by Alan Adaschik

Money is a medium of exchange and the study of its use is called economics.  In days gone by bartering was the order of the day.  If you had corn and wanted wheat, and I had wheat and wanted corn, we would decide how much of one commodity was equivalent to the other and make an exchange on this basis.  However, bartering is an awkward process because of the unwieldy items and commodities involved.  Obviously, exchanges of goods would be facilitated if people used something less cumbersome as a medium of exchange such as gold or silver.  If I grow wheat, by exchanging my wheat for gold it will allow me to obtain other things more conveniently when I want them.  Thus metals like gold and silver became our first widely used mediums of exchange.

Once people started using gold and silver to trade goods, the need to transform these metals into standardized recognizable amounts became evident.  This led to the development of rudimentary coins; whereby an authority would weigh out various quantities of these precious metals and stamp them as to purity and weight.  Once this practice became common, it was only a matter of time before coins took on their characteristic disc shape and were impressed with a mint date and the likenesses of important officials.  With the development of coinage, a person could exchange the fruits of their labor for coins and use them to obtain other things when convenient.  During good times, some people ended up with more coins than they could use and this meant they needed a safe place to store them.  This brought the goldsmith upon the scene!

Goldsmiths worked with precious metals and had safes or strongboxes within which they kept their supplies.  Having this capability, it was only natural for people to take their excess coins to the goldsmith for safe keeping.  Upon so doing, the goldsmith would give them a written receipt for the amount of coins being stored.  Soon people realized that instead of trading coins for the things they needed, they could trade the receipts instead.  Thus paper currency was born and this freed people from carrying bulky coins when they went to market.

This rudimentary monetary system worked well in small agrarian economies, but as villages turned into towns and towns into cities, a need to borrow money developed and who was better positioned to loan money than the goldsmith.  Not only did he have his own money, but he also held other people's money which was sitting in his coffers doing nothing.  Of course, if the goldsmith was going to loan other people's money, he needed to share some of the interest earned with them.  This was the start of what we know of as modern banking.  The goldsmiths were our first bankers.  People would entrust their money to the banker/goldsmith and instead of paying him for this service, he would pay them a share of the interest he earned from loaning their money to other people.  From the depositor's and borrower's perspective, this made sense and appears reasonable.  However, appearances can be deceiving and how deceiving will soon become apparent.

If people were going to borrow money from a goldsmith, for obvious reasons it would be far more convenient if the loan was made in paper currency instead of coins.  However, the demand notes presently in circulation were for all the coins held by the goldsmith.  How could the goldsmith issue multiple demand notes on the same number of coins?  The goldsmith knew that it was a rare occurrence when someone retrieved the coins they had on deposit.  This being the case, if the goldsmith issued demand notes for more coins than he had, from a practical point of view, the chances were that he would always have sufficient money on hand to cover the notes which were redeemed by any one or even several of his depositors.  Understanding this, our enterprising goldsmith went out on the limb and adopted this practice.  Upon so doing, fractional banking was born.       

The use of fractional banking by private bankers, although morally questionable, was a boon to society because it allowed and facilitated the loaning of money.  This, as a matter of course, fueled development of our modern industrialized society.  However, every blessing has a downside and as things are, the downside to private fractional banking is significant and far reaching.  How terrible and far reaching it is, is a well kept secret by the banking industry.  As a result, very few people understand how fractional banking really works or how deplorable the downside to its use is.

When a person deposits gold with a goldsmith, he is given a demand note which can be traded as if it were the metal deposited.  However, when the goldsmith issues a piece of paper to a borrower which can be traded in this same manner, the gold backing the note does not really exist.  Instead of holding gold to back the currency being loaned, the goldsmith only has is a promise from the borrower to not only deposit the gold being borrowed at some time in the future, but also, incredibly, to allow the goldsmith to keep this gold or silver as his own.

A depositor is given a demand note for his gold which can be used in trade.  End of story!  A borrower is given a demand note which he can use in the same way as a depositor.  However, this is not the end of the story because now the borrower is obligated to earn an equivalent amount of gold not for himself, but for the banker who loaned him nothing.  STOP!  Think about what you just read and read it a few more times so it will sink in.  When someone borrows money from a bank, the bank is not loaning the borrower anything.  Instead, all the bank does is make a bookkeeping entry in the borrower's account for the amount borrowed and this costs nothing other than the ink the bank used to make the entry.  The bookkeeping entry has value only because those involved think it does and despite this slight of hand, the borrower is obligated to give bank, in real money, the original amount borrowed plus interest.  After all is said and done, the net result of this transaction is that the borrower, in real value, gets the amount he borrowed less interest and the bank gets, in real value, the amount borrowed plus interest.  This is absurd!

Why should anyone be able to reap huge amounts of profit from other people for doing virtually nothing?  No one should and this is why usury was considered a crime in most early societies.  The problem evident is that the money paid to the bank over and above interest is windfall profit and as such should be surrendered to a third party or some other controlling authority.  The interest earned alone is sufficient compensation for the banks issuance and servicing of a loan, so this is all they should be allowed to keep.  No private individual or institution should have the right to keep money they create out of thin air by establishing credit.  Only society as whole in the form of government should reap this benefit.  This is why our Founding Fathers ensured that our Constitution mandated that Congress and only Congress will have the right to coin or create money.  They knew and understood that such great power and its associated misplaced wealth, was a grave and serious danger to the newly created Republic.

Money is power and what greater power is there than to be able to create wealth with the flick of a pen?  And what can be said of men, who by a twist of fate would wield such power.  First of all, they would become wealthy beyond what anyone could ever imagine and they would use this wealth to hold sway over governments and the other institutions of society.  To be sure, our goldsmith turned banker ended up bankrolling the world within which we live, but unbeknownst to most, because of the tremendous wealth they acquired, they also became behind the scenes power brokers who pulled the strings which made the rest of us dance.  People think of the history of the world as the interplay and clash of nations, but the real history of our world was orchestrated by banking cartels in pursuit of wealth and power.  You will never read this in a textbook because bankers operate in secret behind closed doors and nothing they do in this regard is documented.

Granted, bankers provide a needed and important service to society.  We all know this, but there is one very important question which never gets asked or addressed.  Is the price paid by society for their services worth it?  The answer to this question is a resounding no.  When bankers control credit and reap the excess wealth it invariably creates, they have an unfair advantage over rest of society.  Everyone one else works for their money!  Why should bankers make huge amounts of money by default simply because they are the ones who issue credit?  Money is power and the more power any one group of individuals have, the more they will use it to protect their rice bowl at the expense of the citizens they are supposed to serve.  However, our situation is far worse than this because of the huge amounts of windfall profits involved.  Fractional banking, in the hands of private interests without governmental moderation and oversight, turns citizens into being the economic slaves of the bankers.  Furthermore, it also ensures that a majority of the wealth of a Nation, created by the enterprise and hard work of its citizens, will end up in the hands of the bankers.

The United States started out as the thirteen colonies of Great Brittan.  Most Americans think that our revolutionary war was fought to separate us from the tyranny of this Nation.  However, our revolutionary war was much more than this as explained in this quote by Benjamin Franklin:

"The inability of the colonists to get power to issue their own money permanently out of the hands of King George III and the international bankers was the prime reason for the Revolutionary War."

A key word for the American Revolution was freedom, not just freedom from Great Brittan, but freedom from the banking system which enslaved England and the rest of the world.  Have I lost you here?  If so, read the words of Sir Josiah Stamp, Director of the Bank of England from 1928 to 1941:

"The modern banking system manufactures money out of nothing.  The process is perhaps the most astounding piece of slight of hand that was ever invented.  Banking was conceived in iniquity and born in sin.  Bankers own the earth.  Take it away from them but leave them the power to create money and it with the flick of a pen they will create enough money to buy it back again.  Take this power away from them and all great fortunes would disappear including mine.  And they ought to disappear.  But then this world would be a better and happier place to live in.  But if you want continue to be slaves to the bankers and pay the cost of your own slavery, let the banks continue to create and control credit."

Or perhaps you will believe William King, a former Prime Minister of Canada who said:

"Until the control of the issuance of currency and credit is returned to the government and recognized as its most conspicuous and sacred responsibility, all talk of sovereignty and parliamentary democracy is idle and futile.  Once a nation parts with control of its credit, it matters not who makes the nation's laws.  Usury once in control will wreck any nation".

Need more convincing?  Then consider the words of Wright Patman, a Congressional Representative from Texas who chaired the Congressional Committee on Banking & Commerce from 1963 to 1975:

"I have never yet had anyone who could through the use of logic and reason justify the Federal government borrowing the use of its own money.  I believe a time will come when the people will demand that this be changed.  I believe a time will come in this country when they will blame you, me, and everyone connected with Congress for sitting by and allowing this idiotic system to continue."

The Revolutionary War freed America from England and the international bankers who controlled Europe.  When the war was over, England fled our shores in defeat, but the international bankers were relentless and never gave up.  In 1913 they finally triumphed when Congress was cajoled and bribed into passing the Federal Reserve Act which, in gross and flagrant violation of our constitution, turned the monetary system of this Nation over to a secret and private corporation owned and controlled by the world's richest men.  The question which begs to be answered is why would Congress do such a thing?

Surly, in light of what we now know and the statements made by Josiah Stamp, William King, and Wright Patman, this ignoble and despicable act was not only not in our best interest, but it resulted in destruction of the Republic which our forebears sacrificed so much to create.  Why would a member of Congress vote for a monetary system which resulted in our undoing and turned citizens into economic slaves?  The possible answers to this question are obvious.  Either the supporting Congressmen were duped or they were back stabbing traitors who voted against our best interest to further their own.   

Woodrow Wilson, 28^th President of the United States from 1912-1920, who spearheaded passage of the Federal Reserve Act of 1913, acknowledged his mistake as follows.

"I am a most unhappy man. I have unwittingly ruined my country.  A great industrial nation is now controlled by its system of credit.  We are no longer a government by free opinion, no longer a government by conviction and the vote of the majority, but a government by the opinion and duress of a small group of dominant men."

And what did President Wilson and the traitors in Congress do to us.  They destroyed our Republic by adopting a monetary system which would drain this Nation of its prosperity and leave our children destitute and penniless in the land once owned by their forefathers.  WAKE UP, CLEAR YOUR MIND AND THINK.  In 1913, the old world order soon to rename itself the New World Order, was given control of our monetary system to their benefit and not only to our detriment, but to our ultimate demise.  Think about the uncountable number of loans made and paid by our government, businesses, and private individuals for the past 100 years.  The sum total of these loans is an astronomical figure.  Now wake up and realize that the criminals who call themselves the New World Order have reaped a similar amount of money for themselves during this period of time.  And to what use have they put the wealth they stole from us?  They are using it to destroy this Nation and establish a world dictatorship with them in charge.  In 1913 we became economic slaves to the New World Order and this made these usurpers wealthy beyond anyone's wildest dreams.  Now they are using their ill gotten gains to make us their political slaves as well.

Think about what this has cost the citizens of this Nation.  If in 1913 the members of Congress did their jobs properly and honored their sacred oath of office, this Nation would still be a Republic.  Furthermore, with Congress coining our money and regulating its value there would be no need for an income tax.  Governments at all levels would be able to fund everything they do solely out of the wealth realized from establishing credit and loaning money.  Taxes would be eliminated and once again Americans would be able to enjoy all the fruits of their labor.  Recessions and depressions would be eliminated and only one member of a household would have to work.  People would be able to save money and consumer credit would be almost non-existent.  The work week and work day would be shorter than it is today and people would be able to take extended vacations.  They would also be able to retire earlier in life.  All of this would be the status quo for Americans if it were not for the fact that, in 1913, Congress sold us into bondage.   Hasn't the time come for Congress to rectify their ignoble and horrible mistake?

Where does this leave us?  This Nation, having been drained of its wealth and vitality, is being dissolved in keeping with the designs of the bankers who established the New World Order.  They believe the time is ripe to establish themselves as the recognized rulers of the world.  Think not!  Then read the words of David Rockefeller, our New World Order traitor in residence, spoken to the Trilateral Commission in 1991:

"But now the world is more sophisticated and prepared to march towards a world government. The supra-national sovereignty of an intellectual elite and world bankers is surely preferable to the national auto-determination practiced in past centuries"

To bring to fruition their diabolical plot, these bankers have engineered and initiated a world economic crisis designed to bring the entire world to its knees.  And what is Barack Obama doing to address this crisis?  He has rewarded the criminals who did this to us by giving them money borrowed from them for the absurd purpose of inducing them to make loans which only exist on paper.  Is President Obama stupid or is he just blindly following the dictates of our New World Order masters?  Either way there are two things we know for certain.  Similar to Bill Clinton and the Bush's who preceded him, Barack Obama has no intention of abiding by his sacred oath to protect and preserve our Constitution.  Furthermore, his ultimate loyalty is not to the people of this Nation, but to those who pull the strings which make us dance.

The single most important issue facing this Nation today is should we continue the mistakes of the past or begin the restoration of our Republic by repealing the Federal Reserve Act of 1913.  This being the truth, are Americans aware of this issue or is it under consideration in Congress?  Of course not!  Instead, the power and resources of our Government and other institutions of society including the main stream news media, work to ensure that this issue will remain unconsidered and tainted by the labels of extremism and lunacy.  I ask you, is such rubbish the hallmark of a free and independent society?  Is this how the Founders hoped we would be led and governed?  Of course not!  And this being the case, what kind of government do we really have?  Those of us who are not brainwashed and retain a measure of independent thought know the answer to this question.  Our present government is one which does not deserve our loyalty or support because instead of being our government, it is a criminal enterprise.

In 1913, this Nation was sold out by Congress to a group of usurpers who now brazenly call themselves the New World Order.  However, the truth is that they really are the old word order with a pretty face.  The mask they wear is maintained by their greatest ally; the mainstream media professionals of the fourth estate who tirelessly labor to make tyranny palatable to Americans.  Today, the news media, instead of keeping us informed, has also sold us out and joined forces with our oppressors.  Their prime function now is to keep us ignorant and distracted.  Think not!   Then let's once again listen to the words of our New World Order traitor in residence, David Rockefeller.

"We are grateful to the Washington Post, the New York Times, Time Magazine and other great publications whose directors have attended our meetings and respected their promises of discretion for almost forty years. It would have been impossible for us to develop our plan for the world if we had been subjected to the light of publicity during those years."

Yes, you read it right.  The directors of the Washington Post, New York Times, Time Magazine, et al, attended the meetings of the New World Order where they plotted the demise of this Nation and David Rockefeller commends them for their silence.  David Rockefeller commends those who have a prima fascia responsibility to keep us informed, who placed their hand over their hearts when reciting our Pledge of Allegiance, who stood at attention with tearful eye when our National Anthem was played, and who sat back and did nothing while attending meetings where a group of demented criminals plotted against this Nation.  These are the people who David Rockefeller thinks deserve praise for their loyalty and professionalism.  Nothing is more despicable!  Nothing is more pathetic!  And nothing is more disgraceful.

WAKE UP!  Our Nation is in peril and under attack.  Despite this, most Americans are oblivious to what is being done to us.  Our Founders and the brave and patriotic Americans who lie in Arlington National Cemetery are turning over in their graves, not because of what is happening, but because Americans are sitting back and doing nothing while our oppressors have their way with us.  If we continue to stay asleep and do nothing, the brave and loyal Americans who sacrificed so much so we could be free, will have died in vain.  For their sake and the sake of our children, the time has come to stand up and be counted.  Think not!  Then from my perspective, you are an ignorant fool who is an American in name only.  Your greatest failing as a human being is that you lick the hands of our oppressors and by so doing, give license to the tyranny the rest of us must endure.

For more on how the New World Order operates and brought about America's worst nightmare.  Click on and read:

Let's Fire our Government

The Economics of Disaster I

The Economics of Disaster II