Wednesday, November 09, 2011

Centralisation of credit in the hands of the state

Who proposed the following "method" to obtain a certain result or the objective that "we shall have an association, in which the free development of each is the condition for the free development of all":
Centralisation of credit in the hands of the state, by means of a national bank with State capital and an exclusive monopoly.
Was it Keynes? Was it some visionary in the Middle-Ages who saw this as a method to clean up the "chaos" of free money and provide "price stability" where none was before? No. It was Karl Marx in his 1848 Communist Manifesto (chapter 2). And rightly so, since government monopoly on money issue is probably the most effective method for State control of everything else.

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