Bank and money, Do you know the details about them?
@liu_hongdi361 (116)
China
March 29, 2007 6:49am CST
Every day, we do something and creat the value and get some money.But do you know the details about the money and bank?my friend from Italy told me a moment ago, that he studied the bank of China, then he found that the Bank of China is still owered by some syndicates, that's mean all the bank in the world is the same,just making bank notes and made the balance of economy.in other words, if we work's value is 100$,we can get only 1 cent about, the rest is robbed by the very seldom syndicates. i am wondered about this, Why like this? Do you know about them clearly?
1 person likes this
2 responses
@gbolly54 (661)
• Nigeria
29 Mar 07
Please, pardon me if I say that you probably did not get what your friend was trying to convey. While there is hardly any profession or industry that does not have some level of syndicate syndrome, I am not sure your friend actually meant that the banking syndicates rob the banks of all the money. He was probably referring to the fractional banking system by which banks are able lend a large multiple of the deposits it generates, depending on the liquidity ratio stipulated by the monetary authorities. For example, if the liquidity ratio is set at 10%, a bank can lend its customers up to $1,000 from a deposit base of $100, thereby creating an extra money amounting to $900. This extra money created this way is made available to customers, probably the 'syndicates', to enhance their business activities. I hope I have made some sense here.
@liu_hongdi361 (116)
• China
29 Mar 07
Thanks to you about details of bank operation. so it is just because that the bank have the authorities, then he can creat an extra money of $900 according to his $100 deposit base. right?
@yanjiaren (9031)
•
29 Mar 07
This is a very interesting topic but I don't quite know much about banking dynamics except they have to have a hefty reserve of metals to do what they have to do. I have never quite heard of syndicates being involved so heavily in the banking field. Please let us know more when you have info.I would be interested to know.
