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What Is The Federal Reserve?
The Federal Reserve, or Fed, is a privately owned central bank that controls the money supply of the United States. All the dollars we have in existence today were created by the Federal Reserve. In fact, if you look at any piece of currency you will see that it says Federal Reserve Note on it:
You might not know it, but the Fed...
Is Privately Owned
The Fed is a for-profit business that is owned by European and American banking families. These families loan money to the United States and make money off of the interest.
Is Publicly Subsidized
The Fed encourages banks to take huge risks because they know that any losses they might incur are picked up by the American taxpayer.
Makes Money Through the IRS
When we send money to the IRS they take that money and turn it over to the Treasury who in turn pays interest on bonds to the Fed. Short story: our taxes are paid to the Fed.
Makes People Poorer
Through inflation the Fed makes people poorer and makes the owners richer. Because of the Fed common items like Food and Gas become more expensive.
Lends Money Out of Thin Air
The Fed doesnât just print money out of thin air... it loans it out of thin air. All the money we currently have in circulation is a loan from the Fed to you... with interest!
Indebts Us In The Future
The Fed spends wealth that we have now and then flips us the bill years into the future. By doing this we are making us poorer and poorer in the future.
Operates In Secrecy
The Fed has no government oversight and operates behind closed doors. The Federal Reserve has never been audited.
Gives Money To Banks For Free
Banks are legally able to lend money that they donât have. The Fed allows banks to create loans for people with money that banks donât have.
Creates Booms and Busts
By controlling interest rates and the money supply the Fed is able to create booms and busts in the economy.
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The Federal Reserve is not American, not federal, has no reserves, and is not a bank. It is controlled by some of the richest and politically influential families in the world. It has the power to create money out of thin air. Institutions like the Federal Reserve have been staunchly opposed by designers of the Constitution, and by presidents such as George Washington and Thomas Jefferson.Robert Kiyosaki Conspiracy of the Rich
Why Do We Have It?
There are 2 answers as to why we have the Fed. There is the general mainstream answer. Then there is the hidden real answer.
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The Fed, as the Federal Reserve is known, was originally given the mission of establishing an "elastic money supply." The idea would be that the Fed could expand or contract the amount of money in circulation to correspond with economic activity. It was thought that such movements could hold prices steady through good times and bad. Even if such a mission were a good idea to begin with, it's easy to see that the Fed has utterly failed in accomplishing it. Over the past 100 years, the dollar has lost more than 95 percent of its value. So much for price stability! The truth is that the Fed now exists for the sole purpose of providing the inflation necessary to allow the government to spend more than it collects in taxes.Peter Schiff How an Economy Grows and Why It Crashes
The Cover Story
To stabilize the economy
We are told that the Fed helps to stabilize the economy. We are told that we need to Fed to do the tricky task of determining interest rates and the money supply. If it wasnât for the Fed the overall economy wouldnât operate at maximum efficiency and the free market would run rampant.
To control interest rates & credit
We are told that the Fed is needed to manage the complex and necessary task of controlling interest rates and managing credit. By having the Fed control interest rates we are able to avoid the boom and bust cycles that are a natural occurrence of unmanaged markets. If it wasnât for the Fed we would probably be in a recession right now!
To eliminate the business cycle
We are told the Fed helps to eliminate the business cycle by carefully managing the money supply and ensuring that all the necessary markets are balanced and working correctly. After all, having a business cycle is a bad thing because anything that naturally occurs in business is a bad thing and natural things should be turned into unnatural things by the Fed.
To eliminate bank runs
We are told the the Fed helps to eliminate bank runs. If it wasnât for the Fed doing their advanced economic stuff and their complex mathematical theories we would have bank runs left and right. Banks are out to get us and if we donât have the Fed we better watch out!
To control inflation
We are told that the Fed carefully helps to monitor inflation. We are told that a small amount of inflation is good each year. We want to have inflation so that we can keep the people spending and the economy going. The Fed monitors closely the amount of inflation and knows which rates to use in order to keep inflation going at a steady rate. These people are so smart.
To stabilize banking
We are told that before the Fed many banks would issue their own notes and there was lots of disparity between the value of the money from one bank to another. As we know, without any Fed oversight those banks will go crazy and screw people over. The Fed needs to force banks how to operate because people arenât smart enough to choose good banks on their own.
To create employment
We are told that the Fed is able to create employment by allocating resources where they are most needed for jobs. If youâre not understanding it by now let me write it out in plain English. You are a moron and the Fed is full of super smart government employees who are masters of doing complicated things that ordinary people like you and me canât figure out. They got this employment thing under control.
The Real Story
To destabilize the economy
In reality the Fed was created to and continues to destabilize the economy. Why would the owners & controllers of the Fed want to do this? Because the goal is to bring control of the United States into the hands of the bankers behind the Fed. The US, with its roots in freedom and free markets, is a very hard nation to control. Taking over financial control of a nation is one of the best ways to control a nation. This has been done time and time again in many other nations.
To keep real interest rates & credit from being achieved
In reality the Fed controls interest rates & credit to artificially create booms and busts. By creating artificial booms the Fed is able to loan trillions of dollars to the United States and the people. By creating artificial busts the Fed is able to buy up many assets such as businesses and real estate through the federal government.
To create the business cycle
In reality the Fed creates the business cycle and keeps markets from reaching equilibrium. There is no such thing as a business cycle in a free market. The market decides what is needed and what isnât needed. It isnât possible for the Fed to centrally manage a business cycle. All they can do is take whatever balance the free market already has and distort it further.
To create bank runs
The problem is that the major bank runs we have had historically are because of Fed manipulation. The bank runs of The Crash of 1929 were a direct result of Fed manipulation in the markets. If it wasnât for the Fed there would have never been a crash to begin with and there would have never been bank runs as a result of the crash.
To create inflation
In reality the Fed has to create more and more inflation because our money is debt. And the interest on our debt based money can only be paid off with more debt based money. And so more and more money has to continue being loaned out and as a result more and more inflation is the inevitable outcome. A main goal of the Fed is to extract our wealth through inflation.
To destabilize banking
In reality the Fed destabilizes banks by forcing them what to do rather than allowing them to operate the way they want to. By allowing banks to do what they want they will naturally work out all the problems and find the most efficient methods to keep things stable. But instead the Fed forces their bad ideas on banks.
To create unemployment
You canât print employment into existence. By forcing jobs through money lending all you are doing is making everyone as a whole poorer. Furthermore, taking money from where it is needed and moving it to where it isnât needed is a misallocation of resources and another net loss. Unemployment isnât fixed by the Fed, it is further sustained by it.
History / Timeline
To better understand the Federal Reserve it is important to understand that the creation of a central bank has long been the plan from international bankers. After many failed attempts it wasnât until 1913 that the bankers finally accomplished their goal.
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Give me control of a nation's money and I care not who makes her laws.Mayer Amschel Rothschild
1694
Bank of England Established
The Bank of England was one of the first central banks and served as a model for how to the Federal Reserve would operate. Throughout the history of America, the same families who controlled Britain through the Bank of England worked to control America the exact same way.
1757
Colonial Scrip Issued in Colonies
One of the earlier currencies issued in the colonies was the debt free Colonial Scrip. During the issuance of this currency no taxes were necessary and the economy ran relatively smooth.
1763
Rothschild Banking Dynasty Established
Mayer Amschel Rothschild establishes one of the largest banking dynasties ever. The Rothschilds went on to become the prominent banking family of the 19th century. It has been said that "the wealth of Rothschild consists of the bankruptcy of nations".
1764
British Currency Act Forbids American Colonies from Issuing Currency
After seeing the success of the Colonial Script Britain decided to issue the Currency Act in 1764 which forbid the colonies from issuing their own money.
1775-1783
American Revolution
One of the main causes leading up to the American Revolution, contrary to popular belief, was the control Britain had over the money supply of the colonies. America was founded by protesting control over the money by foreign hands.
1791-1811
Hamilton convinces Washington on The First Bank of the United States
Washington, not being the best economist, was persuaded by Hamilton to issue the first central bank in the US. Almost immediately after the creation of the US international bankers were already working their way in.
1798-1815
5 Rothschild sons spread out across Europe
Each of the 5 sons spread out to establish banks in the following European cities: London, Paris, Vienna, Naples and Frankfurt.
1811
The Bank of the United States Charter Runs Out
After 20 years The First Bank of the US charter runs out and it comes to an end.
1812
War of 1812
The War of 1812 is primarily fought because the US failed to renew the charter for The First Bank of the United States.
1815
Nathan Rothschild takes over financial control of Britain
After the Battle of Waterloo Nathan Rothschild was able to buy up a large portion of the Bank of England and establish the Rothschild family as major players behind world financial control.
1816
Second Bank of US Established
5 years after the end of the First Bank of the US charter a 2nd one is started once again.
1832-1835
Biddle VS Jackson on bank
Towards the end of the 2nd Bank of the US charter the powerful banker Nicolas Biddle uses every financial trick in his book to keep Andrew Jackson from putting an end to the bank. Eventually Andrew Jackson comes out victorious and is able to put an end to the 2nd national bank of the US.
1835
National Debt Paid Off
Shortly after Jackson stops the 2nd national bank, the US national debt is paid off for the first time and only time in its history.
1835
Jackson Assassination Attempt
An assassination is attempted on Andrew Jackson. It's fairly obvious to understand why.
1854
Rise of Morgan
Junius S. Morgan (J.P. Morganâs father) joins forces with London-based George Peabody & Co. to establish the House of Morgan banking establishment. His son J.P. Morgan, a front-man for the Rothschilds, goes on to finance many industries in America and becomes one of the largest American bankers of the late 1800âs.
1861-1865
American Civil War
Once again, the world financiers set up another war to try to divide America and take over financial control. A war-time income tax was also used for the first time in America, modeled after a British system of income taxation.
1862-1863
Lincoln Issues Greenbacks
Abe catches on to the banker's plan to loan America money at 19% interest during the war and issues Greenbacks from the Treasury instead.
April 15, 1865
Lincoln Assassinated
Lincoln is Assassinated. Some people say that John Wilkes Booth was a front-man used by the international bankers.
1870s - 1900s
Rise of Rockefeller
Through the financial efforts of J.P. Morgan, John D. Rockefeller establishes the largest oil company in the world. This vast wealth would eventually solidify a close partnership between the House of Morgan and the House of Rockefeller. The Rockefellers go on to become the 20th century Morgans in America, closely aligned with the Rothschilds of course.
1880s
Rise of Schiff
During this time Jacob Schiff also becomes a major financier in America. Once again, he is closely linked to the Rothschilds.
1880s-1900s
Gilded Age
With a good 20 or so years of relatively free markets and no central bank America experiences one of the largest growth periods ever.
July 2, 1881
President James Garfield Assassinated
President Garfield openly stated that whoever controls the supply of currency would control the business and activities of all the people. President Garfield was shot at a railroad station after only 4 months in office.
1907
Panic of 1907
With all their American players in place, the international bankers engineer another staged panic in order to establish yet another central bank in America.
1910
Secret Meeting at Jekyll Island
High level European and American bankers and politicians have a secret meeting at Jekyll Island in order to discuss the details of how the new central bank, The Federal Reserve, will be established.
1912
Woodrow Wilson put into office
Woodrow Wilson is cleverly put into office by the bankers in order to pass many of the bankers' plans.
1913
Creation of IRS
The IRS is established and covertly becomes the collection branch for the soon to be created Fed. The IRS has an integral relationship with the Fed, as you will see later.
1913
Creation of Fed
With the IRS in place, the next version of an American central bank is established. The international bankers played Democrats against Republicans. The Democrats pushed for the Aldrich Plan, the Republicans for the Federal Reserve Act. Both plans were essentially the same thing with different names. With time the Federal Reserve would be evolved into what we have today.
1914-1919
World War I
Once the central bank is established its time to go to war and make some money. The currency supply is inflated and dollars are sent to businesses and banks abroad.
1921-1930
Roaring 20âs
With the centrally controlled expansion of the money supply the 1920âs experience a boom. The currency supply is artificially inflated and people are loving the easy money.
1929
Stock Market Crash
Once the expansion of the currency supply in the 1920âs comes to a stop the Stock Market crash of 1929 takes place.
1933
Executive Order to turn gold in
In order to keep people away from real wealth and real money an Executive Order 6102 is issued in order to collect peopleâs real money in exchange for Fed paper money.
1933
Glass-Steagall Era
As a result of the engineered stock market crash of 1929, new bank regulations were put in place during the Glass-Steagall Era. The government jumped in and insured many of the risks that banks took and by doing this created a moral hazard that banks were able to use to their advantage.
1934
Great Depression
The Great Depression sets in as a result of Fed manipulation and America experiences one of its hardest periods.
1935
Social Security
Social Security is created in America wherein United States citizens are covertly pledged as collateral to international bankers for the debt of the United States.
1939-1945
World War II
With a central bank that is able to inflate the currency the surefire way to revive a depressed economy is to just print more money and take the country into war. And that is exactly what happened during World War II.
1951
Treasury Accord
The Treasury Accord was an agreement put in place between the US Treasury and the Fed that assured the Federal Reserve would remain an independent entity.
1963
Kennedy authorizes Treasury to issue money
Like Lincoln 100 years earlier, Kennedy authorizes the Treasury to issue its own money outside of international banker control...
1963
Kennedy Assassinated
Like Lincoln, Kennedy is also assassinated.
1971
Dollar Taken off gold standard
The dollar removes its final connection to real money and at this point becomes 100% paper money backed by nothing.
1971
Gold Prices soar
Once the dollar is de-pegged from Gold the price of gold soars.
1971
World Reserve Currency
The US Dollar becomes the world reserve currency so that in the future other countries will keep the dollar propped up and going strong.
1980
Monetary Control Act
The Monetary Control Act gave the Federal Reserve even greater control over the banking industry. Banks now had to follow rules put in place by the Fed.
1999
Financial Services Modernization Act
This legislation took note of the problems created by the earlier Glass-Steagall regulations and replaced many of these regulations with even more outrageous regulations which created even more problems and led in part to the housing bubble of 2008.
2000
Dotcom Bubble
Leading up to the dotcom bubble the Federal Reserve pumped lots of currency in to the market which led to malinvestment and artificially raised the prices of stocks, especially tech stocks during this time.
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2008
Housing Bubble
Like the dotcom bubble, the housing bubble was caused by the Fed pumping lots of currency into the market through artificially low interest rates and the government backing risky loans to ineligible home buyers.
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2008
Crash of 2008
All the easy loans and Fed manipulation had to eventually come to an end and in 2008 it finally did. But the crash was never allowed to fully take place. The Fed jumped in and essentially bought up all the bad loans and kicked the can further down the road.
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Present Day
Government Bubble
What we are left with today is an economy built mostly on artificial inflation completely engineered through the Federal Reserve. Interest rates are artificially kept low to keep the economy running and the Federal Reserve prints what is needed to make up for all the losses by having these low interest rates. Mathematically speaking, this can't go on forever...
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Because once they got the Federal Reserve into position, locked into position illegally, but locked into a position of power, then they could put on the dollar "Annuit Coeptis," "Our Enterprise is now a Success," meaning, "We have now taken over America, and America was sound asleep and didn't even know it." So what I'm saying is that we have all been had.Jordan Maxwell Matrix of Power
Who Created It & Who Owns It?
The Fed was created back in 1913 by a group of international bankers. The largest European and American bankers of the early 1900âs decided to collude with one another and create a state-enforced cartel that would monopolize the banking industry into their hands.
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...the most powerful men in the United States were themselves answerable to another power, a foreign power, and a power which had been steadfastly seeking to extend its control over the young republic of the United States since its very inception. This power was the financial power of England, centered in the London Branch of the House of Rothschild. The fact was that in 1910, the United States was for all practical purposes being ruled from England, and so it is today. The ten largest bank holding companies in the United States are firmly in the hands of certain banking houses, all of which have branches in London. They are J.P. Morgan Company, Brown Brothers Harriman, Warburg, Kuhn Loeb and J. Henry Schroder. All of them maintain close relationships with the House of Rothschild, principally through the Rothschild control of international money markets through its manipulation of the price of gold.Eustace Mullins Secrets of the Federal Reserve
Past Families
During the creation of the Fed there were many competing families who decided to team up and create a state monopolized cartel called the Federal Reserve. Some of those families are as follows:
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Rothschilds
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Warburgs
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Morgans
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Schiffs
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Harrimans
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Lazards
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Goldman-Sachs
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Browns
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Schroders
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Lehmans
Present Day Families
Today, many of the families of the past have been consolidated into two main factions operating behind the Federal Reserve. We have the European faction headed by the Rothschilds and we have the American faction headed by the Rockefellers. The European faction is above the American faction. The House of Morgan basically evolved into the House of Rockefeller from a financial perspective.
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Rothschilds - Europe
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Rockefellers - America
Past Banks
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N M Rothschild & Sons
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M. M. Warburg & Co.
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Morgan, Grenfell & Co.
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Schroders
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Lazard
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Lehman Brothers
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Merrill Lynch
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Bear Stearns
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Kuhn Loeb
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Chemical Bank
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J.P. Morgan
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Manufacturers Hanover
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Bankers Trust
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The Bank of New York
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Morgan Guaranty Trust Company
Present Day Banks
Today, many of the banks of the past have either merged or purchased by larger banks in an effort to consolidate.
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The Warburgs, Kuhn Loebs, Goldman Sachs, Schiffs and Rothschilds have intermarried into one big happy banking family.Dean Henderson Big Oil & Their Bankers In The Persian Gulf
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N M Rothschild & Sons
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Chase
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Citibank
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Bank of America
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Wells Fargo
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Goldman Sachs
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Morgan Stanley
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Deutsche Bank
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BNP Paribas
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Barclays
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Credit Suisse
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UBS
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Royal Bank of Scotland
Pro Tip...
If you really want to know who is behind the Fed simply follow the money. Look who got bailed out in 2009:
Bank Amount Citigroup $2.513 trillion Morgan Stanley$2.041 trillion Merrill Lynch$1.949 trillion Bank of America $1.344 trillion Barclays PLC $868 billion Bear Sterns$853 billion Goldman Sachs$814 billion Royal Bank of Scotland$541 billion JP Morgan Chase$391 billion Deutsche Bank$354 billion UBS $287 billion Credit Suisse $262 billion Lehman Brothers$183 billion Bank of Scotland$ 181 billion BNP Paribas $175 billion Wells Fargo$159 billion Dexia$159 billion Wachovia $142 billion Dresdner Bank$135 billion Societe Generale$124 billion All Other Borrowers$2.639 trillion Total$16.1 trillion
A Brief Lesson on Economics
To really understand the Fed you first need to understand a few things about economics.
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Whoever controls the volume of money in any country is absolute master of all industry and commerce... and when you realize that the entire system is very easily controlled, one way or another, by a few powerful men at the top, you will not have to be told how periods of inflation and depression originate.James Garfield President of the United States of America
Money
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We use money on a daily basis but do we really know why we use money or where it comes from?
Money evolves from bartering. When a society starts out people barter what they have for what they need and want. Somebody may barter a cow for 1,000 oranges.
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But as society becomes more advanced and needs are more specific it becomes hard to barter certain types of goods. What if somebody has a cow to barter but only wants 100 oranges? How do they barter 1/10 of their cow?
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So money develops as an item to use in place of barter. Rather than barter 2 goods directly, money is introduced as a medium of exchange to make bartering easier and more useful. Now if somebody wants only 100 oranges they can first barter their cow for coins like gold or silver.
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And then once they have the coins they can now barter just one coin for 100 oranges. Rather than trade their cow directly for 100 oranges, they first traded their cow for money. And then they used a fraction of this money to trade for 100 oranges.
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Properties of Money
But not everything works well as money. If you use ice cream as money it will melt and go bad. If you use furniture as money it is cumbersome and hard to exchange. Certain types of goods work well for money, others do not. Here are some properties that are generally desired in money:
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Portable
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Durable
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Divisible
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Rare
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Inter-changeable
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Unit of Account
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Store of Value
We have used lots of things for money throughout history but gold and silver usually end up being money because they have all of these properties more so than anything else.
Receipt Money
Now gold and silver are great for money, but they can be a bit cumbersome to transport around all the time. People would much rather carry dollars or credit cards than coins. So banks start to issue paper receipts for gold, and people exchange these receipts instead of the gold itself. So people store gold in their bank, and the bank issues a receipt saying that you own X ounces of gold. At anytime you can return to the bank and hand them your receipt to reclaim your physical gold. This is where it gets interesting so pay attention...
The dollars we hold in our wallets are actually a receipt on money, at least thatâs what they originally were. So when the US first started minting dollars you were able to go back to your bank and turn your dollar in for gold.
Look at an early dollar bill:
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But that has changed and you canât do that anymore, look at one today:
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Our money used to be backed by gold. Now it isn't backed by gold. We have what is called fiat money now. Our money isn't backed by anything. So the important property of money called "Store of Value" is no longer present in our money. Because our money isn't backed by value it canât possibly serve as a store of value. And when you have money without a store of value it is no longer money⌠it is currency. And that is what we have today.
Currency VS Money
Now remember, money has all these properties:
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Portable
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Durable
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Divisible
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Rare
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Inter-changeable
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Unit of Account
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Store of Value
Currency, on the other hand, has these properties:
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Portable
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Durable
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Divisible
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Rare
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Inter-changeable
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Unit of Account
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Store of Value
This one missing property, store of value, is what creates all the financial problems we have today. Read on to find out how.
Inflation & Deflation
Inflation and deflation are really simple. When we increase the amount of money in circulation we have inflation. When we decrease the amount of money in circulation we have deflation.
We have a money supply which is the total amount of all the money in circulation. If we add more to it we have inflation. If we take away from it we have deflation.
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In general it doesnât matter whether we have inflation or deflation because prices just adjust accordingly. Here are normal prices:
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If we double the money supply and things cost 2 times as much we also will usually make 2 times as much at our job. So we donât really lose out.
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If we have deflation and things cost 1/2 as much we also will usually make 1/2 as much at our job. So it works out about the same.
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The money supply really doesnât matter... unless we destroy purchasing power...
Purchasing Power
The problem comes when we have inflation, but it isnât distributed equally among everyone.
If the inflation we had was true inflation every one of us would have an increase in our money. But when new money is created by the Fed we donât all have an increase in our money... only a few commercial banks get the newly created money.
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As a result the new money makes the value of our current money go down because our money has been diluted. This is called a loss in purchasing power. It takes more dollars to buy the same amount of goods. So what this results in is something more like this:
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You can measure the purchasing power of the dollar by comparing how many dollars it takes to buy other goods like food, cars, oil and gold. To see the destruction of the purchasing power of the dollar all you have to do is look at a graph between gold and the dollar over the past 100 years. Keep in mind that the dollar was removed from the gold standard in 1971 which is where gold really starts to take off.
Money Supply (M2, in billions)Gold PriceMoney Supply (M2, in billions)Gold Price
Highcharts.com
You will see that as more dollars are created the price of gold goes up and the value of the dollar goes down. Gold isnât going up in value, the dollar is losing value. The dollar is losing purchasing power and so it takes more dollars to buy gold.
Now banks arenât stupid. They know that the role of the Fed is to create inflation and money for banks. And because of this banks purposefully take risks knowing that if they lose money the Fed will bail them out. This is what happened with the housing bubble in 2008. Banks created risky loans knowing that if they went bust the Fed would be there to bail them out. And that is exactly what has happened. These banks didnât go bankrupt. The Fed created inflation, made you and me poorer, and the banks came out on top. The banks made money from the bad loans they wrote and then they were made whole again from the Fed when the bad loans went bust.
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In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value. If there were, the government would have to make its holding illegal, as was done in the case of gold.... The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves. This is the shabby secret of the welfare statists' tirades against gold. Deficit spending is simply a scheme for the "hidden" confiscation of wealth. Gold stands in the way of the insidious process. It stands as a protector of property rights.Alan Greenspan Federal Reserve Chairman
How The Federal Reserve REALLY Works
The Fed is one of the most misunderstood and confusing of all branches of "government"... and rightfully so. Itâs supposed to be. If people understood how the Fed really worked it wouldnât exist. Once you understand the process behind the Fed you can begin to see the fraud and counterfeiting that is taking place right in front of your eyes. Keep in mind that this might seem crazy and like there are wasted steps -- itâs supposed to look like that. The whole system is built upon smoke and mirrors.
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It is a sobering thought that the federal government now could operate â even at its current level of spending â without levying any taxes whatsoever. All it has to do is create the required money through the Federal Reserve System by monetizing its own bonds. In fact, most of the money it now spends is obtained in that way.G. Edward Griffin The Creature From Jekyll Island
5 Parties Involved
So we first need to understand which entities are involved with the Federal Reserve process. There are 5 main entities:
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The Treasury
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Banks
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The Fed
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The Government
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The IRS
4 Step Process
The Fed can be broken down into 4 main steps. We will give an overview of each step. Keep in mind that the whole process is built around debt and inflation.
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This system requires that we go deeper into debt every month than we were the previous month. We have to always borrow more currency into existence than we are extinguishing every single month or the whole thing starts to collapse.Mike Maloney
1. Currency Creation2. Government Spending3. Fractional Reserve Banking4. Tax + Interest1234567891011đˇ"đˇ
Although listed as part of the Treasury Department, the IRS is actually a private collection agency for the Federal Reserve System. It originated as the Black Hand in mediaeval Italy, collectors of debt by force and extortion for the ruling Italian mob families. All personal income taxes collected by the IRS are required by law to be deposited in the nearest Federal Reserve Bank, under Sec. 15 of the Federal Reserve Act, "The moneys held in the general fund of the Treasury may be ....deposited in Federal reserve banks, which banks, when required by the Secretary of the Treasury, shall act as fiscal agents of the United States."Eustace Mullins Secrets of the Federal Reserve
To Put It Bluntly...
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Ponzi Scheme
The Federal Reserve is a giant Ponzi Scheme of the greatest magnitude. The only way to pay off the current dollars in existence is to borrow even more dollars into existence.
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Imaginary Money
All of the money we use today is imaginary money that isn't backed by anything. The only value our money has is the value we give it.
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5th Plank of Communist Manifesto
A central bank controlled by the State is the same setup they had over in the Soviet Union and it is the 5th plank of the Communist Manifesto.
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Robbery
The Federal Reserve is white collar robbery at the highest level. Talk about money laundering and illegal counterfeiting...
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$400 Billion/yr In Interest
Over $400 billion of taxpayer dollars (~20% of all income taxes) go to pay only interest to the Fed. If we didn't have the Fed we wouldn't have these interest payments.
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Poverty
The largest creator of poverty in America is the Federal Reserve. Our money is worth almost 100 times less since the creation of the Federal Reserve.
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Not About Money. About Control.
The Fed has never been about making money. The people who own the Fed have all the money they could ever need. It is about control, and they control us through money.
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Chairman More Powerful Than President
The Fed chairman is much more powerful than the President of the US. The President may be the chief executive, but the Fed chairman controls whether or not America is rich or poor without any oversight.
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Largest Scam Facing America
In short, the Fed is the largest scam facing America. A look into the history and the current operations of the Fed will reveal the true intent and the true degree of treason such an edifice holds.
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If all the bank loans were paid, no one could have a bank deposit, and there would not be a dollar of coin or currency in circulation. This is a staggering thought. We are completely dependent on the commercial banks. Someone has to borrow every dollar we have in circulation, cash, or credit. If the banks create ample synthetic money we are prosperous; if not, we starve. We are absolutely without a permanent money system. When one gets a complete grasp of the picture, the tragic absurdity of our hopeless situation is almost incredible - but there it is.Irving Fisher
How Do We Fix It?
So with all this bad news about the Fed can anything be done to fix it? Of course.
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The best solution is to allow people to use whatever currency they want to use. Right now we are forced by law to use Federal Reserve Notes. If we allowed people to transact in whatever currency they wanted to use we would see an advancement in the overall quality of life that has never been seen before. The money we use everyday is the main reason why we have so many problems. Solving the problem of money will make every other political issue pale in comparison.
đˇBut the free market approach probably isnât going to happen for a number of reasons⌠so we are left with the next best option: get rid of the Fed and let the Treasury issue its own currency interest free. Right now we are paying interest on our dollars to international bankers like the Rothschilds simply because we choose to. At any time we could say no more and issue our own money without interest through the Treasury.
Before we go out and do something like this it may be worthwhile to remember American history. As we pointed out, having the Treasury issue its own currency without central bank involvement has been done before with bad results. Lincoln tried it with Greenbacks and was killed. Kennedy also tried it and he was also killed. The international bankers donât mess around when it comes to money. The history of America has always been about keeping international bankers from turning America into a feudal nation of serfs. And right now the bankers are winning big time.
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Now the bankers may be able to stop a few people here and there, but they canât stop all of us. Their greatest fear is the people waking up and figuring out how the banking system works. If we know how their game works theyâre finished -- and they canât stop us. And this is what they fear more than anything. The international bankers rely on our stupidity to even have a fraction of control over us. As soon as we figure out how their game of banker slavery works itâs game over for them and we can finally move forward to the next step of civilization. Henry Ford said it best:
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It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.Henry Ford
And now you know!