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0:00 Central Banking and Never Ending Wars
3:53 Government Deleveraging
10:11 The Next World War
18:58 Share Your Thoughts
Get ready for the next war that’s never going to end!
When all you have is a hammer, the whole world looks like a nail and to Central Bankers, every problem looks like it can be solved with more money printing, even if it’s not really a problem. Throughout history, war has always been a good reason to create more money from thin air, and over the last few decades, the US Central Banks have created trillions to pay for never-ending wars like the War on Drugs, War on Terrorism, the last 2 years the War on Pandemic, but all of those look tiny compared to what they central planners and central bankers have their eyes on next.
Before the era of central banking began in 1913, wars were very difficult to fund as most of the world was operating on a gold standard. If a country wanted to engage in warfare, and subsequently significantly increase their spending to fund it, their only option to come up with that excess money was through increased taxation.
You see, on a gold standard, without the ability to expand the monetary base, it’s very difficult to fool the people. If you want to fight a war, you must run large fiscal deficits and increase the taxes on the population, and subsequently tell them exactly what that increased tax bill is going towards.
Naturally the public would be against the extra taxation unless it was for a very good cause. Even if the public is sold on the idea, wars on a gold standard would be much shorter and smaller in scale. This is because the war would simply end when one side ran out of gold reserves.
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