That’s right, nobody got a criminal conviction for causing the GFC, nobody of note anyway. Not the top honchos of the big investment banks, not the rating agencies, not the custodians of our savings (the fund managers), and not the Local Councils who bought the toxic instruments with public money without assessing their credit worthiness. They all participated in the system, facilitated it and profited from it, well, until it collapsed. Yet none of them landed behind bars. At the time the press and politicians were blaming “greedy bankers”, but none of them ended up behind bars. Rather surprising don’t you think, especially since the GFC nearly produced economic Armageddon throughout the world.
Actually, it is not surprising at all. That’s because it was not caused by them, it was caused by US government policy. Did the US government admit it? Of course not! It is common for governments, through their MSM puppets, to blame others. Can you think of any government or ruler in history who has admitted responsibility for causing hyperinflation or other financial crisis. No, nor can I.
Hitler for example, blamed greedy Jewish bankers and merchants for the hyperinflation and economic strife in Germany. Who was actually to blame – it was the Weimar Republic’s central bank, the Reichsbank, running its money printing machine at full capacity at the direction of its President Rudolf Hauenstein.
Every financial crisis and every period of hyperinflation since about the time coins were first used as currency by the Kingdom of Lydia in the 6th and 7th century BCE, was caused by the rulers, by the governing authority, not by bankers or merchants. In every part of the world, in every century, hyperinflation was caused by increasing the amount of money in circulation faster than the rate at which products and services increased. In ancient times, that was caused by debasing their coins. In modern times it is through digital printing. The underlying need has been the same throughout history – to fund fiscal deficits, which result from government spending more than it collects in taxes.
So, what has our political class and central bankers learned from a 2600-year history replete with examples? Apparently, nothing! And since we, in democratic countries, elect the people, the politicians, to manage our countries’ finances, what have we learnt? Again, apparently nothing!
The USA, managing the world’s reserve currency, the currency of most trade, is adding some 2 trillion USD to the world’s money supply every year, and most western democracies, including Australia, have significantly increased their money supply over the past 6 years (since 2000), well above the increase in products and services. Concerningly, very concerningly, there is no sign of any real desire to reverse it.
Unless we do and do so soon, we will inevitably spiral into hyperinflation and economic collapse. If you think I’m being alarmist, consider how quickly the likes of Zimbabwe, Venezuela, Argentina and other once prosperous nations collapsed.
An example showing how quickly it can happen is, Mansa Musa’s pilgrimage to Mecca in 1324 with an entourage of some 50,000 people and tonnes of gold. On route he bought out local markets and handed out vast amounts of gold as gifts. With significantly more gold in circulation and minimal (if any) increase in the production of goods, prices soured. This hyperinflation triggered severe recessions in the towns and regions through which his entourage passed. On his return home, realising what damage he had inadvertently caused, he borrowed back the gold from moneylenders, taking it out of circulation, which brought prices back down.
Also, consider how difficult it will be for elected politicians to take welfare and the like away from people. It is very easy for politicians to buy votes by handing them government benefits, but a whole lot more difficult to take them away.
Does your team, the political party you prefer, have the will to do it? Their policies and rhetoric don’t show it – and that’s not surprising! Why not, you may ask? It is because politicians, especially career politicians, will do and say whatever they think sufficient voters want to her to get them elected, and once elected, re-elected. Handing out benefits wins vote, taking away benefits is very unpopular. The more people getting handouts and living off the teat of government, the more difficult it is to get enough votes needed to turn the country around, back into fiscal surpluses. That is, until the economy hits rock bottom, sometimes creating a monster. That situation caused the French, Chinese and Russian revolutions and the rise of Hitler, Stalin and Mao Zedong.
What I’ve been trying to convey is – hyperinflation, financial crises and economic collapses are not caused by greedy bankers, they are caused by government, who in democratic countries are the politicians we elect, and they do whatever they believe they need to do to get elected and re-elected. In other words, in modern times these crises have been caused by the people, by the voting public.
The way I see it is, we as a nation are on a one-way highway to poverty, but there is another road heading in the opposite direction, one heading to prosperity. Getting on that road to prosperity is however getting increasingly difficult and the longer we take to get on to it, the further we need to travel to reach prosperity.
So, the choice is yours to make – you can just go with the flow so to speak and accept our inevitable slide to economic collapse and poverty, or you can be part of the solution, which you can do by supporting Classic Liberals. It is the only party in Australia that intends to turn the country around back to producing fiscal surpluses and has a plan for doing so. It will boost the economy and slash government spending.
Contributions can be financial (through donations and membership subscription), at the ballot box and / or by telling your friends, family, colleagues and business network. Your future and that of your children is in your hands. Now is the time for action. Any delay makes it more difficult to return to fiscal surpluses and boost our economy.
Written by Mark M.J. Morris (June 2026)