How to teach your children about the banking system... and why we need Banking Reform
Once upon a time there was a little piggy bank who loved to look after children's money. He would take as much as possible and hold it safe and sound until the children wanted it back. He was his own pig, he answered to no other pig and he was happiest when he was looking after money.
One day piggy was talking to his friend from the city and they came up with a great plan. What if they shared the job of looking after money???
It was a real success. The city piggy decided that they had so much money they could loan some of it out to other children to buy sweeties, so long as they gave it back when they got their allowance, plus a little extra for the service of borrowing. All went well the two little pigs were very careful about which children they would trust to lend money to. The children they trusted always paid back their sweetie loans on time. It was such a success the two little piggies had far more money than they could hold. They began to wonder, perhaps we could lend some of the money to other piggies? City piggy had another well connected friend !
Things began to go wrong ! The new pig on the block was not quite as careful who he lent sweetie money too, and he didn't collect many saved penny's from children either. Before long all three piggies were getting thin. The worry was, what would happen if all the children that saved money, wanted it back, there would not be enough to go around.
The new pig on the block said he'd had a wonderful idea. What if we take some of our money to Las Vegas and try our hoofs on the penny slot machines? The first two pigs were not sure, but they had grown to like being popular, lending sweetie money to the children. So they decided to give all their money to piggy 3 and send him to find profits.
Piggy 3 did well, he made a lot of money on the penny slot machines and was thrilled thinking of how the other pigs would tell him how amazing he was. Piggy 3 was so excited with himself, he decided to try making even more money. He would be the most famous and successful pig in the land....
Do you know what this is children, its a Roulette wheel ! You can bet lots of money and win even more, if you can guess which colour and number the little ball will land on when the wheel stops. Piggy did well for a while, then his luck ran out !!!! He lost some and then some more. Then he had no money left to gamble and had to go home to the other pigs.
When he got home he found the other pigs excited to here curly tails of the pig city.. Piggy 3 said ...
There is some good news and some bad news
First the bad news, I have had a bad run of luck with my "investments", there is no money left.
Depressed, the first two pigs asked what the good news was..
Well said piggy 3 " I had a great time !"
And so it is with Banks today, they take our money and invest it in what we think are safe places, only for us to find that they have actually bought up each others debt, trying to make a quick buck. Meanwhile they ensure they pay each other big bonuses and have a "great time"