Thursday, April 4, 2013

Cyprus And The Canadian Connection

People in the Western world have been duped. With fractional reserve banking their deposits aren’t really there anyway. As Economist Murray Rothbard has pointed out banks operating under the fractional reserve system are always by definition insolvent. At the height of the pre 2008 bubble some U.S.. banks were leveraged at over 30 to 1. The FDIC has never had more than about 2% of the funds necessary to cover all U.S. deposits they purport to insure. When a bank has loans outstanding that are 10 or 20 or 30 times the amount it holds in deposits and the bank is failing their depositors funds have already been squandered! They aren’t seizing the depositors money. It’s ALREADY gone! Now we know why the DHS is buying automatic rifles, billions of bullets and thousands of APC’s. Wait till they come after all those “rich people’s” tax deferred retirement savings.
The great Cypriot bank heist could soon be coming to the west as Canadian financial institutions along with the Canadian government have outlined their plans for a Cyprus styled bail in regime in the Economic Action Plan of 2013.
Your money is officially no longer safe in any of the major Canadian banks. As we've witnessed in Cyprus the Canadian government will be looking to loot the accounts of depositors in the event that one or more of the "too big to fail" banks depletes its capital to the point of no return. The failed system of fractional reserve lending has proven disastrous and the time has come to protect your assets from being stolen by the government.

Chris Horlacher is a practicing Chartered Accountant providing management and project consulting services to large and mid-sized companies. Chris also sits on the Board of Directors of the Ludwig von Mises Institute of Canada, an international economics and public policy research centre.

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