Article by Jim Anderson

Woodrow Wilson said in 1916, “A excellent industrial nation is managed by its system of credit. Our program of credit is concentrated. The development of the nation, consequently, and all our actions are in the hands of a number of men. We have come to be one particular of the worst ruled, a single of the most totally controlled and dominated Governments in the civilized planet – no longer a Government of totally free opinion, no longer a Government by conviction and the vote of the majority, but a Government by the viewpoint and duress of a small group of dominant men.” (Senate Document 23, 76th Congress, 1st Session, pg. a hundred) He mentioned this only a few many years after he signed the Federal Reserve Act of 1913 into law as President of the United States, and undoubtedly regretted it. He understood the monster that had been unleashed.Wilson ought to have heeded the following warning ahead of he signed the 1913 Act: In the Thomas Jefferson Encyclopedia, Thomas Jefferson is quoted as saying “If the American men and women ever enable private banks to management the concern of their currency, first by inflation, then by deflation, the banks…will deprive the individuals of all residence until finally their young children wake-up homeless on the continent their fathers conquered…The issuing energy should be taken from the banks and restored to the men and women, to whom it properly belongs.” In a statement quoted from a letter written to John Taylor, (Monticello, 28 Could 1816. Ford eleven:533) Thomas Jefferson says, “And I sincerely think, with you, that banking establishments are more dangerous than standing armies and that the principle of spending income to be paid by posterity, beneath the title of funding, is but swindling futurity on a huge scale.” Looks to tell the story of what is gradually taking place to the United States, and recently looks to have accelerated. Jefferson undoubtedly had fantastic insight into the energy of debt which our existing political leaders appear to decrease.

The Federal Reserve Act of 1913 developed a privately held corporation according to William P.G. Harding, Governor of the Federal Reserve Board (1921), whose stock is held by primarily by a little group of families and corporations which includes Rothschild and Rockefeller, along with some foreign firms. Member banking institutions own the remainder of the stock. So it is a public/private partnership, but it is not accountable to the Federal government and has never been audited. Thomas Jefferson knew about the fraudulent nature of paper money since of his experience with the Continental currency. We may possibly be about to understand what he knew because of this unaccountable group of powerful stockholders.

This system of paper money (aka. Fiat Currency) is primarily a method of debt, and the Federal Reserve System has designed a program that thrives on the improve of financial debt. Above the many years it has permitted banks ever escalating ratios of fractional reserves, meaning that they can lend more funds than they have by just borrowing the balance eventually from the Federal Reserve Bank. Proper now that ratio is ten%. That indicates they can lend $ 10 for each and every $ one they have. So the supply of funds increases with each loan. For banks to carry on to retain liquidity and remain worthwhile, they should be in a position to proceed to lend far more money. This concern was at the center of the 2008 banking liquidity crisis. So the Federal government propped up the banks to support them continue to lend. Up to then, they had increasingly loosened lending standards to enhance demand for borrowed money. This in turn improved investing in the economic system. Since this has been going on for so extended, the U.S. economic climate has turn out to be dependent on a continuation of this pattern to keep economic development, and when banking institutions begin to lend once again, the economic climate moves back into a development phase. So shoppers are more and more encouraged, and even pressured, to enhance their investing. This is particularly true in financial downturns, the worst time for an individual to go deeper into financial debt.

So our economy is now addicted to financial debt, and to carry on our way of life and physical appearance of wealth we should carry on to borrow and be inventive at figuring out ways to tolerate growing amounts of financial debt. Regrettably, it is a house of cards that will at some point fall. People who are wise will flee from private financial debt, and will hold assets that protect worth, as opposed to holding it in a paper currency.

&#13

Jim Anderson is a personal finance skilled, author, music artist, and ordained minister. For much more discussion about the financial debt problem go to Jim’s internet site at www.howtolivedebtfreebook.com

&#13
&#13
&#13
&#13
&#13
&#13
&#13
&#13
&#13
&#13

Mobile Marketing + Spend Per Phone = Up To 5 Per Sale For You!
Underground Tap N Talk Pioneer, Leading CB Copywriter, & Skilled Direct Response Designer Join Forces. Count on Substantial Epcs. k+ In Prizes. Confirmed Final results! Join Us Now! Mobilemoneybandit.com/jv
Mobile Marketing + Pay Per Call = Up To 5 Per Sale For You!

Far more U.s. Financial system Posts

Tagged with:

Filed under: Economy

Like this post? Subscribe to my RSS feed and get loads more!