By Andrew Hitchcock, 26 Feb 2006.
Andrew also wrote the Rothschild timeline and The Synagogue of Satan.
Please go here if you prefer a non-illustrated, text only version of this essay.
Economists continually try and sell the public the idea that recessions or depressions are a natural part of what they call the "business cycle".
This timeline below will prove that is simply not the case. Recessions and depressions only occur because the Central Bankers manipulate the money supply, to ensure more and more is in their hands and less and less is in the hands of the people.
Central Bankers developed out of money changers and it is with these people we pick the story up in 48 B.C. below.
But the money changers hated him for it and this is why Caesar was assassinated. Immediately after his assassination came the demise of plentiful money in Rome, taxes increased, as did corruption.
Eventually the Roman money supply was reduced by 90 per cent, which resulted in the common people losing their lands and homes.
When Jews came to Jerusalem to pay their Temple tax, they could only pay it with a special coin, the half-shekel. This was a half-ounce of pure silver, about the size of a quarter. It was the only coin at that time which was pure silver and of assured weight, without the image of a pagan Emperor, and therefore to the Jews it was the only coin acceptable to God.
Unfortunately these coins were not plentiful, the money changers had cornered the market on them, and so they raised the price of them to whatever the market could bear. They used their monopoly they had on these coins to make exorbitant profits, forcing the Jews to pay whatever these money changers demanded.
Jesus threw the money changers out as their monopoly on these coins totally violated the sanctity of God's house. These money changers called for his death days later.
|1024||The money changers had control of Medieval England's money supply and at this time were generally known as goldsmiths. Paper money started out and this was simply a receipt you would get after depositing gold with a goldsmith, in their safe rooms or vaults. This paper started being traded as it was far more convenient than carrying round a lot of heavy gold and silver coins.
Over time, to simplify the process, the receipts were made to the bearer, rather than to the individual depositor, making it readily transferable without the need for a signature. This, also, broke the tie to any identifiable deposit of gold.
Eventually the goldsmiths recognized that only a fraction of depositors ever came in and demanded their gold at any one time, so they found out how they could cheat on the system. They started to issue more receipts than they had gold to back those receipts and no one would be any the wiser. They would loan out these receipts which were not backed by the gold they had in their depositories and collect interest on them.
This was the birth of the system we know today as Fractional Reserve Banking, and like this system of today this meant the goldsmiths were able to make astronomical amounts of money by loaning out, what was essentially fraudulent receipts, as they were for gold the goldsmiths didn't even possess. As they gradually got more confident they would loan out up to 10 times the amount they had in their deposits.
To simplify how they made money on this, let's give an example in which a goldsmith charges the same rate of interest to creditors and debtors. In this example a goldsmith would pay interest of 6% on gold you had deposited with them, and then charge 6% interest on money, I mean fraudulent receipts, you borrowed from them. As they would lend out ten times what you had deposited with them, whilst they're paying you 6% interest, they are making 60% interest. This is on your gold.
The goldsmiths also discovered that their control of this fraudulent money supply gave them control over the economy and the assets of the people. They exacted their control by rowing the economy between easy money and tight money.
The way they did this was to make money easy to borrow and therefore increase the amount of money in circulation, then suddenly tighten the money supply, taking it out of circulation by making loans more difficult to get or stopping offering them altogether.
Why did they do this? Simple, because the result would be a certain percentage of the people being unable to repay their previous loans, and not having the facility to take out new ones, so they would go bankrupt and be forced to sell their assets to the goldsmiths for literally pennies on the dollar.
This is exactly what happens in the world economy of today, but is referred to with words like, "the business cycle," "boom and bust," "recession," and "depression," in order to confuse the population of the money changers scam.
The talley stick was a stick of polished wood into which notches were cut along one side, to indicate the denomination of money the stick represented. The stick was then split lengthwise through the notches, so that both pieces had a record of the notches. The King kept one half to protect against counterfeiting and the other half was spent into the economy and circulated as money.
It was also one of the most successful money systems in history, as the King demanded that all the King's taxes had to be paid in, "talley sticks," so this increased their circulation and acceptance as a legitimate form of money. This system would work well in keeping the power away from the money changers in England.
This concept followed the teachings of Aristotle that taught the purpose of money was to serve the members of society and to facilitate the exchange of goods needed to lead a virtuous life. Interest was contrary to reason and justice because it put an unnecessary burden on the use of money.
Thus, Church law in Middle Ages Europe forbade the charging of interest on loans and even made it a crime called, "usury."
|1609||The money changers in the Netherlands establish the the first central bank in history, in Amsterdam.|
The money changers immediately consolidate their power and for the next few decades plunge Great Britain into a costly series of wars. They also take over a square mile of property in the center of London which becomes known as the City of London.
They decide to finance an invasion by William of Orange of Netherlands who they sound out and establish will be more favorable to them. The invasion is successful and William of Orange ascends to the throne in England as King William III in 1689.
This was deceptively named the, "Bank of England," for the sole purpose of duping the general public into believing it was part of the government, which it was not.
Like any other private corporation the Bank of England sold shares to get started. The private investors, whose names were never revealed, were supposed to put up £1,250,000 in gold coins to buy their shares in the bank, but only £750,000 was ever received. Despite that the bank was duly chartered and began loaning out several times the money it supposedly had in reserves, all at interest.
Furthermore the Bank of England would loan government officials as much of the new currency as they wanted, as long as they secured the debt by direct taxation of the British people. The Bank of England amounted to nothing less than the legal counterfeiting of a national currency for private gain, and thus any country that would fall under the control of a private bank would amount to nothing more than a plutocracy.
Soon after the Bank of England was formed it attacked the talley stick system, as it was money outside of the power of the money changers, just as King Henry I had intended it to be.
|1698||Following four years of the Bank of England, their plan to control the money supply had come on in leaps and bounds. They had flooded the country with so much money that the Government debt to the Bank had grown from the initial £1,250,000, to £16,000,000, in only four years. That's an increase of 1,280%.
Why do they do it? Simple, if the money in circulation in a country is £5,000,000, and a central bank is set up and prints another £15,000,000, stage one of the plan, sends it out into the economy through loans etc, than this will reduce the value of the initial £5,000,000 in circulation before the bank was formed. This is because the initial £5,000,000 is now only 25% of the economy. It will also give the bank control of 75% of the money in circulation with the £15,000,000 they sent out into the economy.
This also causes inflation which is the reduction in worth of money borne by the common person, due to the economy being flooded with too much money, an economy which the Central Bank are responsible for. As the common person's money is worth less, he has to go to the bank to get a loan to help run his business etc, and when the Central Bank are satisfied there are enough people with debt out there, the bank will tighten the supply of money by not offering loans. This is stage two of the plan.
Stage three, is sitting back and waiting for the debtors to them to go bankrupt, allowing the bank to then seize from them real wealth, businesses and property etc, for pennies on the dollar. Inflation never effects a central bank in fact they are the only group who can benefit from it, as if they are ever short of money they can simply print more.
|1757||Benjamin Franklin travels to England and would spend the next 18 years of his life there until just before the start of the American Revolution.|
As a result of Franklin's statement, the British Parliament hurriedly passed the Currency Act of 1764. This prohibited colonial officials from issuing their own money and ordered them to pay all future taxes in gold or silver coins. Referring to after this act was passed, Franklin would state the following in his autobiography,
Control of America's money system will change hands 8 times since 1764.
|1775||April 19th, start of the revolutionary war in Lexington, Massachusetts. By this time the colonies had been drained of silver and gold coins as a result of British taxation. As a result of this, the continental government had no choice but to print money to finance the war.
At the start of the revolution the American money supply stood at $12,000,000. By the end of the war it was nearly $500,000,000 and as a result the currency was virtually worthless. An example of this is that a pair of shoes now sold for $5,000 dollars. This also shows the danger of printing too much money. The reason Colonial Scrip had worked was because just enough was used to facilitate trade.
Morris was a wealthy man who had grown wealthier during the revolution by trading in war materials. This first central bank in America was called the Bank of North America, which was set up with a four year charter, and was closely modeled after the Bank of England. It was allowed to practice the fraudulent system of fractional reserve banking, so it could create money it didn't have, then charge interest on it.
The bank's charter called for private investors to put up $400,000 of initial capital, which Morris found himself unable to raise. Nevertheless he unashamedly used his political influence to have gold deposited in the bank, which had been loaned to America by France. Morris then loaned the money he needed to buy this bank from this deposit of gold that belonged to the government, or rather the American people.
This Bank of North America, again deceptively named so the common people would believe it was under the control of the government, was given a monopoly over the national currency.
Mayer Amschel Rothschild moves his family home to a five storey home in Frankfurt, Germany, which he shares with the Schiff family, (a descendant of both Rothschild and Schiff, Jacob Schiff, who would be born in this house, would, some 128 years later, be instrumental in the setting up of the Federal Reserve).
Fortunately Governor Morris by this time had discovered his conscience, defected from Robert Morris, and in a letter to James Madison dated July 2nd of this year he stated,
Sadly the words of wisdom of Governor Morris and Thomas Jefferson fell on deaf ears. Alexander Hamilton, Robert Morris and Thomas Willing, convinced the the bulk of the delegates to this Constitutional convention, not to give Congress the power to issue paper money.
As a result the Constitution was silent on the issue of paper money by the Government for the citizens, leaving a wide open door for money changers in the future.
|1790||Less than 3 years after the Constitution had been signed, the newly appointed First Secretary of the Treasury, Alexander Hamilton, proposed a bill to the Congress calling for a new privately owned central bank. Interestingly, Alexander Hamilton's first job after graduating from law school in 1782 was as an aide to Robert Morris, a man who he had written to in 1781 stating, "a national debt if it is not excessive will be to us a national blessing."|
This new bank was called the, "First Bank of the United States," and was exactly the same as the Bank of North America. Robert Morris controlled it, Thomas Willing was the Bank's President, only the name had changed.
This bank came into being after a year of intense debate and was given a 20 year charter. It was given a monopoly on printing United States currency even though 80% of it's stock was held by private investors. The other 20% was purchased by the United States government, but this was not to give it a piece if the action, but to provide the capital for the private investors to purchase the other 80%.
As with the Bank of England and the old Bank of North America, these private investors never paid the full agreed amount for their shares. What happened was through the fraudulent system of fractional reserve banking, the government's 20% stake which was $2,000,000 in cash, was used to make loans to its private investors to purchase the other 80% stake, £8,000,000, for this risk free investment.
Again like the Bank of England and the old Bank of North America, the name, "First Bank of the United States," was deliberately chosen to hide from the common people the fact that it was privately owned. The names of the investors in this bank were never revealed, although it is now widely believed that the Rothschilds were behind it.
Interestingly in 1790 when Alexander Hamilton proposed this bank in Congress, Mayer Amschel Rothschild made the following statement from his bank in Frankfurt, Germany,
The First Bank of the United States has been controlling the American money supply for 5 years. During this time the American Government has borrowed $8,200,000 from this Central Bank, and prices in the country have increased by 72%. In relation to this, Thomas Jefferson, then Secretary of State stated,
|1798||Mayer Amschel Rothschild sends his son, Nathan, at the age of 21, to England with a sum of money equivalent to £20,000, to set up a money changers there.|
Napoleon used this gold to put together an army. He then used this army to set off across Europe where he began to conquer everything in his path. The Bank of England quickly rose to oppose Napoleon and financed every nation in his path, as usual profiteering from war. Prussia, Austria, and then finally Russia all went heavily into debt in a futile attempt to stop Napoleon.
Nathan Rothschild gets in on the act and makes the following revealing statement as to who was really behind the First Bank of the United States,
At this point America's fourth President, President James Madison was in the White House. He was a staunch opponent of the bank and he sent his Vice-President, George Clinton, to break a tie in the Senate which killed the bank.
|1812||As promised by Nathan Rothschild, because the charter for the First Bank of the United States is not renewed, thousands have to die and the British attack America. However, as the British are still busy fighting Napoleon, they are unable to mount much of an assault and the war ends in 1814 with America undefeated.|
|1814||Wellington's attacks from the South and other defeats eventually forced Napoleon to abdicate and Louis XVIII is crowned King. Napoleon is exiled to the tiny island of Elba, off the coast of Italy.|
|1815||Napoleon escapes his exile and returns to Paris. French troops were sent to capture him, but he uses his charisma to convince these soldiers to rally round him, and they subsequently hail him as their emperor once again. In March, Napoleon assembles an army which England's Duke of Wellington defeated less than 90 days later at Waterloo.
Even though the outcome is predetermined, these bankers don't like to take any sort of risk, they're too used to a monopoly. Therefore Nathan Rothschild sent a trusted courier named Rothworth to Waterloo where he stayed on the edge of the battlefield. Once the battle was decided, Rothworth took off for the Channel, and delivered the news of Wellington's victory to Nathan Rothschild a full 24 hours before Wellington's own courier.
Nathan Rothschild hurried to the London Stock market and stood in his usual position. All eyes were on him as Rothschild had a legendary communications network. Rothschild stood there looking forlorn and suddenly started selling. The other traders believed that this meant he had heard that Napoleon had won so they all started selling frantically.
The market subsequently plummeted, soon everyone was selling their consuls (British Government Bonds), but then Rothschild secretly started buying them all up through his agents on the floor, for a fraction of what they were worth only hours before. A lot of these consuls were able to be converted to Bank of England stock, which is how Rothschild took over the control of the Bank of England and therefore the British money supply.
Interestingly, 100 years later, the New York Times ran a story stating that Nathan Rothschild's grandson had attempted to secure a court order to suppress a book with this, what we would call today, "insider trading," story in it. The Rothschild family claimed the story was untrue and libelous, but the court denied the Rothschilds request and ordered the family to pay all court costs.
Nathan Rothschild openly brags that in his 17 years in England he had increased his initial £20,000 stake given to him by his father, 2500 times to £50,000,000.
Some people ask, why do bankers want war? Simple, bankers finance both sides in a war. They do this because war is the biggest debt generator of them all. A nation will borrow any amount for victory, even though the banks have already predetermined the outcome. The ultimate loser is loaned just enough money to hold out a vain hope of victory and the ultimate winner is given enough to ensure that he does win.
How do the banks ensure they will get all their money back? Easy, such loans are given on the guarantee that the victor will honor the debts of the vanquished. Never mind the thousands of troops that give their lives on the pretext it is for the honor of their respective nations, when it is actually for the profits of bankers.
In fact, during the period between the founding of the Bank of England in 1694 and Napoleon's defeat at Waterloo this year, England had been at war for 56 years, with much of the remaining time spent preparing for war. If it's a good business for bankers' profits, then why change it.
Their share was again paid up front into the bank and thanks to fraudulent fractional reserve lending, this was transformed into loans to the private investors who once again purchased the remaining 80% of the shares. Just as before the names of these investors was kept a secret.
|1826||The talley stick is taken out of circulation in England.|
To the dismay of the money changers, Jackson won the Presidency and made it quite clear he intended to kill this bank at his first opportunity. He started out during his first term in office, to root out the banks many minions from government service. To illustrate how deep this cancer was rooted in government, he fired 2,000 of the 11,000 employees of the Federal Government.
The Second Bank of the United States, ask Congress to pass a renewal of the bank's charter, four years early. Congress complied and sent the bill to President Jackson for signing. President Jackson vetoed this bill and in his veto message he stated the following,
In July, Congress was unable to override President Jackson's veto. President Jackson then stood for re-election and for the first time in American history he took his argument directly to the people by taking his re-election campaign on the road. His campaign slogan was,
Even though the bankers poured over $3,000,000 into President Jackson's opponent, the Republican, Senator Henry Clays' campaign, President Jackson was re-elected by a landslide in November. President Jackson knew the battle was only beginning however, and following his victory he stated,
However the head of the, Second Bank of the United States, Nicholas Biddle, used his influence to get the Senate to reject Roger B. Taney's nomination and even threatened to cause a depression if the Bank was not re-chartered. Biddle stated,
Biddle then went on to brazenly admit that the bank was intending to make money scarce in order to force the hand of Congress into re-chartering the bank. He stated,
Biddle then unashamedly blamed President Jackson for the crash, claiming that it was Jackson's withdrawal of federal funds that had caused it. This crash plunged wages and prices, unemployment soared along with business bankruptcies. The United States was in uproar and newspaper editors blasted the President in editorials.
Congress assembled what was called the, "Panic Session," and on 27 March President Jackson was officially censured by Congress for withdrawing funds from the Second Bank of the United States, in a vote which passed the Senate by 26 to 20. It was the first time a President had ever been censured by Congress and Jackson stated of the Bank,
In a complete about turn on April 4, the House of Representatives voted 134 to 82 against re-chartering the bank. This was followed by another strong vote which established a special committee to investigate whether the Bank had caused the crash.
However, when the investigating committee arrived at the bank's door in Philadelphia with a subpoena authorizing them to inspect the books, Nicholas Biddle refused to give them up, or allow inspection of correspondence with Congressmen relating to their personal loans and advancements he had made to them. He also refused to testify before the committee back in Washington.
|1836||The Charter for the Second Bank of the United States expires, and the Bank ceases functioning as America's central bank. Nicholas Biddle was later arrested and charged with fraud. He was tried and acquitted but died in 1844 still battling civil suits.|
On January 8th President Jackson pays off the final installment of the national debt, which had been necessitated by allowing the banks to issue currency for government bonds, rather than simply issuing treasury notes without such debt. He was the only President to ever pay off the debt.
When asked what his most important accomplishment had been in life, President Jackson stated without hesitation,
It would take the money changers 75 years to establish the next central bank, the Federal Reserve. This time they would take no chances and use one of their own, Jacob Schiff, from the Rothschild bloodline, to undertake this.
|1850||Jacob (James) Rothschild in France is said to be worth 600 million francs, which at the time was 150 million francs more than all the other bankers in France put together.|
The real reason for the war is that the Southern States were in an a dire economic situation due to the actions of the Northern States. Northern industrialists had used trade tariffs to prevent the Southern States from buying cheaper European goods. Europe subsequently retaliated by stopping cotton imports from the South. Thus the South were being forced to pay more for goods whilst having their income slashed.
Only months after these first shots in South Carolina, the Central bankers loaned, Napoleon III of France (the Napoleon of the battle of Waterloo's nephew), 210 million francs to seize Mexico and then station troops along the Southern border of the United States, by taking advantage of the American Civil War to return Mexico to colonial rule.
In return, the United States planned to stay neutral in wars between European powers and in wars between a European power and its colonies. However, if these latter type of wars were to occur in the Americas, the U.S. would view such action as hostile toward itself.
Whilst the French were breaching the, Monroe Doctrine in Mexico, the British followed suit by moving 11,000 troops into Canada and positioning them along America's Northern border. President Lincoln knew he was in trouble, so he went with his Secretary To The Treasury, Salomon P. Chase, to New York to apply for the loans necessary to fund America's defense.
The money changers had engineered the war to make the Union fail, and were not about to save it now, so they offered loans at 24% to 36% interest. President Lincoln declined this as they knew he would and returned to Washington, where he sent for Colonel Dick Taylor of Chicago, who he put in charge of the problem of how he should finance the war.
President Lincoln asked Colonel Taylor if the people of the United States would accept the notes, Colonel Taylor said,
In response to this statement, The Times of London publishes a propaganda piece obviously put out by the bankers, containing the following statement,
|1863||The bankers struck back. With President Lincoln needing further congressional authority to issue more Greenbacks, Lincoln was forced into allowing the bankers to push their, "National Banking Act," through Congress.
The most important part of this Act was that from now on, the entire United States money supply would be created out of debt by the National Banks buying United States Government Bonds and issuing them for reserves for banknotes. On top of this monopoly, the National Banks were allowed to operate under a virtual tax free status. This banking scam is best explained by historian, John Kenneth Galbraith, who stated,
This wasn't because the Tsar was benevolent towards America, instead he was very clever. He, like Otto Von Bismarck in Germany, could clearly see what the money changers were up to, indeed he had already refused to let them set up a Central Bank in Russia.
He understood if America was to come under the control of Britain or France, then America would be under the control of Central Bankers once again, and such an expansion of the bankers empire, would mean they would eventually threaten Russia.
Salomon P Chase, now President Lincoln's Former Secretary To The Treasury, stated,
The person who revealed this was a Canadian Attorney, Gerald G. McGeer. He had obtained evidence deleted from the public record provided to him by Secret Service Agents at the trial of John Wilkes Booth, after Booth's death. McGeer stated that it showed that John Wilkes Booth was a mercenary working for the international bankers. His speech would be reported in an article in the Vancouver Sun, dated, 2nd May 1934, which stated,
Gerald G. McGeer also stated that Lincoln's assassination was not purely because the International Bankers wanted to re-establish a central bank in America, but also because they wanted to base America's currency on gold, which they of course controlled. They wanted to put America on a Gold Standard. This was in direct opposition to President Lincoln's policy of issuing Greenbacks, based solely on the good faith and credit of the United States.
The Vancouver Sun article also quoted Gerald G. McGeer with the following statement,
|1866||The European central bankers wanted the re-institution of a central bank under their control and an American currency backed by gold. They chose gold as gold has always been relatively scarce and therefore a lot easier to monopolize, than, for example, silver, which was plentiful in the United States, and had been found in huge quantities with the opening of the American West.
So, on April 12th, Congress went back to work at the bidding of the European central bankers. It passed the, "Contraction Act," which authorized the Secretary of the Treasury to contract the money supply by retiring some of the Greenbacks in circulation.
This money contraction and it's disastrous results is explained by Theodore R. Thoren and Richard F. Walker, in their book, "The Truth In Money Book," in which they state the following,
This is how the, "Contraction Act," passed by Congress affected America (the money supply goes down purely because currency in circulation is being withdrawn):
Therefore in the twenty years since 1866 two thirds of the American money supply had been called in by the bankers, representing a 760% loss in buying power over this twenty years. The money became scarce simply because bank loans were called in and no new ones were given.
|1872||Ernest Seyd is sent to America on a mission from the Rothschild owned Bank of England. He is given $100,000 which he is to use to bribe as many Congressmen as necessary, for the purposes of getting silver demonetized, as it had been found in huge quantities in the American West, which would eat into Rothschild's profits.|
|1873||Ernest Seyd obviously spent his money wisely, as Congress pass the, "Coinage Act," which results in the minting of silver dollars being abruptly stopped. Furthermore, Representative Samuel Hooper, who introduced the bill in the house, even admitted that Ernest Seyd had actually drafted the legislation.|
Ernest Seyd himself admitted who was behind the demonetizing of silver in America, when he makes the following statement,
|1876||Due to the manipulation of the money supply in America, one third of the workforce is unemployed and unrest is growing. There are even calls for a return to Greenback money or silver money. As a result, Congress creates the, "United States Silver Commission," to investigate the problem.
This commission clearly understood that the national bankers were the cause of the problem, with their deliberate contraction of the money supply. An excerpt of their report reads as follows,
Despite this damning report from the commission, Congress took no action.
|1877||Rioting breaks out from Pittsburgh to Chicago. The bankers get together to decide what to do and they decided to hang on, as they knew that despite the violence, they were now firmly back in control. At the meeting of the American Bankers Association, they urged their membership to do everything in their power, to put down any notion of a return to Greenbacks.
The American Bankers Association secretary, James Buel, even wrote a letter to the members in which he blatantly called on the banks to subvert both Congress and the press. In this letter he stated,
James Buel's letter clearly had some effect, as although pressure mounted in Congress for change, the press tried to turn the general public away from the truth. An example of this is from the New York Tribune in their 10th January edition in which is stated in a bankers propaganda piece,
This early control of the media didn't work entirely nevertheless, as on February 28th Congress passed the, "Sherman Law." This law allowed the minting of a limited number of silver dollars, ending the 5 year hiatus. However this did not mean that anyone who brought silver to the United States Mint could have it struck into silver dollars, free of charge, as in the period prior to Ernest Seyd's Coinage Act, in 1873. Gold backing of the American currency also remained.
However, this Sherman Law did ensure that some money began to flow into the economy again, and coupled with the fact that the bankers now realized that they were still firmly in control, they started issuing loans again and the post Civil War depression was finally over.
Strangely enough within a few weeks of making that statement, President Garfield was assassinated on 2nd July.
The money changers spent the last decade creating economic booms followed by depressions, so that they could buy up thousands of homes and farms for pennies on the dollar. They were preparing to take the economy down again in the near future, and in a shocking memo sent out by the American Bankers Association, which would come out in the Congressional Record more than twenty years later, the following is stated,
1891 American Bankers Association, as printed in the Congressional Record of April 29, 1913.
The bankers naturally supported the Republican candidate, William McKinley who in return favored the gold standard. Furthermore those in the McKinley campaign, got manufacturers and industrialists to inform their employees that if Bryan were elected, all factories and plants would close and there would be no work.
This tactic succeeded, McKinley beat Bryan, albeit by a small margin.
During the early 1900's, the money changers were anxious to advance their business of setting up another private Central Bank for America. Rothschild, Jacob Schiff, the head of Kuhn, Loeb and Co., in a speech to the New York Chamber of Commerce, stated, or rather threatened,
This year was the year of the money changers attack. J. P. Morgan and his cohorts secretly crashed the stock market. They were aware that thousands of small banks were so vastly over extended, some only had reserves of 1% under the fraudulent fractional reserve principle. Within only a few days, bank runs became commonplace across the nation.
Morgan then stepped up and publicly announced that he would support these failing banks. What he failed to mention is that he would do this by manufacturing money out of nothing. And then what happened, surprise, surprise, Congress let him do it! So, Morgan manufactured $200,000,000 of this completely reserveless private money, purchased goods and services with it, and sent some of it to his branch banks to lend out at interest.
As a result, the general public regained confidence in money, but most importantly it meant the banking power was now further consolidated into the hands of a few large banks.
President Theodore Roosevelt had also signed into law, following the financial panic, a bill creating the, "National Monetary Commission."
This commission was supposed to study the banking problem and make recommendations to Congress. Naturally, the commission was packed with J. P. Morgan's friends and cronies.
Following the setting up of this National Monetary Commission, Senator Aldrich immediately embarked on a 2 year fact finding tour of Europe, where he consulted at length with the private central bankers in England, France, and Germany, or rather Rothschild, Rothschild, and Rothschild.
The total cost of this 2 year trip to the American taxpayer? $300,000. Yes, three hundred thousand dollars, that is not a misprint!
Senator Aldrich returns from his two year European fact finding mission on 22nd November. Shortly afterwards some of America's most wealthy and powerful men boarded Senator Aldrich's private railcar in the strictest secrecy. They journeyed to Jekyll Island off the coast of Georgia.
The Rothschilds, Warburgs and Schiffs, interconnected by marriage, were essentially the same family.
Secrecy at this meeting was so tight that all the participants were cautioned to use only first names, to prevent servants from learning their identities. Years later, one participant, Frank Vanderlip, President of National Citibank and a representative of the Rockefeller family, confirmed the Jekyll Island trip in a 9th February 1935 edition of the Saturday Evening Post in which he stated,
Senator Aldrich later admitted in a magazine article,
Basically, American Industry was becoming independent of the money changers, and the money changers were not about to let that happen.
There was also much discussion regarding the name of the new bank, which took place in a conference room in the Jekyll Island Club Hotel. Aldrich believed the word, "bank," should not even appear in the name. Warburg wanted to call the legislation, the, "National Reserve Bill," or the, "Federal Reserve Bill." The idea was not only to give the impression that the purpose of the new central bank was to stop bank runs, but also to conceal its monopoly character.
However it was Senator Aldrich, the egomaniac, who insisted it be called the, "Aldrich Bill." So, after nine days at Jekyll Island, the group dispersed. This group of conspirators immediately set up an educational fund of $5,000,000 to finance Professors at top universities to endorse the new bank.
The new central bank would be very similar to the old Bank Of The United States, in that it would be given a monopoly over United States currency and create that money out of nothing. Also in order to make the public think it was under control of the Government, the plan called for the central bank to be run by a board of governors appointed by the President and approved by the Senate.
This would not cause any undue problems for the bankers, as they knew they could use their money to buy influence over the politicians, in order to ensure the men they wanted got appointed to the board of governors.
As this debate continued on, the bankers realized they didn't have enough support, so the Republican leadership never brought the Aldrich bill to a vote. Instead the bankers decided to switch their attention to the Democrats and started heavily financing Woodrow Wilson, the Democratic Presidential nominee. The Wall Street banker, Bernard Baruch, was put in charge of the Wilson project, and as historian, James Perloff, stated,
On November 5th, Woodrow Wilson was elected, and J. P. Morgan, Paul Warburg, Bernard Baruch et al, advanced a new plan which Warburg called the Federal Reserve System. The leadership of the Democratic Party hailed this new bill called the, "Glass-Owen Bill," as totally different to the Aldrich bill, when in fact it was virtually identical.
However this admission by Warburg was not made public. Instead, Senator Aldrich, and Frank Vanderlip, the President of Rockefeller's National Citibank of New York, were to publicly state their opposition to the bill in order to make people think that the bill proposed was radically different to the Aldrich bill. Indeed, Frank Vanderlip stated years later in the Saturday Evening Post,
|1913||With Congress nearing a vote on the Glass-Owen Bill, they called Ohio Attorney, Alfred Crozier, to testify. However, Crozier noticed the similarities between the Aldrich Bill and the Glass-Owen Bill, and subsequently stated,
The debate on this bill was not going well for the banks, with many Senators intimating the bill was corrupt and deceitful, however the bill was approved through the Senate on December 22nd. How did this happen? Because most of the Senators had left town to return home for the Christmas holidays. Furthermore, these Senators had been assured by the leadership, that nothing would be done regarding this bill until long after the Christmas recess.
Representative Charles A Lindbergh Sr. stated,
Interestingly, only a few weeks earlier, in October, Congress finally passed a bill legalizing direct income tax of the people. This was in the form of a bill pushed through by Senator Aldrich, which is now commonly known as the 16th amendment. The income tax law was fundamental to the Federal Reserve. This is because the Federal Reserve was a system which would run up, essentially, an unlimited Federal debt.
The only way to guarantee the payment of interest on this debt was to directly tax the people, as they had done with the Bank Of England. If the Federal Reserve had to rely on contributions from the States, they would be dealing with bigger entities, who could revolt and refuse to pay the interest on their own money, or at least bring political pressure to bear in order to keep the debt small.
Actually, this 16th amendment was never ratified, and therefore many American citizens do not pay their income tax and there is nothing the United States Government can do about it. For further information on this go to thelawthatneverwas.com. Also, back in 1895, the Supreme Court had also found an income tax law similar to the 16th amendment, as unconstitutional. The Supreme Court also found a Corporate Tax Law unconstitutional in 1909.
Another important amendment that was put through this year is the 17th amendment. This provided for the direct election by the people of two Senators from each state as oppose to the original system of having state legislatures elect United States Senators. More democratic, you would think, until you realize these bankers could now provide the funds for their hand picked people to run for the Senate, and thus avoid future problems like getting the Federal Reserve through the Senate.
Anyway, back to the Federal Reserve, if you are in any doubt as to whether the Federal Reserve is a private company, a basic check the public can carry out is in their phone book. Look under the government pages and it is not listed, but you will find it listed within the business pages.
Actually some recent evidence has come forward as to who really owns the Federal Reserve, and they are the following banks:
Also some argue that the Federal Reserve is a quasi-governmental agency, yet the President appoints only 2 of the 7 members of the Federal Reserve Board of Governors, every four years, and he appoints them to 14 year terms, which is far longer than any term he could possibly serve as President. The Senate confirms these appointments, but as we have seen, that is the idea, because these are the very people hand picked by the bankers who also finance their campaigns, ensuring loyalty to them, not the people.
Let's summarize how the Federal Reserve creates money out of nothing. It is a four step process:
Let's look at an example of how this works with a Federal Reserve purchase of $1,000,000 of bonds. This then gets turned into over $10,000,000 in bank accounts. The Federal Reserve in effect creates 10% of this totally new $10,000,000 and the banks create the other 90%.
To reduce the amount of money in circulation this process is simply reversed. The Federal Reserve sells these bonds to the public and the money flows out of the purchaser's local bank. Loans must be reduced by ten times the amount of the sale, so a Federal Reserve sale of $1,000,000 in bonds, results in $10,000,000 less money in the economy. How does this benefit the bankers, whose representatives met at Jekyll Island?
|1914||The start of World War I. In this war, the German Rothschilds loaned money to the Germans, the British Rothschilds loaned money to the British, and the French Rothschilds loaned money to the French.
One year after the passage of the Federal Reserve Bill, Representative Charles A Lindbergh Sr., outlined how The Federal Reserve created the, "business cycle," and how they manipulated that to their own advantage. He stated,
|1915||J. P. Morgan became the sales agent for the, "War Materials Board," to both the British and the French engaged in World War I, and becomes the biggest consumer on the planet, spending 10 million dollars a day. Furthermore, President Woodrow Wilson appointed banker, Bernard Baruch, to head the "War Industries Board."
According to historian, James Perloff, both Bernard Baruch and the Rockefellers profited by approximately 200 million dollars during World War I.
A lot of people believe the key to an effective money supply is to ensure it is backed by something of worth such as gold. However, who do you think would control that gold? As Republican, Charles A. Lindbergh stated this year,
President Wilson began to realize the gravity of the damage he had done to America, by unleashing the Federal Reserve on the American people. He stated,
|1917||The money changers never forgave the Tsars of Russia for both continually opposing their request to set up a central bank in Russia, as well as their support of President Lincoln during the Civil War. Therefore, Jacob Schiff, a Rothschild, spent 20 million dollars through his firm, Kuhn, Loeb & Co., in financing the Russian Revolution.
It is commonly believed that Communism is the opposite of Capitalism, so why would these capitalists support it? Respected researcher, Gary Allen, explains it as follows,
|1919||In January the Paris Peace Conference takes place following the end of World War I. The bankers put World Government at the top of their agenda, and Paul Warburg and Bernard Baruch attend this conference with President Wilson. To the bankers dismay, the world was not yet ready to dissolve national boundaries and accept World Government, so that part of their plan had failed.
The plan for World Government was called the, "League Of Nations," and although many nations accepted this proposal, the United States Congress would not support it, and thus without the support of money from the United States Treasury, the bankers had failed and the League Of Nations died.
The reason for this growth is that President Harding reduced taxes domestically, and increased tariffs on imports to record levels.
This policy was so successful that the economy still continued to grow, and the huge Federal Debt built up during World War I, under Harding and Coolidge was reduced by 38% down to 16 billion dollars. This was when the Federal Reserve started flooding the country with money, increasing the money supply by 62%.
Representative Charles A Lindbergh Sr. stated,
Shortly before his death this year, President Woodrow Wilson made the following statement in relation to his support for the Federal Reserve,
No public reports were ever made of these conferences, which happened on numerous occasions and were wholly informal, but which covered many important questions of gold movements, the stability of world trade, and world economy.
Republican Congressman, Louis T. McFadden, Chairman of the House Banking & Currency Committee, from 1920 to 1931, would comment on this Bank of England plan in the midst of the Great Depression in February 1931 when he stated,
So, as all the bankers and their friends already knew, in August the Federal Reserve began to tighten the money supply. Then on 24th October the big New York bankers called in their 24 hour broker call loans. This meant that both the stockbrokers and their customers had to dump their stocks on the stock market to cover their loans, irrespective of what price they had to sell them for.
As a result of this the stock market crashed on a day that would go down in history as, "Black Thursday." In his book, The Great Crash 1929, John Kenneth Gailbraith makes the following shocking statement,
Republican Congressman, Louis T McFadden, Chairman of the House Banking & Currency Committee, from 1920 to 1931, was as usual quite candid as to who was responsible. He stated of this crash,
Despite the claims of how the Federal Reserve would protect the country against depressions and inflation, they continued to further contract the money supply. Between 1929 and 1933, they reduced the money supply by an additional 33%. Even, Milton Friedman, the Nobel Peace Prize winning economist stated the following in a radio interview in January 1996,
This is why depressions are caused. As stated previously the top bankers and their friends got out of the stock market and purchased gold just before the crash, which they shipped over to London. This meant that the money lost by most Americans during the crash didn't just vanish, it just ended up in these people's hands.
It also was spent overseas, as whilst the Great Depression was occurring, millions of American dollars was being spent on rebuilding Germany from damage sustained during World War I, in preparation for the bankers World War II. Republican Louis T. McFadden, Chairman of the House Banking & Currency Committee from 1920 to 1931, stated the following in relation to this,
The money pumped in to Germany to build her up in preparation for World War II, was into the German Thyssen banks which were affiliated with the Harriman interest in New York.
The BIS is referred to the bankers as the, "Central bank for the central banks." Whereas the IMF and the World Bank deal with governments, the BIS deals only with other central banks. All its meetings are held in secret and involve the top central bankers from around the world. For example the former head of the Federal Reserve, Alan Greenspan, would go to the BIS headquarters in Basel, Switzerland, ten times a year for these private meetings.
In his final year in office, President Herbert Hoover puts forward a plan to bail out the failing banks, he seemed to feel that they took priority over millions of starving Americans, however this plan did not receive support from the Democratic Congress. Hoover's Presidency failing, Franklin D. Roosevelt is elected President later this year.
On March 4th, during his inaugural address, President Roosevelt made the following statement,
However, later that year, President Roosevelt outlawed private ownership of all gold bullion and all gold coins with the exception of rare coins. Most of the gold in the hands of the average American was in the form of gold coins and this decree by Roosevelt was effectively a confiscation.
This confiscation order was so unpopular, it's author has never been discovered. No Congressman ever claimed having written it, President Roosevelt stated he had not written it, nor had he even read it. Roosevelt's Secretary of the Treasury, William H. Woodin, claimed he'd never read it either, but that it was, he stated,
I wonder to what, "experts," he refers!
Also in the article was the following words written by Lord Bryce,
|1935||All the gold held by American citizens had finally been turned in under President Roosevelt's 1933 confiscation order at the price of $20-66 an ounce. Without explanation the official price of gold was then raised to $35 per ounce. The only catch was that only foreigners could sell their gold at the new higher price. Where is the world price of gold set? Since 1919, in the same room of private bank N. M. Rothschild & Sons in London, at 11:00 a.m., on a daily basis.
Therefore Warburg and his banking friends who put their money into gold at $20-66 before the stock market crash and shipped it to London, could now ship it back and sell it to the United States Government for the new higher price. The money changers have a golden rule,
President Roosevelt orders the building of a new gold bullion depository to hold the vast amount of gold the United States government had illegally confiscated. That depository was Fort Knox.
|1936||On October 3, Republican Congressman, Louis T McFadden, Chairman of the House Banking & Currency Committee, from 1920 to 1931, is poisoned to death. This was the third assassination attempt on his life, he had suffered an earlier poisoning and had had shots fired at him.
He had been trying for years to get the Federal Reserve, and as you will have read thus far, had made very revealing statements about the Federal Reserve. He had been warned to back off, but this great American Patriot, put the people he represented before himself, as all elected officials are supposed to do, and was killed by the bankers as a result.
|1937||With Fort Knox having been completed only the previous year, the gold now began to flow into it.|
With the Federal Reserve having been in control of the United States economy for 25 years under the pretext of promoting monetary stability, it has caused three major economic downturns including the Great Depression. As Nobel Prize winning economist Milton Friedman put it,
Milton Friedman would also state,
Sir Josiah Stamp, director of the Bank of England during the years 1928-1941, made the following statement with regard to banking,
In Bretton Woods, New Hampshire, the International Monetary Fund (IMF), and the World Bank (initially called the International Bank for Reconstruction and Development or IBRD - the name, "World Bank," was not actually adopted until 1975), were approved with full United States participation.
The principal architects of the Bretton Woods system, and hence the IMF, were Harry Dexter White and John Maynard Keynes. Interestingly Harry Dexter White who died in 1946, was identified as a Soviet spy whose code name was, "Jurist," on October 16, 1950, in an FBI memo. Also, John Maynard Keynes was a British citizen.
In the same way the Federal Reserve Act authorized the creation of a new national fiat currency called, Federal Reserve Notes, the IMF has been given the authority to issue a world fiat money called, "Special Drawing Rights," or SDR's. Member nations were subsequently pressured into making their currencies fully exchangeable for SDR's.
The IMF is controlled by its board of governors, which are either the heads of different central banks, or the heads of the various national treasury departments who are dominated by their central banks. Also, the voting power in the IMF gives the United States and the United Kingdom (the Federal Reserve and the Bank of England), effective control of it.
The second, "League Of Nations," now renamed the "United Nations," was approved. The bankers, World War II, had been a success this time as a result of the physical, emotional, and mental exhaustion the world had felt after yet another World War. This blueprint for world government would soon have its own international court system as well.
|1946||The Bank of England was nationalized, which might seem at first sight to be a far reaching measure, but actually made little difference in practice. Yes, the state did acquire all the shares in the Bank of England, they now belong to the Treasury and are held in trust by the Treasury Solicitor.
However, the government had no money to pay for the shares, so instead of receiving money for their shares, the shareholders were issued with government stocks. Although the state now received the operating profits of the bank, this was offset by the fact that the government now had to pay interest on the new stocks it had issued to pay for the shares.
So, although the Bank of England is now state-owned, the fact is that the British money supply is once again almost entirely in private hands, with 97% of it being in the form of interest bearing loans of one sort or another, created by private commercial banks.
As a result of this, the bank is largely controlled and run by those from the world of commercial banking and conventional economics. The members of the Court of Directors, who set policy and oversee its functions, are drawn almost entirely from the world of banks, insurance, economists and big business.
Although the Bank of England is called a central bank it is now essentially a regulatory body that supports and oversees the existing system. It is sometimes referred to as "the lender of last resort," in so far as one of its functions as the bankers' bank is to support any bank or financial institution that gets into difficulties and suffers a run on its liquid assets.
Interestingly, in these circumstances, it is not obliged to disclose details of any such measures, the reason being so as to avoid a crisis in confidence.
|1950||Every nation involved in World War II greatly multiplied their debt. Between 1940 and 1950, United States Federal Debt went from 43 billion dollars to 257 billion dollars, a 598% increase. During that same period Japanese debt increased by 1,348%, French debt increased by 583%, and Canadian debt increased by 417%.
James Paul Warburg appearing before the Senate on 7th February states,
This is when the central bankers got to work on their plan for global government which started with a three step plan to centralize the economic systems of the entire world. These steps were:
Although Federal Law requires an annual physical audit of Fort Knox's gold, it is under Eisenhower's presidency that the last audit is carried out, for reasons that will soon become clear.
What could have been motive though, is that on June 4, President Kennedy signed Executive Order No. 11110 that returned to the United States government the power to issue currency, without going through the Federal Reserve. This order gave the Treasury the power to issue silver certificates against any silver bullion, silver, or standard silver dollars in the Treasury. This meant that for every ounce of silver in the United States Treasury's vault, the government could introduce new debt free money into circulation.
|1969||Congress approves laws authorizing the Federal Reserve to accept the IMF's, "SDR's," as reserves in the United States and to issue Federal Reserve Notes in exchange for SDR's.|
|1971||All the pure gold had been secretly moved from Fort Knox, sold to international money changers for the $35 per ounce price, and is believed to now be kept in London. This is also when President Nixon repeals Roosevelt's Gold Reserve Act of 1934, allowing Americans to once again buy gold. As a result of this gold prices began to soar. In fact, 9 years later, in 1980, gold sold for $880 per ounce, a staggering 25 times what the gold in Fort Knox was sold to the international bankers for.|
3 days after the publication of this story, its anonymous source, long time secretary to Nelson Rockefeller, Louise Auchincloss Boyer, mysteriously fell to her death from the window of her ten storey apartment block in New York.
The United States government still did not undertake an audit of the gold in Fort Knox to quell this speculation.
President Reagan was on board with this idea and so he appointed a group of men called the, "Gold Commission," to undertake a feasibility study and report their findings back to Congress.
|1982||President Reagan's, "Gold Commission," reports back to Congress and makes the following shocking statement concerning gold,
|1983||In order that Ecuador's government be allowed a loan of 1.5 billion dollars from the IMF, they were forced to take over the unpaid private debts Ecuador's elite owed to private banks. Furthermore in order to ensure Ecuador could pay back this loan, the IMF dictated price hikes in electricity and other utilities. When that didn't give the IMF enough cash they ordered Ecuador to sack 120,000 workers.
Ecuador were required to do a variety of things under a timetable imposed by the IMF. These included: raising the price of cooking gas by 80% by 1st of November 2000; transferring the ownership of its biggest water system to foreign operators; granting British Petroleum the rights to build and own an oil pipeline over the Andes; and eliminating the jobs of more workers and reducing the wages of those remaining by 50%.
In order to illustrate that the great majority of money is not even printed these days, please see the following speech by the late Lord Beswick which appeared in HANSARD, 27th November 1985, vol. 468, columns 935-939, under the title, "Money Supply and the Private Banking System," which states,
Notice how the Chancellor of the Duchy gave the game away when he said that no government authority was needed for this present system of credit creating.
Edmond de Rothschild creates the World Conservation Bank which is designed to transfer debts from third world countries to this bank and in return those countries would give land to this bank.
This is designed so the Rothschilds can gain control of the third world which represents 30% of the land surface of the Earth.
|1988||The three arms of the World Central Bank, the World Bank, the BIS and the IMF, now generally referred to as the World Central Bank, through their BIS arm, require the world's bankers to raise their capital and reserves to 8% of their liabilities by 1992. This increased capital requirement put an upper limit on fractional reserve lending.
To raise the money, the world's bankers had to sell stocks which depressed their individual stock markets and began depressions in those countries. For example in Japan, one of the countries with the lowest capital in reserve, the value of its stock market crashed by 50%, and its commercial real estate crashed by 60%, within two years.
The idea is for the IMF to create more and more SDR's backed by nothing, in order for struggling nations to borrow them. These nations will then gradually come under the control of the IMF as they struggle to pay the interest, and have to borrow more and more. The IMF will then decide which nations can borrow more and which will starve. They can also use this as leverage to take state owned assets like utilities as payment against the debt until they eventually own the nation states.
Note: Click here for a Microsoft Excel spreadsheet with a list of people at the Bilderberg Conferences.
This year Africa's external debt had reached 290 billion dollars, which is two and a half times greater than its level in 1980, which has resulted in deterioration of schools, deterioration of housing, sky-rocketing infant mortality rates, a drastic downturn in the general health of the people, and mass unemployment.
The Washington Times reports that Russian President, Boris Yeltsin, was upset that most of the incoming foreign aid was being siphoned off, and he stated,
This year American taxpayers pay the Federal Reserve 286 billion dollars in interest on debt the Federal Reserve purchased by printing money virtually cost free.
|1994||The Regal Act is introduced in the United States to authorize the replacement of President Lincoln's Greenbacks with debt based notes. They had lasted for 132 years.|
|1996||Ever wondered why all the world's production seems to be moving to China? In a report entitled, "China's Economy Toward the 21st Century," released this year, it predicts that the per capita income in China in 2010, will be approximately 735 dollars. This is less than 30 dollars higher than the World Bank definition of a low income country.|
In his 1997 book, The Grand Chessboard, Zbigniew Brzezinski reveals that Germany is the largest shareholder in the World Bank. When you bear in mind that bankers of the Rothschild bloodline were said to own Germany, "lock, stock and barrel," at the end of World War I, it is not difficult to see who controls the World Bank now.
|1998||The IMF eliminate food and fuel subsidies for the poor in Indonesia. At the same time the IMF soaked up tens of billions of dollars to save Indonesia's financiers or rather the international banks from whom they had borrowed.
|1999||In Brazil, Rio's privatized electric company named, "Rio Light," is responsible for repeated blackouts in neighborhoods. The company blames the weather in the Pacific Ocean for the blackouts, when Rio is on the Atlantic. The blackouts wouldn't have anything to do with the fact that after privatization Rio Light axed 40% of the company's workforce would it? No problem for Rio Light, as a result of that their share price went up 33%.|
The IMF require Argentina to cut the government budget deficit from its current $5.3 billion to $4.1 billion the following year, 2001. At that point unemployment was running at 20% of the working population. They then upped the ante and demanded an elimination of the deficit. The IMF had some ideas of how this could be achieved. Cut the government's emergency employment program from $200 a month to $160 a month.
How do they control the unrest within the population? Let me see, an Argentinean bus driver, a thirty seven year old father of five, lost his job as a bus driver from a company that owed him 9 months pay. During a demonstration against this and other injustices perpetrated upon him and the population, the military police shot him dead with a bullet through the head.
In Tanzania with approximately 1.3 million people dying of AIDS, the World Bank and the IMF decided to require Tanzania to charge for what were previously free hospital appointments. They also ordered Tanzania to charge school fees for their previously free education system then expressed surprise when school enrolment dropped from 80% to 66%.
The IMF and World Bank have been in charge of Tanzania's economy since 1985 during which time Tanzania's GDP dropped from $309 to $210 per capita, standards of literacy fell and the rate of abject poverty increased to envelop 51% of the population.When the IMF and World Bank took charge in 1985, Tanzania was a socialist nation. In June 2000 the World Bank reported arrogantly,
There is rioting in Bolivia after the World Bank drastically increase the price of water. The World Bank claim this is necessary to provide for desperately needed repairs and expansion. This is poppycock, my own water supplier is Wessex Water, a privatized water company that was actually owned by Enron! Since privatization (England was the first country to privatize the public water supply), the quality dropped and the prices exploded.
Almost all privatized water companies in Britain have consistently failed to meet government targets on leakages.
There are a lot of losers in this system, but a few winners - bankers. In fact the IMF and World Bank have made the sale of electricity, water, telephone and gas systems a condition of loans to every developing nation. This is estimated at 4 trillion dollars of publicly owned assets.
In September of this year, Professor Joseph Stiglitz is awarded the Nobel Prize in economics.
President Chavez, demonized by the controlled western media, gives milk and housing to the poor, and gives land not used for production by big plantation owners for more than two years, to those without land. His big crime however, was in passing a petroleum law that doubled the royalty taxes from 16% to 30% on new oil discoveries, which affected Exxon Mobil and other international oil operators.
He also took full control of the state oil company, PDVSA, which before was nominally owned by the government, but in actual fact was in thrall to these international oil operators. Not only that but President Chavez is also the President of OPEC (Organization of Petroleum Exporting Countries). The main reason is, however, that President Chavez fully rejects the World Bank's, "Four Step Strategy," and plan to reduce wages of the people for the benefit of the bankers.
Indeed President Chavez has increased the minimum wage by 20%, which has increased the purchasing power of the lower paid workers and strengthened the economy. His minister, Miguel Bustamante Madriz, fully aware of the danger Venezuela poses to the bankers when people contrast the fact it wouldn't let them in, for example, with Argentina who did, stated,
|2006||America and Britain is now at war in both Afghanistan and Iraq, and looking toward an invasion of Iran. As I mentioned before the greatest debt generator of them all is war. This has pushed America to the brink of financial collapse. This timeline is intended as a record of the past, but before you look at the conclusions, you may like to look at one person's prediction for the near future in this mind-blowing article.
In my research, I have discovered those critics who currently condemn the monetary system almost universally suggest that the only solution is to restore a gold backed currency. I don't think any readers of this timeline can be in any doubt, that such a system will be open to abuse by those very people who abuse it today. Indeed if we introduced a currency backed by chairs, I believe we would find ourselves with nothing to sit on!
The only monetary system that seems to have worked in history is one which is backed by the goodwill of a government and is debt free, such as President Lincoln's, "Greenbacks." Fortunately, the Nobel Peace Prize winning economist, Milton Friedman came up with an ingenious solution of wresting back control of the money supply from the bankers, paying off all outstanding debt, and preventing inflation or deflation whilst this process is completed. I summarize this below.
Using America as the example here, Friedman suggests that debt free United States notes be issued to pay off the United States Bonds (debts) on the open market. In conjunction with this, the reserve requirements of the day to day bank the regular person banks with, be proportionally raised so the mount of money in circulation remains constant.
As those people holding bonds are paid off in United States notes, they will deposit the money in the bank they bank with, thus making available the currency then needed by these banks to increase their reserves. Once all these United States bonds are paid off with United States notes, the banks will be at 100% reserve banking instead of the fractional reserve system and then fractional reserve banking can be outlawed.
If necessary, the remaining liabilities of financial institutions could be assumed or acquired by the United States government in a one-off operation. Therefore these institutions would eventually be paid off with United States notes for the purpose of keeping the total money supply stable.
The Federal Reserve Act of 1913 and the National Banking Act of 1864 must also be repealed and all monetary power transferred back to the Treasury Department. The effects of this will be seen very soon by the average person as their taxes would start to go down as they would no longer be paying interest on debt based money to a handful of central bankers.
A law must be passed to ensure that no banker or any person in any way affiliated with financial institutions, be allowed to regulate banking. Also the United States must withdraw from all international debt based central banking operations ie. the IMF; the BIS; and the World Bank.
If all the countries of the world adopted the conclusions above, then humanity will at last be free of these central bankers and their debt based currency. It's a lovely idea, but first we have to get it past our corrupt politicians many of whom are quite aware of the scam that plays us on a daily basis, however rather than do the job we have elected them to do, they keep their mouths shut and instead look after themselves and their families, whilst the rest of us continue to be exploited.