Fiat Money… The Federal Reserve…
Posted: October 29th, 2010 | Author: Don | Filed under: Politics, Wonder | Tags: currency, fake, Federal Reserve, fiat, fiat money, gold, gold standard, money, Nation, precious metals, silver, tax payers, taxes, US, value | 4 Comments »Fiat Money is basically Monopoly money. That is money based on good will alone, and has no backing what so ever. In 1971, we were taken off of the Gold Standard, which was a process of which every bill printed by the US was backed by gold. Without Congressional consent the President took us off the gold standard, and the rest of the world followed in our foot steps, making all money funny money.
History has show us that when money is not backed by something of value, such as gold, silver, or other precious metals, etc., it looses it’s “currency” and becomes the downfall of that nation. Look at my article on The Way of Rome as an example of a nation, a LARGE nation that vanished due to fiat money.
They were producing money left and right to fight wars, to create social programs to keep people happy, etc. Sound familiar? And they were getting into debt with other nations as they did so. They finally fell, along with the other reasons I posted before.
Then we have the Federal Reserve Board. Did you know that they are not Federal? And that they have no oversight by the US Government? The “management” consist of wealthy bankers from all over the world, and they are the ones in control of our money, how much is made, interest rates, how the bank can handle that money, who must report what on how much money is transacted, etc. The name “Federal” is there to make us think that they are part of our government, but they are not. And our Presidents allow them (both sides of the political fence!) to do as they please.
Two things need to happen. We need to get back on the Gold Standard, recall all our debts that we forgave with Japan, Germany and other nations, WITH the interest that was agreed to back then, and remove the Federal Reserve from power.
We are coming closer and closer to melting away as a nation of power and a nation in general. And I’m not happy as to where I see us ending up!
Time for everyone to educate themselves on the money/currency processes of life, and what is happening to us here in the US, for those of us that live here in the US.
If you outside of the US, look at your money situation as well. It is also fiat (fake) money with no backing but the good will of the nation (is there such a thing?) and your taxes.
The US revolted due to taxes, and here we are, taxing ourselves even more and the government is spending more than they receive in taxes, and paying themselves more each year as we the tax payers make less each year due to inflation and more taxes!
TIME TO STOP THIS MESS!
I’ve always wondered about the gold/money thing. Sorry, it’s early and my brain can’t come up with the words I need. Anyway, do you think now that we have been off the gold standard for so long that we can ever get back on it? It seems to me the horse has left the barn.
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Well, the horse has left the barn to the effect that the US has sold of so much of it’s gold to foreign countries, they probably no longer have enough to back any paper money that is currently out there. There is definitely way too much paper money and Federal IOUs out there to cover most of the gold that is available in the world.
There really is no clear way, to me, to get back to the gold standard, or silver standard, other than to let the economy collapse, which is not a good thing. Once it collapses, you can rebuild, but by then an outside nation will have stepped in and taken over here in the US. (And there are signs of this happening already…)
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I’ve written several articles on Silver (Monex, United States Gold Bureau) and I understand that all of the US silver was sold off after WWII. We are in a mess, (Europe, US and the rest of the world) we haven’t learnt from past mistakes and I think that the ones in charge should admit they don’t know how to handle it.
I was interested to see 1971 mentioned. Credit cards started to be issued around then in the UK. Most people they were offrered to were disgusted with the idea that they should need to borrow money. I started work in a bank in 1973 and witnessed a lot of changes which led towards the idea of ‘virtual’ money.
Perhaps we should go back to the days when money for bills was put by in envelopes and with a bit of shuffling you got through to the end of the month. Big items were saved up for and appreciated much more.
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Don Reply:
November 4th, 2010 at 5:34 am
I would have no problem at all in the US getting back all of its gold and silver and going back to the gold standard, doing away with credit cards (debit cards are OK, as they use YOUR money, not borrowed money and make banking and purchasing easier).
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