This page has been archived and commenting is disabled.
The US Does Not Own Or Control Its Money System
What is money?
Most of our adult lives are devoted to making this stuff.
Next to food, water, and sleep it’s the #1 concern for most human beings in the
US. Nearly 80% of divorced couples cite financial difficulties as a reason for
the divorce. And the American
Psychological Association reports that 73% of Americans cite money as a source
of significant stress.
And yet, despite being the medium for every economic
transaction in our financial system, few if any individuals actually understand
what money is and how it works in today’s Federal Reserve banking system.
So I ask again, what is
money?
The common answer is: Dollar bills or coins.
The common answer is wrong.
The US monetary system is in fact entirely backed-by debt.
Dollars are not actually assets, they are debt-backed instruments produced by
the Federal Reserve. I realize this is difficult to swallow, but have a look at
the Dollar bill itself.
Note the top of the bill does NOT read “US Dollar” or
“official currency of the United States.” Instead it reads “Federal Reserve Note.”
So this bill is in fact, NOT produced or controlled by the
US Government. . Instead, it’s a note issued by the Federal Reserve.
The confusion continues if you look around the rest of the
Dollar’s front. Nowhere does it state that the bill was produced by the US
Government or was generated in a Federal facility. Instead you see a black
circle on the left that reads “Federal
Reserve Bank of San Francisco,” indicating that this particular note entered
circulation via the Federal Reserve Bank of San Francisco.
But surely this is just a round about way of saying the
Dollar is the US’s currency, right? After all, the Federal Reserve is a branch
of the US Government.
Wrong. The Federal Reserve is in fact a privately held organization. If you go to the Federal
Reserve’s website you will see that while it IS a .gov web address (http://www.federalreserve.gov/), the
site itself is for “The Board of Governors of the Federal Reserve System,” or
the management of the Federal
Reserve, NOT the Federal Reserve System itself.
Nowhere does this site state what the Fed really is, who
owns it, or how it even operates. Instead, all you see are profiles of the various
members of the Board of Governors (including current Fed Chairman Ben Bernanke)
and articles detailing the data the Fed tracks and the policies it enacts.
Imagine if General Motors’ website made no mention of cars
or trucks but simply focused on GM’s management team and the policies they
employ at the company. THAT’S the equivalent of the Federal Reserve’s website.
Now, the Federal Reserve DOES maintain another website that
focuses more on the Federal Reserve Banking System’s services, however this
website is NOT a .gov site, but a .org site: http://www.frbservices.org/, meaning it
has NO involvement with the US Federal Government/
Which brings me to shocking truth #1: The US Government neither owns nor controls the US Federal Reserve.
At best, the US Federal Reserve is a quasi-governmental organization.
The President of the United States does choose the Chairman of the Federal Reserve’s Board of
Governors. However, even this setup is a farce as the Fed presents candidates
from whom the President can choose from. Moreover, the confirmation of a Fed
Chairman takes place in Congress, whose members receive incentives both
monetary and other from Fed lobbyists as the below quote attests:
"I
was advised that rejecting [Bernanke's] nomination would cause markets to nose
dive, which would hurt retirees and families saving for their future. I am not
enthusiastic in my support. " - Senator Barbara Mikulski (D- MD)
Thus, even the Government’s appointment of the Chairman of
the Board of Governors of the Federal Reserve is a farce. It is at best a
dramatic gesture meant to instill the notion that the Fed is somehow affiliated
with or controlled by the US Federal Government.
However, in reality the Fed is a totally separate entity, a
privately held organization controlled by the most powerful people on the
planet. To put it plainly, the Fed is a cartel permitted to operate and control
the US monetary system with the approval of the US Government.
This is why the US Dollar states “Federal Reserve Note”
instead of “Currency of the United
States” or “Produced by the US Government for the Citizens of the United States
of America” or some such thing.
The US Government didn’t create the US Federal Reserve
system, all it did was give the latter its seal of approval metaphorically (by
passing the Federal Reserve act of 1913 which created the Fed as a legal entity
and gave it control of the US monetary system) AND literally (by placing the US
Treasury Seal on every Federal Reserve Note the Fed produces):
It’s one of the best hidden
secrets in the world… and yet it’s staring all of us in the face. How many
Americans realize this? Better yet, how many Americans realize that our
entire money system is in fact backed by debt?
1 in 100,000?
1 in 1,000,000?
Best Regards
Graham Summers
PS. If you’re worried about the future of the stock market
and have yet to take steps to prepare for the Second Round of the Financial
Crisis… I highly suggest you download my FREE Special Report specifying exactly
how to prepare for what’s to come.
I call it The
Financial Crisis “Round Two” Survival Kit. And its 17 pages contain a
wealth of information about portfolio protection, which investments to own and
how to take out Catastrophe Insurance on the stock market (this “insurance”
paid out triple digit gains in the Autumn of 2008).
Again, this is all 100% FREE. To pick up your copy today, www.gainspainscapital.com and click
on FREE REPORTS.
- advertisements -
Maybe the government is a part of the Fed?
Let me correct you..... Debt is money, but money is not just debt. It is also credit. That being said...you have to include the credit not yet used as money. Money is everything a person is bothw illing and able to borrow against (Karl Denninger).
So if I have $20 grand in debt...yeah that is existing money...BUT if I still have availability to another $20 grand. You would be mistaken not to include that as money.
Amazing (not really) that this isn't taught in civics/history class. The best kept secret out in the open...
The Fed is privately owned by member banks, but we should also remember who capitalized these banks and kept them rich by giving them business. American consumers make up 70% of US GDP, so ultimately we own the whole damn system. It only exists as long as we support it.
http://peakcomplexity.blogspot.com/2010/09/confronting-our-complicity.html
I think you are confusing money with currency.
I'd say the majority knows that fiat confetti in their wallets is just that, confetti. Better question is how many are aware that this confetti is a deliberate racket used to strip productive assets from a nation and transfer them into the hands of the puppet masters? That's what I want to know.
Here's a good 'article' for you. When I bought my first tank of gasoline for my car, I paid 1 dollar, a silver dollar, and got 4 gallons of gas. That was money. Now if I pay 1 dollar, I get what, 1/3 gallon? But if I was still paying with a silver dollar, I get about the same amount of gas.
In the $18 to $24 range depending on the silver dollar, you'd get more gas....
How about what you would get for a normal, pocket-worn Franklin Half Dollar, usually considered junk silver:
(20.74 × .0321507466 × 12.5 × .90) = $7.5015729504
$7.5015 is the rounded silver value for the 1948-1963 silver Franklin half dollar on September 16, 2010. This is usually the value used by coin dealers when selling these coins at melt value.
http://www.coinflation.com/coins/1948-1963-Silver-Franklin-Half-Dollar-V...
Most of my tangible worth reflects .9999% pure, and would probably be accepted in any country of the world - except the U.S. of the future.
Also - follow the Aussies, they don't trust no stinkin' body.
bravo graham!!!.....the economic ectasy from last night is spilling into another night.....sweet dreams....i nominate summers for another spot on the zh cabinet.....
so add to the debt its negative marginal productivity, AND the logarithmic power of interest vs the serpentine curve of economic growth (much of it powered by fed boom-bust sociopathy) and you can readily see how a debt based currency in implaccably committed to bankruptcy and implosion....
fuck the fed
"At best, the US Federal Reserve is a quasi-governmental organization." it is a state within a state - it is not even a branch of government...its role is to terrorize and subjugate the people...and wherever there is central banking there is central intelligence which is why the british have historically been so far ahead of the rest of the world in military intelligence - central banking and central intelligence are two sides of the same coin....both must be destroyed.
Fck all central banking families.
Indeed fvk the fed...but you must also understand the entire globes central banking system is or shortly will be privately held.
http://mises.org/daily/1971
I am certainly no fan of the FED. However, who do you propose controls the money? Congress (Pelosi and Reid)? Obama's cabinet? Those choices would be even scarier nightmares. The printing presses would never stop. This is either the 3rd or 4th central bank for the U.S. In the years between central banks, we had bubbles and bursts. However, at least we did not have inflation and the devaluation of our savings. The Fed was supposed to stop the bubbles and bursts. The managed a big one within its 1st 7 years of operation. However, I have yet to hear a great alternative solution. Anyone in this forum have a good idea? I have the feeling that if we abolished the FED, the same key bankers/individuals would just end up at whatever organization and structure we created to take its place.
You sure of your facts? Or you just parroting bankster propaganda which they use to justify taking control? See that link above houseoflordstalk.pdf . Just asking.. if true, that would validate what that paper is saying about selective history. The Continental apparently didn't fail because it was mismanaged by the colonists, but because it was being counterfeited by the Brits in mass to cause to fail. Now that's a piece of history worth learning about.
duplicate..
I think you may like waking up at a different point on the river.
http://www.pjfarmer.com/riverwld.htm
No one has to 'control money'.
From above:
Money used to be, and ought to be, a commodity that was selected by the people who need a medium of exchange, unit of account, and store of value, in a free market over a long period of time with the unique properties of:
(a) non-declining marginal utility
(b) the narrowest spread between bid and ask
(c) a high ratio of stocks to flows
(d) the highest marketability in the large and the small
oh yeah, and (e) not something that can be created by whim or fiat!
How about the constitutionally mandated gold and silver?
Possible solutions:
http://www.youtube.com/watch?v=AZU0c8DAIU4
http://globalresearch.ca/index.php?context=va&aid=18195
http://www.huffingtonpost.com/ellen-brown/the-public-option-in-bank_b_252161.html
http://www.zerohedge.com/article/7-questions-about-public-banking
Asset-backed (rather than debt-backed) currency. One way would be to go back to non-cartel/non-priveleged bank notes. Then when any one bank issues too many notes agains their assets they would go bankrupt the old fashion way (run on their assets). Keeps them honest.
Or instead of an asset-backed currency, trade the asset itself. An asset - something that requires actual work to produce.
A little tidbit I picked up is that China was allowed to charter a bank in the US. This happened during the last crash. Since, we have a fractional banking system... A charted bank is essentially allowed to create money.
To be clear, China can print yaun deposit in their US chartered bank and then lever it up. Hence, creating US dollars. Counterfeiting is soooo yesterday. (I can't remember the bank. I was too disgusted at the time.)
Greedy bankers targeted my elderly mother. My mom had to declare bankruptcy a few years ago at age 78. Dad's illness wiped her out. When we found out that she was over $20,000 in debt on credit cards, we helped her legally declare bankruptcy (before they changed the law a couple of years ago) . We recently discovered that she was sent new credit cards ! (yes, behind her kids back, she signed the application form they sent to her apartment) Mom died last year & we found out that she was $4,000 in debt on credit cards again !!! HERE'S MY QUESTION: WHAT BANK IN THEIR RIGHT MIND WOULD SEND NEW EMPTY CREDIT CARDS TO AN ELDERLY WOMAN WHO HAD JUST DECLARED BANKRUPTCY !!! WHY ? Oh, I know why ! ~~ because they are greedy & WANT her to be in debt & write monthly checks to them for all the interest. Well, Mom died of heart failure & her estate is empty. End of story.
Greedy bastards did the same to my mom and dad. Trouble is, for them, me.
Mom died first, dad 3 1/2 years later. I made sure I was named administrator of the estate.
Dad and mom had run up $30,000 of unsecured debt (CC) and dad had $35,000 HELOC. OK, house was worth $81,500, but Countrywide came along and said, no, it's worth $120,000 and rolled all of dad's debt into one mortgage - shirking fiduciary duty by turning short term unsecured debt into long-term secured debt. Dad died, but before he did, ran up another $24,000 of CC debt. Already stuck Chase (as in JP Morgan Chase) with that bill. Estate is upside down thanks to Countrywide, now, BofA. I moved into house, refusing to pay mortgage. Bank has foreclosed, but has not moved forward.
They will get an empty shell, if anything. Meanwhile, I live free. As my father always said I would "get the house." He just didn't know what means I might take to secure it.
Income tax is nothing but wage slavery. If you have payroll deductions, you are a slave. Only way to fix it is for everyone to quit, or, as in Europe, the whole nation goes on strike.
Won't happen here. Americans are too stupid and too frightened by their own government. I am not. I could care less. Let them come and take my house and my belongings. I will start over, stronger. I love this country, but I hate the people who run it.
Amen, Brother. Dollars are just green paper. Never make a decision out of fear. You are a brave patriot, and I will stand by your side.
-If ye love wealth better than liberty, the tranquility of servitude better than the animating contest of freedom, go home from us in peace. We ask not your counsels or your arms. Crouch down and lick the hands which feed you. May your chains set lightly upon you, and may posterity forget that ye were our countrymen. -
- Sam Adams
That was a great post. Thanks for sharing the information. Too often posts (mine included) are short and sarcastic. This post was real and honest. Have a great weekend. P.S. This goes for all of the post of similar content and contribution.
"her estate is empty." not a bad end. I mean she stiffed the greedy bankers out of $4k. By the sounds of it, she should have racked up more. Note to self: on my death bead buy huge gifts for loved ones using credit and then croak.
A recent bankruptcy is a lock. They can't do it again any time soon.
See how that works? Some companies mine public records to get the names of new BKs so that they can send credit offers.
That bolsters your "all bankers are crooked" argument.
Phoenix Capital Research - Thank you. Your post is the most clear, easy-to-understand, and succinct to-the-point exposure of the Federal Reserve fraud I have ever read. The long historical expositions of the Fed fraud are good, but your exposure of the Fed fraud is short and sweet.
This vid clearly lays out the current biased Fed process (putting it nicely)... and some alternatives.
The idea presented for direct issuance of money by govt. is great IF you could trust the govt.
Money as Debt
http://video.google.com/videoplay?docid=5352106773770802849#docid=-2550156453790090544
This "story" is common knowledge here.
The world's largest debitor nation can not have the currency of choice for long.
Japaneser
America has the currency of choice BECAUSE it's the largest debtor nation.
Why don't people get that?
Definition of "Wealthy" = "When people will accept your IOUs."
That's like saying it's not a "Ponzi" or a "bubble" if people are willing to invest. And I guess the biggest debtor is always the wealthiest? Please. Come out, come out, Johnny Bravo.
America has the currency of choice, due to the fact if one chooses not to accept the mighty dollar, they will be dealt with promptly.ie. S.Hussian
I will go further and state the USD will continue to hold on since no one wants it to fail. The last thing a creditor wants is for the borrower to default or not pay.
We have all been bamboozled over this, some obviously more than others but you poor fellow, were brought into this world with not one whit of deductive capacity.
The evidence, laid out in front of you, elicits not one synaptic discharge of curiosity in your ...... shall we call it a brain? Were you oxygen starved at birth?
The only other explanation is that the quack delivering you, rather than soiling his hand, belted you repeatedly with the dumb fuck stick.
Epic! Quote of the day.
Guys, you can make whatever cracks you want, but if you don't read the actual history of actual gold-based banking then you're just fooling yourselves.
If you think financial manipulation is bad now, back then it was a free-for-all.
You don't trust cent
Well this little paper should bring us all up to speed. This is YOUR weekend assignemnet. Quiz on monday. Znick posted it earlier
http://www.monetary.org/houseoflordstalk.pdf
Cliff notes:
1. Fiat money is OK as long as it's government issued not debt based, and not in private hands.
2. Bankster propaganda used to make you think people can't handle money on their own, they need banksters to prevent blowing it up.
3. Solution, is nationalize fed and kill fractional reserve banking. Kill the master class.
So until #3 is implemented, Commodity money is the solution to preserve wealth until something is done about this. See we are all correct after all. Now hug and make up, and swap some more of the private promisory notes for non edible relics.
Your historical, economic and monetary ignorance are apparently as boundless as the federal government's debt ceiling.
sounds like johnybravo is back.
Money knows no loyalties to governments, no affinity for a nation's people, no respect for its laws, and, above all, no mercy for the forlorn, forgotten and downtrodden.
On the other hand, Pink Floyd said it's a hit.
Wake up....Stand up....Speak up...the emperor has no clothes.....
you, some, someone, everyone? may have noticed the federal reserve
bank is determined to destroy the "nation" formerly known as
the united states of america? nationalism being a "bad" thing when
viewed in terms of global markets/ ization. the fed is implementing the
indentured status that every indentured servant needs to be properly, legally,
referred to as slave to their debt. ((pusher) god damn the pusher man.)
http://www.youtube.com/watch?v=GN6eTXA0VlI
the basis of the "country", nation , the united states of america, is slavery.
slavery to the whims of the federal reserve bank and it's "money". debt notes,
your debt notes are it's free "money", it's interest is your labor that you give
to your master as a token of your appreciation for being allowed to walk
on it's earth. as the sovereign has signed over your birthright to a banker,(treason)
a pusher with a bad war habit. and you love it as you know nothing else.
it is in your blood and
neurology. it is called investing or better yet gambling in a crooked casino.
time is the key, your idea of time and the idea that it too is
a commodity, as you have been programmed to believe that
anything can be justly com modified. including you! and
labor performed is a token of one's obligation to his/her owner.
worthless as a contributing element of culture or society but
valuable when it pleases the master no matter how destructive or
worthless. the fed god so sayith....
the federal reserve bank is the master arbiter of the owner's wishes
regarding their satisfaction with said tokens of allegiance.
arbitrary as they wish to be and irrational if they please. you may be asked
to work toward your own destruction and payed well for your services.
they are
the master, you are the slave and you think you are free but have
no idea what that means or even what it is to be a conscious human
being as you are distracted every second of every waking moment by
either "work", the struggle to obtain social currency, money, as defined
by the masters ...fed.. or "news",
information, propaganda. designed by said fed. and your words....too have been deflated to
nearly nothing. pick a or b every 4 years, hmm.?
"money" is your drug. need more man......it is the real world man.....
money word. money word ......?
peace
Take your meds, Dude.
You need them NOW!
.
(editor: sorry about the spelling. my 'See' key is broken.)
Thank you blindman, for your demolition of Kartelized Sentral Banking through the Federal Reserve.
My question for 'the Zedge' is only this:
Is there any human master of these Korporations?
Korporations outlive their founders, they outlast their direktors, they are governed by quantitative management & finansial formulas.
They are in short, mashines. Legally-konseived, quantitatively-driven, robots. Piles of kapital, programmed to take over other sourses of kapital: markets, governments, other korporations. The human hands are only hired hands. The korporation itself persists beyond all of them, provided it is making profits & adding to its pile.
Is there really a human master to any of these korporations? or are we all servants of literally-- inhuman masters?
yours,
Beef
@Kobe: You need to understand the difference between a typical modern corporation and a "family business".
Hi i-dog,
Thanks for your komment. I think I elusidated the differense between modern korporations and family businesses within my post.
A family business klearly has a human head. The korporation does not. A figurehead is not the same thing. Neither is a kontinually evolving board of Direktors.
For example, kapital amassed by the original Standard Oil family business, has now agglomerated/morphed into several of our leading institutions today: The Fed, The National Kounsil of Shurshes, the Kounsil on Foreign Relations, ets. Kontrolling human kapital through institutions, akkredidation, affiliation. The Korporation & Trust still maintains many profitable lines in banking, defense kontrakting, energy, & tekhnology.
So, is the ghost of Iohn D. Rokefeller, or his many degenerate great grandshildren, sitting at the top of this massive mashinery, pulling levers & guiding the massive edifise akross the landskape of the 19th-21st senturies?
or is it guided by a simpler, more kunning, mashine logik? feed or die.
Perhaps Ratzinger is in kontrol of the katholik shursh. Perhaps the institution follows its own logik.
Perhaps Robert Gates is in sharge of the Pentagon. Perhaps the bureaukrasy follows its own logik.
Perhaps Blankfein kontrols Goldman. Perhaps the korporation follows its own logik.
I merely assert it is possible for korporations to behave the same way we observe institutions & bureaukrasies behaving: by their own internal logik, guided by the hardwired funktions of growth & survival.
please explain how you find this line of questioning felashious or erroneous. I fail to see how my kharakterization of a korporation in any way resembles a family business.
Thanks,
Beef
Sorry, Beef ... I was a bit too obscure/succinct in my short comment.
What I mean is that you have to differentiate between the controlling ownership of a corporation (which generally stays in place for many generations and even over many centuries) and the management team (which changes from month to month, year to year). Publicly traded shares are generally only a small proportion of total shares, and as little as a 15% interest can be a controlling interest.
Ratzinger, Dimon, Blankfein, Fuld, Timmay, Helicopter, O'Bummer, Bush, Clinton, etc are just current/recent incumbents on the management teams of the respective corporations. They are put there by the true -- and often well-hidden -- owners to look after the controlling families' longer-term interests. Some of them come from families that are well-connected through blood and marriage (Bush, Kennedy), while others just promise to do what they are told on pain of death.
Another factor to consider is the rampant inbreeding and "mergers / concentrations by marriage" between controlling families to ensure that control is not diluted too far over generations. Most of the true oligarchs can trace their bloodlines back for thousands of years ... and even the nouveau-riche among them (Rothschild, Rockefeller, DuPont) have attained semi-legitimacy (and great power) among the old aristocrats through attaining and holding massive wealth over hundreds of years.
Does that help?
sure, thanks for the klarifikation. So you think its a hidden aristokrasy running the show, korrekt?
I used to think this as well, now I'm not so sure how mush kontrol any human kould have over these world-spanning mashines.
maybe it would make a good si-fi novel, along the lines of Frankenstein: Goldman Sakhs bekomes self-aware & eats the Duke D'Orange.
have a good one!
Beef