The Lifecycle of the Substitute and Its Purchasing Power, 9

Covert until the economic and legal state of things is such that they do not even need to hide behind the governments any more. When the issuer is a commercial bank – sole grantee amongst all private citizens and businesses of the incredible privilege that ought to be called with its name, either “monetary sovereignty” or “counterfeiting”, instead of understating it as “fractional reserve banking” – the idea is that that money, created out of thin air and loaned against repayment of actual principal plus interest, once repaid is merely deleted: born out of nothing, back to nothing, just keep the change. Ashes to ashes, interests to bankers; dust to dust, foreclosures to bankers, and that’s it: the mass is ended, go in peace. As the old Neapolitan saying goes, “Chi ha avuto ha avuto, chi ha dato ha dato, scurdammoce ‘o passato.” Which means, “Those who gave gave, those who had had, forget the past.” No matter how criminal this already is, there’s even more to it; in fact, the point is: how do you know that that money actually ceased to exist at all? So substantial a point that it even has a name: banking reflux. (Inspired term: reflux may occur when one engulfs too much.) In fact, it means that money – any other profit aside – once back into its issuer’s hands, simply does NOT cease to exist at all, and indefinitely so. And if fiat debt money never passes away, its purchasing power never ceases to exist with all that this implicates: if it remains in hands other than the issuer’s, it will continue to accrue interests for the issuer; but even if it remains in the issuer’s hands it won’t sleep and be harmless at all, because the issuer will end up using it one way or another… to buy us all out.

These three examples illustrate as well the three types of relationship between the purchasing power of the medium of exchange/payment and the purchasing power of the product: In the case of the certificate of ownership, the purchasing power of the medium of exchange exists and circulates instead of that of the product, held out of circulation as its guarantee; since no additional purchasing power out of nothing is created, the problem of who is entitled to it doesn’t arise.