"The Federal Reserve is a scam, and we are its victims."
G. Edward Griffin
"The present system of money and banking cannot eradicate, or even lesson, but only exacerbate America's financial difficulties, because the present regime is the problem, everything else being merely a symptom."
Edwin Viera, Jr.
"Of all the many ways of organizing banking, the worst is the one we have today."
Mervyn King, Governor, Bank Of England,
"We now know that the Federal Reserve provided more than $16 trillion in total financial assistance to some of the largest financial institutions and corporations in the United States and throughout the world,this is a clear case of socialism for the rich and rugged, you're-on-your-own individualism for everyone else."
Sen. Bernie Sanders
When he ran for president the first time, in 1824, Andrew Jackson called the debt a "national curse." He vowed to "pay the national debt, to prevent a money aristocracy from growing up around our administration that must bend to its views, and ultimately destroy the liberty of our country."
"How gratifying," he wrote in 1829 as he began his presidency, "the effect of presenting to the world the sublime spectacle of a Republic of more than 12 million happy people, in the 54th year of her existence . . . free from debt and with all" [her] immense resources unfettered!"
Hear, Hear! Debt free, why not?
We can achieve this glorious and salutary condition by taking back the monetary powers stolen from us in 1913. We can pay off the debt and be free of debt-money interest tyranny and the extortion and on-going theft of our public assets by big bank bond dealers who enjoy the exclusive, private, privilege to create "our" money and credit. If, in its own interests, the private "Fed" can create 16 trillion for banks, then a new public central bank can reclaim the money and credit creation powers and similarly create the funds to pay off our 14 Trillion debt, and forever fund our needs without being forced to borrow at interest our own money and credit!
If we take back the Fed, and pay off the national debt, we would then have no national debt and no recurring interest. We would then create our own constitutional money and credit, interest free, and so free ourselves from the bankster cartel -- thus allowing us to restore a civil society so badly in need of adequate funding and democratic monetary authority.
The possibilities are endless once we are free to create our own money and credit via our elected representatives and a new public central bank - as opposed to the current ruthless regime of debt money servitude to the un-elected and privately privileged. Rather than a debt-money rake-off to bankers the economy could take-off as the monetary key to the economic engine would again be in our hands, and an immense annual budget expense for interest would be eliminated.
According to official government statistics, the US federal deficit grew by $1.5 trillion in 2010, and total US Treasury bonds outstanding reached $14.5 trillion. The $14.5 trillion includes bonds held for federal purposes, such as the Social Security trust fund and federal employee retirement accounts. The amount owed to external creditors is currently $9.7 trillion.
So where would the 14.5 or 9.7 trillion debt pay off money go? It would go to the bondholders, foreign and domestic, and to the Fed itself as they now hold and buy many of our interest-bearing notes. As for the Fed holdings of our debt, we would recycle the funds to the treasury or simply cancel this cache of "our" bonds. No more interest. As for the call-in funds paid out to existing bondholders, this money would likely be recycled into the stock and corporate bond markets seeking equivalent yield. These funds would then work their way into the economy while also lowering bond rates.
Inflationary? A one-time surge in assets? Or, a boost to economies short of funds and being held hostage by Fed-owning bankers? What is more inflationary and budget busting than having a private "Fed" create our money out of thin air and charge us interest for doing so when we could do the same and save the half-trillion annual interest in our budget?
Consider that the private "Fed" has created and given trillions to the very banks that own their stock, in the form of debt-money costing taxpayers endless interest. And for what? In effect, "our" money is created out of nothing by a private central bank and it simply enriches its own cartel family members. We, the people, are not members of this mafia family, we are simply its slave-guarantors and interest-paying suckers" until, of course, we end this insanity.
The U.S. government spent over 413 billion dollars on interest on the national debt during fiscal 2010. Approximately one out of every four dollars that the U.S. government borrows goes to pay the interest on the national debt. It is projected that by the year 2021, interest payments on the national debt will amount to $1.1 trillion dollars a year! If interest rates move up even slightly, the interest on the national debt is going to be a whole lot worse, and essentially means that America will be sold. At this dismal point, due to our default and bankruptcy, the debt-money game is up as we, the people, rise up and put an end to this madness.
Currently, the Fed is in a box, and they are forestalling this event by the fact they are now buying 85% of the treasuries created at low interest rates, but this is still debt-money at interest. We need a new legal tender law which puts our new, no interest, Treasury monies at par with Federal Reserve notes as legal tender for all payments foreign and domestic. Otherwise, the banksters will undermine any non-debt-money currency, as they did with Lincoln's greenbacks.
This will be the end of "Fed" debt-money and private central banking unless the fascist globalists continue to exercise their undemocratic power over us and the rest of the world. Given the extreme chaos and depravity brewing in the world today, this is not likely as the banksters are on the run as their state terrorism backfires and they reap their karmic due. As conditions worsen and people's knowledge of the debt-money scam increases, their odds are not good" as they are so few and we are so many.
In short, the debt-money interest is THE problem. It is precisely because of this unconstitutional borrowing mandate and the interest attached thereto that we call it debt and not investment. Public money out of nothing, without interest to bond holders, is far more efficient and less taxing than private money debt buildup leading inevitably to bankruptcy and raids on public assets. Further, the private, for profit, banking business incentive and imperative is to create as much debt and interest income as possible, regardless of its usefulness, role in speculative manias and nonproductive uses, or the corruption involved -- as reformed "economic hit men" have amply explained.
We must regain our right to create money and credit via democratic processes and direct the funds to useful purposes and the people's business. We can either run trillion dollar deficits with endless, economy-choking, interest to private parties, or we can pay off trillions in debt, fund new investments, technologies and employments, and also be free of interest. There may be several ways to approach this debt payoff, we may do a lump-sum call-in purchase or stagger the pay downs at, say, two trillion a year to reduce the impacts of a sudden retirement of debt.
Most importantly, new funds created by a public central bank via congressional authorization would not be debt but "investments" in infrastructure, energy independence, new technology and research initiatives, etc. All such non-interest bearing public funds would spark an economic revival and result in needed jobs done, wages paid, taxes collected, deficits erased, and greater monetary velocity, societal vitality, and public confidence. We would again become masters of our fate and captains of our economic engine. Relying on private central bank debt-money funding for our very economic life and social stability is nothing but criminal nonsense" a relic of a sordid banking history.
Given the current Wall Street bankster regime, and in the absence of an on par legal tender regime with FRSN's, the only problem would be attacks on our currency value which, due to big investment bank (read Fed owners) opposition to losing their bond business commissions and insider knowledge of interest rate movements - would likely attempt to sell and undermine the dollar as they did with president Lincoln's greenbacks (by stealthily inserting a clause that limited its legal tender use). This threat could and should be countered with a threat of bank nationalization and anti-trust action against the big, formerly Fed-owning, banks who may well conspire and act in concert to attack our currency.
However, in view of the strengthening of the USA balance sheet with the removal of this growing interest-bearing annual debt tab, the full faith and credit of the USA would be renewed and strengthened by the removal of the everlasting interest penalty and its budget-draining effect on our tax revenues. Public ventures would then be more affordable and efficient due to less or no interest costs and the ever-present Wall Street rake-off baksheesh.
This removal of debt-money interest costs would also then act to strengthen the currency, despite the bond payoffs. So the currency value struggle and inflation worry may not be anything but short-lived. If the dollar did depreciate due to such counter-actions by the losing bankers, we would also gain back more manufacturing and export growth to compensate, and any negative effects would be short-lived, and offset by the new absence of interest payments in the budget.
I'm looking here for a reason not to pay off the entire debt and escape our debt-money prison, leaving us to create money and credit for products and services the people need and deserve and decide upon via their elected representatives. Is there one? I don't see a downside to regaining our constitutional monetary authority and escaping our debt-money prison - now on its way to severely changing life for the worse in the United States. There is nothing to lose but the chains of interest and everything to gain.
Remember Democracy, and a truly democratic Republic? That's what we used to have before the banksters took if from us and gave us a rotten "free market" plutocracy, oligarchy, and endless political corruption. As I see it we would be rid of the monetary tyranny and the corporate fascism that has imprisoned us for a hundred years, and is gaining more momentum today.
What's not to like? Pay off the debt. Take back our central bank, and begin a worldwide revolution against this tyranny of the un-elected money changers.
With the current worldwide revolution against the bankers and their predatory and ruinous austerity now in full view, now is the time to strike a fatal blow against the private "independent" central banking scheme that has cost us, and so many other nations, so dearly for so long. Clearly, there is no good reason for this privatized monetary dictatorship to exist. It is one from which our founders escaped and intended we, the people, never again be imprisoned within such a predatory debt-money scheme.
Given the corruption that has taken over our political system this strike would require tremendous activism and action upon "our" politicians -- who themselves need to be freed from the money chase and the bankster financial system and their media whores. Today, more of our representatives are gaining courage and strength from the tremendous worldwide groundswell against the bankers and the worldwide struggle for effective democracy. So the time is now.
This is not an impossible task, not nearly as hard as wining World War II. We need to continue the pressure on our elected representatives to either vote to nationalize the Fed, regain our monetary heritage, and pay off the debt, or give the people a National Initiative process by which we might do the same and override our corrupt legislators and corporate-corrupted Supreme Court.
We must send a message to those both in, and now running for, office that the time has come to end the monetary dictatorship in the United States and around the world. Free the people, and free the bank. Take back what has been stolen from us. Begin today.