!!! Switzerland to vote to end Fractional Reserve!!!

[TalkingDog]

http://www.telegraph.co.uk/finance/economics/11999966/Switzerland-to-vote-on-banning-banks-from-creating-money.html

"Banks won’t be able to create money for themselves any more, they’ll only be able to lend money that they have from savers or other banks,"

Do I hear the wailing and gnashing of teeth from our banksters?

[rhett o rick]

1. k & r. Thanks for posting. nm

[yeoman6987]

2. So it will be very difficult for the citizens to get a loan?

[TalkingDog]

4. Let's just say it will be more difficult

to create economic bubbles and end up further enriching the already rich and further impoverishing the already poor.

[Rex]

10. You think they have PayDay loan sharks on each corner like the do here in America?

Seriously, America has no room to complain.

[dixiegrrrrl]

3. Please by all that is holy, let that be a spreading trend! n/t

[rurallib]

5. Well that calls for a merry christmas!

[dixiegrrrrl]

6. Upon closer reading...

they have signatures for a referendum which must now be voted upon.

as with every other fractional reserve banking system, over 90% of the money in circulation in Switzerland, as in every other country,
now exists in the form "electronic" cash created by private banks, rather than the central bank.

This is important to know, because of the move by TPTB for a cashless society, where ALL "money" is electronic.
The implications of that are clear....virtual money creation out of nothing=devaluing all money and increasing inflation.

[PosterChild]

7. LOL - They won't be able to...

... offer interest on demand deposits anymore, instead the will have to charge for them. Free checking? No way!

Only way to earn interest would be bonds and certificates of deposit. A real fail.

[Lordquinton]

8. LOL- they won't be able to hold the economy for ransom

Maybe they can pass an accompanying law to require all financial services in language that is understandable by the ley person.

[PosterChild]

9. That's right...

... there wouldn't BE an economy, so it couldn't be held for ransom !!

[pampango]

11. I hope this is not a creature of the austerity, anti-inflation, back-to-the-gold-standard RW hawks.

It does not appear to be since it would put money creation solely in the hands of the Swiss National Bank (like our Federal Reserve). It will apparently curb lending from banks in order to 'avoid inflation' which will slow the economy unless the SNB keeps that from happening.

I wonder who is financing this campaign. The recent successful anti-immigration referendum was backed by someone like of Koch brothers.

The Swiss are amazing! If this empowers the government at the expense of big banks, so much the better. If it is move by the anti-inflation, austerity hawks (our republicans) then it would not be so good.