- Published on Friday, 18 December 2015 07:31
Christianity prohibited interest until the Renaissance and the invention of double entry bookkeeping.
When the “Father of the Renaissance”, a humanist scholar, priest, and astrologer by the name of Marsilio Ficino translated the Corpus Hermeticum from Greek into Latin, he could not have known that his labour would, in time, condemn most of humanity to slave labour for the Lords of Time.
For Schumpeter, capitalism “generates a formal spirit of critique where the good, the true and the beautiful no longer are honoured; only the useful remains – and that is determined solely by the critical spirit of the accountant’s cost-benefit calculation”.
Double-entry bookkeeping would then, as now, serve the purpose not only of helping the merchant calculate his profits. It would enable the merchant to “prove” that his profit-making was legitimate; that is to say, in context of the times, that he had not been practicing usury in violation of the Church’s official prohibition.
The illusion – for that is precisely what it is – that money possesses within itself an innate characteristic called “Time value”, is quite simply the greatest public deception of all time.
Why would bookkeeping need to persuade? Because, says Aho, it was used to defend these businesses against the Church’s ban on usury. The rhetoric of a well-kept ledger argued for the honesty of a business and the legitimacy of its profits, as this advice from 1683 makes clear: “If [the merchant] be fortunate and acquire much, [double entry] directs him the way to Imploy it to the best advantage, if he be unfortunate it satisfies the world of his just dealing, and is the fairest and best Apologie of his Innocence and honesty to the World.”
Today, we are born into a world where the “logic” that money possesses a Time Value seems self-evident. The idea is so deeply embedded in our individual and collective consciousness, it has become part of our common language. Everyone knows that “Time is Money”.
The idea that money available at the present time is worth more than the same amount in the future due to its potential earning capacity. This core principle of finance holds that, provided money can earn interest, any amount of money is worth more the sooner it is received.
Everyone knows that money deposited in a savings account will earn interest. Because of this universal fact, we would prefer to receive money today rather than the same amount in the future.
When a banker checks a customer’s credit score, it is to assess how successful or aggressive that individual or business will be in contending with others to obtain funds that are not created in sufficiency to pay back the interest on the loan.
So a "credit score" is primarily a measure of competitive aggression rather than an indication of honesty or integrity.
Quite simply, interest on money is the wrecking machine at the heart of our economy but its evil purpose is hidden by the comfortable illusion of double entry bookkeeping.
Interest on money is the means by which bankers rule the world.