have been abused resulting in inflation.
No, interest bearing Gold is definitely not an acceptable solution.
The solution is to fire and prosecute all those who mess up our money. The solution is to have a populace of which at least a few percent have a decent grasp of the money basics, which can be taught to all normally gifted people. The solution is to see the Bankers and their advocates for what and who they are.
To see that interest bearing Gold and interest bearing paper debts are just two sides of the same Central Banking hoax.
North expects to have fun with destroying Brown. To me it is simply annoying to have to point out simple facts like the above to people who can make such noise about their own monetary expertise.