Robert's Blog

Americans Will Be "Forever Poor"

We lost our country in 1913 when bankers convinced Woodrow Wilson that a Central Bank was needed to avoid the currency fluctuations which caused boom and bust periods. He signed the bill that unconstitutionally transfered the government's authority over U.S. monetary policy and procedures to the private banking system.

The people of the United States granted to Congress the power "to coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures" in Article I, Section 8 of the Constitution.

Wisely, until 1913, we never gave them the constitutional power to delegate this money-creating and interest rate regulating responsibility to any private group. Yet this is exactly what the Federal Reserve Act did, unconstitutionally. It created a cartel of private banks, managed by a Board appointed for long terms of office by the President. This group of banks became the sole issuer of U.S. money, with full control over its quantity, interest rates and, thus its value.

American taxpayers do not send their payments to the Treasury Department, they send them to the Federal Reserve Banks, who take their share of these tax payments as interest payments ($1 trillion + in 2006) on loans made to the Federal government. Ergo the perpetual growth in our national debt.  These loans are unnecessary since the Treasury had previously financed the government for practically nothing.  Unless this provision of the act is repealed there is no way to balance a budget or make a dent in our national debt.

Morever, since 1913 the new Federal Reserve System has overseen, the profiteering of the 1st WW, The Depression, death of the Gold Standard, six major recessions since the 2nd WW, followed by 3 periods near rampant inflation, and today a dollar worthless in the view of foreign and domestic investors.  The Fed has been the tool used by the major bankers to gain control over the smaller banks. It has been able to bail out many international banks when their reckless overseas lending policies brought them to the brink of bankruptcy. It has been the financing agency for Congress' unprecedented deficit spending on the welfare state and war. Many people believe that it has intentionally manipulated the economy in order to influence the results of our presidential elections.

Our government doesn't need the help of any private banking cartel to manage money. We need to repeal the Federal Reserve Act and return control of our currency to Congress. Then we need a serious national discussion about how real currency reform can be achieved, giving consideration to restoring the gold backing to our money. As long as the Federal Reserve has control over our nation's money, Congress' control of the purse-strings will not have the benefits the Founders intended.

There are a relatively small number of American and foreign families who own these private banks that make up the Federal Reserve System. They collect the $1 trillion or more annually. Money that could be allocated to the provision of better health care systems absent the intrusion of insurance companies. Repeal would also challenge the unconstitutional collection of income taxes on wage earners. Such a debate would bring to the fore the need to consider some form of graduated consumption taxation which would, in part, eliminate the direct transfer of funds to the federal Reserve.

To save the Republic for the people, the people must repeal the one piece of legislation that reserves the Republic for the super-rich. Abolish the privately owned Federal Reserve System---Central Bank and return the authority of control over our money to the Treasury were we have the benefit of transparency, and Congressional, Executive control.