Bank of England Chief Mervyn King Proposes Eliminating Fractional Reserve Banking

This is a very good posting on the Infowars.com site. Mervyn King says, “Eliminating fractional reserve banking explicitly recognises that the pretence that risk-free deposits can be supported by risky assets is alchemy. If there is a need for genuinely safe deposits the only way they can be provided, while ensuring costs and benefits are fully aligned, is to insist such deposits do not co-exist with risky assets.” Trouble is Ben Bernanke is on the side of the digital money printers.

David Cameron's government should revisit the 1844 Bank Charter Act, which stopped banks printing money as if it were confetti. The digital age demands that reckless banking, or casino banking as Vince Cable calls it, is stopped. The only people to gain are the bonus-grabbing bankers as the digitally created cash moves from one computer to another.

Posted in: Ben Bernanke,fractional reserve banking,Mervyn King