"Let Me Issue And Control A Nation's Money And I Care Not Who Writes The Laws." Mayer Amschel Rothschild,
"If The American People Ever Allow Private Banks To Control The Issue Of Their Currency, First By Inflation, Then By Deflation, The Banks And Corporations That Will Grow Up Around Them Will Deprive The People Of All Property Until Their Children Wake-up Homeless On The Continent Their Fathers Conquered" Thomas Jefferson,
"It Is Well Enough That People Of The Nation Do Not Understand Our Banking And Monetary System, For If They Did, I Believe There Would Be A Revolution Before Tomorrow Morning." Henry Ford,
Also known as the money multiplier effect,the Mandrake mechanism is a term coined by Griffin in this book. Mandrake the Magician was a comic strip character from the 1940s. He had the ability to magically create things and, when appropriate, make them disappear. Griffin's view is similar to many other gold-standard supporters' critique of the fractional-reserve banking system and the Federal Reserve in particular: that it makes money "magically" appear from nothing.
In Griffin's view, the "magical" quality of this mechanism is really just a simple mathematical limit. When banks loan money, they don't actually loan existing money. Rather, they allocate money to loan, but they are limited by how much money they can create. The law basically says that, for each dollar a bank has on hand in one of its savings accounts, it is allowed to create another 90 cents to give out as a loan. (The dollar from the savings account is still there, and can still be spent by the person who owns the savings account.) This loan is then spent, and the recipient puts it into another bank, and that bank can now loan 90 cents times 0.9 = 81 cents. This can be repeated many times (depending on the demand for loans) until it approaches its mathematical limit of 10 dollars.
For example, when the Federal Reserve holds on deposit 1 billion in marketable United States Treasury security then the banks in the banking system, public and private, and bound by U.S. financial law, are able to generate 10 billion in new debt over time.
My first take on this is that the Feds must be REALLY scared to do something so over the top, especially when the dollar is in a dive and people WANT gold and silver. From their indictment:
"Along with the power to coin money, Congress has the concurrent power to restrain the circulation of money which is not issued under its own authority in order to protect and preserve the constitutional currency for the benefit of the nation. Thus, it is a violation of law for private coin systems to compete with the official coinage of the United States."
All I can say to that is "Wow". Let's dissect this:
"Along with the power to coin money...".
Right the power to "coin", not print . Shouldn't they be indicting themselves?
"Congress has the concurrent power to restrain the circulation of money which is not issued under its own authority..."
This is an altogether new power the government is claiming. This statement, more than anything, is where I think they have shot themselves in the foot when it comes to public opinion.
"... in order to protect and preserve the constitutional currency for the benefit of the nation ."
They just used the term "constitutional currency" to describe Federal Reserve Notes!! To me, that is utterly pathetic. This is a desperate cry from a bunch of crooks. No one is gonna buy this garbage.
How *dare* they undermine U.S. currency. Don't they know that's the job of the U.S. government?
At least the Liberty dollars were backed by precious metal, unlike US currency which is backed by no more than a promise from a government that has become increasingly adept at breaking promises. How brazen of Liberty Dollar to notice that the emperor has no clothes?
I've never owned a Liberty Dollar, and know no one involved, but I did look into them once online. At that time, they bore no resemblance to US coinage except for being flat and round (it *is* after all a coin), and the site was clear that the Libery Dollars were meant as a means of exchange among like-minded individuals who recognized the relative worthlessness of Federal Reserve Notes. Maybe their dealings grew shady at some point later on, or maybe this is just the government extinguishing an ember before it becomes a wildfire.
I never even heard of "Liberty Dollar". I just looked at their website, http://www.libertydollar.org/, and it seems very clear that it's "private voluntary barter currency (PVBC)" and not U.S. Federal Reserve Notes or U.S. coins. I guess I'm must be missing something.
Think about the deal. You give him $20. He gives you a coin. He goes and buys silver to back up your coin. At some point in time he gets all the silver he wants and takes off to Switzerland. Sorry, but I have more faith in the Feds.
He is persuasive. I had to deal with the guy (Not by choice). He tried to pay my company in Liberty Dollars and we laughed in his face.
I give Bernard a piece of paper with no real value that says "dollar" on it but isn't an actual "dollar" - a Federal Reserve NOTE. In return I get a physical commodity - silver, which happens to be CONSTITUTIONAL money.
Look, THE GOVERNMENT HAS NO EXCLUSIVE RIGHT TO COIN MONEY!!! I will give 100,000oz of silver to the first one on this board to explain where in the Constitution the government is given an EXCLUSIVE, MONOPOLY right over the issuance of currency. They are given the power to "coin" money- no where is the word "exclusive". This is a BS argument that deserves a kick in the balls out of its sheer ignorance of the facts.
As far as what Bernard is doing with the Fed Notes he gets? Wrong again, Bernard never touches em. They pay their Fed Notes to the Mint, that then pays Bernard in extra silver. The Mint hands the Fed Notes off to the mines. Ask the silver mines why they take Fed Notes.
Obviously, as a private currency you can't take it to the bank. The banks are part of the Federal Reserve System. So what? So I can't trade a stereo for a TV cause I can't deposit a stereo at the bank? What's your point here?
Yes, you can barter goods without a unit of exchange, but it's a lot harder to find someone who has what you want and needs what you have at the same time. That is why money exists, to facilitate trade. The problem comes in when the unit of exchange has no real value in and of itself -like the Federal Reserve NOTE, which is only an IOU.
Gold and silver always make for fair trades, that's the the gov hates it. It makes their con game impossible.
So why don't you have faith in this? You would rather trade in your time and energy for piles of paper that lose value. Please, I want to understand you, why would you rather have dirty pieces of paper rather than silver? Why do you believe the government has monopoly powers over the monetary system? Can you show me where the Constitution authorizes this? Please explain...
Poll : We Should Get Rid of The Federal Reserve And Central Banks Because: Click Here
"We are of opinion, however, that the confusion is not inherent, but rather arises from the conclusion that the 16th Amendment provides for a hitherto unknown power of taxation; that is, a power to levy an income tax which, although direct, should not be subject to the regulation of apportionment applicable to all other direct taxes. And the far-reaching effect of this erroneous assumption will be made clear." Brushaber v. Union Pacific R.R., 240 U.S. 1, 11 (1916)
See Video Section 25:00 Minutes To 30:00 To See Actual Proof Demonstrating That The I.R.S. Has No Legal Authority For The Collection Of Income Taxes, Seizure of Property For Non-Payment, Audits Of Citizens Tax Filings, etc.: http://youtu.be/gKToYTOE128
The I.R.S. Also Fails To Actually Define Income: See Video Section 32:41
Feel free to send this letter to the White House (Fax: 202-456-2461) , your congressman and/or senator, etc.
(Edit where necessary)
To Barack Obama,
On top of everything else you have to contend with.. I think It's high-time we address the issue of "monetary reform" it seems that the banking system "cartel" have their own agenda (world domination?) in terms of what they (the Federal Reserve and the Central Bankers, etc.) want to see happen to the U.S and the world's monetary system vs what the American people actually expect from these same institutions.
We (you, the Whitehouse and I) need to urgently communicate the message that there is a major problem with these institutions and how they operate (fiat currency, fractional reserve banking, debt-issuance, engineered boom and bust cycles, etc.).
You already should and will achieve legendary status because of what you've accomplished with healthcare reform, capturing Osama Bin Ladin, etc.
However, to take on the banking cartel with the help of the eager youth of today, the Internet, virtual currencies, etc. You will rival Thomas Jefferson and Andrew Jackson, for they knew and admitted publicly what central banking meant for democracy.
We are in a prime position to actually prepare the USA and lead the world into the 21st century by reforming the monetary system even if it means abolishing the Federal Reserve.
What do I need to do to help out in this effort and how can we (you, the Whitehouse) and the American people do to finally fix this last and critical area of economic manipulation.