Federal Reserve System: Creating Money from Debt

Creating money from debt? Sound absurd? But that’s exactly how the United States of America money system works. Fiat money is created out of thin air-without the backing of intrinsic assets to back up the receipts (money) to ensure credibility and value. Clearly, the private Federal Reserve System was implemented without the citizens’ long term survival in mind.

G. Edward Griffin, author, The Creature From Jekyll Island, Fourth Edition, American Media said it best in the following quote taken from pages 193 and 194:

“There are three general ways in which the Federal Reserve creates fiat money out of debt. One is by making loans to the member banks through what is called the Discount Window. The second is by purchasing Treasury bonds and other certificates of debt through what is called the Open Market Committee. The third is by charging the so-called reserve ratio that member banks are required to hold. Each method is merely a different path to the same objective: taking the IOUs and converting them to spendable money.”

One has to wonder how any purchasing power has managed to survive at all with that kind of Dollar dilution. The U.S. Dollar will buy about three percent of what it would buy in 1913, the year the money system was handed over to the private Federal Reserve System through the Aldrich plan.

Unfortunately, few Americans and many professionals working in the field of finance, banking, and investing to not understand the money system and do not understand how money is created from debt. How does that work, exactly?

A simplified explanation is as follows:

The U.S. Treasury has no money. What about all those Treasury bills and notes sold every week and several times a month? Treasury borrows that “money” from the Federal Reserve who loans it to them and then charges interest for money it did not have and created out of nothing. And that’s the way your money system functions. It is not surprising that money loses value so quickly.

James Clark King, LLC

 

 

Understanding the Money System: Haircuts, Chickens and Eggs

Do you understand the money system? If you do not, this article and the sources cited will provide a quick tutorial on what money should be, but is not. Why is money something besides what it should be? Because of fiat money. Know what that is? Take a look at this film and you’ll be unpleasantly surprised.  Money as Debt-A full length Documentary will provide information on the Federal Reserve System. The film may be viewed on Youtube. Paul Grignon is credited with the film and he also wrote a book using the same title. Here is the link to a website containing information on the money system.

https://paulgrignon.netfirms.com/MoneyasDebt/references.htm

Essentially, fiat money is a representation of a monetary system’s currency without full backing of hard assets, commonly known a the gold standard. A gold standard is foreign to the United States money system as well as other countries which have a central bank controlling their money and setting monetary policy.

Remember, inflation is a made up, academic-type of term designed and invented to hoodwink followers of news into believing devaluation of money is a normal phenomenon, instead of a dilution process of purchasing power over time due to excessive printing of money-the printing of paper currency or credit offered by digital money. Either way, more U.S. Dollars, Yen or Eurodollars equal more money in the system than prior to the new printing. Hence, less value and the erosion of purchasing power. You may want to review an article by Baily who provided a simple, fictional illustration of a responsible money system.

Here is the link:

http://www.privacycrisis.com/blog/?p=1764

Eustace Mullins wrote a book explaining the Federal Reserve System.

Read about it at:

http://www.apfn.org/apfn/reserve.htm

Federal Reserve System. Hmm. That implies Federal Government, right?

Did you know the Fed isn’t Federal?

G. Edward Griffing wrote another book explaining the Fed. By the way, each of these works contain footnotes throughout in case readers question any information. One can see a film or read the book, The Creature from Jekyll Island. This film is from youtube and G. Edward Griffin is credited with the film. He is also the author of the book, The Creature from Jekyll Island.

Here is the link to G. Edward Griffin’s film, The Creature from Jekyll Island and it is on you tube:

https://www.youtube.com/watch?v=lu_VqX6J93k

Imagine a patron walking into a barber shop in 1816. He forgot his money and can’t pay for his haircut. He lives twelve miles from the barber and doesn’t want to return to pay the bill. However, he is on the way to the butcher shop to sell his chickens and eggs. He offers to pay the barber in the form of one chicken and a dozen eggs. The barber is willing to accept this form or barter because it has value similar to the value of the haircut.

Today, if the value of a chicken and a dozen eggs is calculated, this value will be approximate to the value of a haircut. Keep in mind, certain barbers charge higher or lower rates and all chickens and eggs are not of equal value. However, you can find chickens and eggs-one chicken and a dozen eggs that have similar value to certain barbers’ haircuts. This is the point: “hard assets” have a constant, consistent value.

This example illustrates the value of “hard assets” behind a monetary system. Certain goods and services can be exchanged for other goods and services and the value of this exchange will remain constant throughout time.

Does a haircut cost the same today as sixty years ago? Why not? A chicken and a dozen eggs would buy a haircut at that time and the value of these foodstuffs will buy one today.

You can now ponder the “value” of a fiat money system and why people who stop working have their savings eroded by the devaluation of their money. Truly, the Federal Reserve System is an irresponsible monetary system designed to rape citizens over time through the loss of purchasing power while enriching the central bankers through the printing of money out of thin air. See the article at the link at:

http://www.privacycrisis.com/private_federal_reserve.html

James Clark King, LLC

Publisher, Privacy Crisis Books

 

 

 

Do bankers understand money?

Inflation. CPI. Nonsensical terms to be sure. But ask any managerial level banker and they probably subscribe to those terms-meaningless, oxymoron-like, bordering on the absurd and in the vocabularies of all who make your mortgage and loan decisions.

Devaluation not inflation is the correct way to describe the erosion of purchasing power. However, in order to understand this correction in verbiage, it is necessary to first learn the basics, the fundamentals of any monetary system or medium of exchange without biases. An article which may be useful to understand the loss of purchasing power is located at:

http://www.privacycrisis.com/article_financial_privacy.htmlt:

Imagine people in a land with diverse products and services to sell. Mabel has a pie baking business and her husband Cleve has hogs and milk in excess supply. Art is a skilled mechanic and his brother Billy builds houses while their sister Ruth and her husband practice medicine and provide nursing services. Sue, their neighbor teaches school. Bret writes computer programs and provides search optimization services. May makes winter coats. Gabriel cuts hair. Charlie has used cars for sale. And three hundred other community members possess skills and services and have products for sale.

There is no accepted method of exchange in this fictional community.

Grant Hall wrote Privacy Crisis Banking and this book explains money and banking as well as business and investment privacy. The book is available as an e-book for immediate download at:

http://www.privacycrisis.com/orders_index.html

It becomes cumbersome for Cleve to hall hogs and milk to May’s store to trade like values for like values. Charlie wants Mabel’s pies for desert, but doesn’t want eleven hundred of them at once-the number that is valued to equal one of his used automobiles. And others face the same dilemma. How to “buy” goods and services? What to do?

A community meeting is held to establish a suitable and convenient means of exchange, a monetary system that can serve the consumers and survive without being devalued over time. This community is aware of what happened to previous currencies-those money systems that began at 100 and were devalued to 2 or 3 due to the instant gratification needs of the cons who initiated them in the first place without consent of those who eventually lost everything because of the Ponzi scheme. This responsible community is determined to establish a money system that works-without devaluation or “inflation,” that scam word that money creators conned everyone into believing was a normal phenomenon when in fact it is nonsense, a lie used to control and make a population poor within a hundred years or less, or much less depending on how much abuse is exercised by the controllers.

Property is held by the community in the form of farmland  and producing oil wells. The city hall and the surrounding buildings are also owned by “the state.” In addition, money is owned by the community which has been collected for revenues on these properties.  And there is an income stream from other diversified properties.

First, the value of all properties is determined as well as the bottom line figures  for all businesses. The final value is established based on the current value of spot Gold. Next, this figure is converted to the value of Gold in troy ounces. It is determined that this state owns property and current profits from their business that is the equivalent to 99,000 ounces of Gold at today’s price. With this value in mind, this community establishes a money system and a bank. The properties and business revenues remain owned by the community while the bank has the power to distribute receipts in paper or digital form up to the value of all their assets. Receipt issuing power is only increased when new business profits are generated and only up to that value per the value of the new profits. And this becomes the money policy of the people who own the money.

Stockholders or community members are entitled to their share of ownership of the property and may receive this ownership in the form of the receipts. Or their account is credited to equal their share and this account may be drawn from to buy goods and services.

A means of exchange has been established and commerce begins without the inconvenience associated with bartering hogs for coats and the like.

Devaluation of the community bank will only occur when the collateral behind the money receipts fluctuate in value such as a decrease in the price of oil and land and buildings and other property held by the community.

Market values only contribute to any debasement of the newly established currency.

J. Baily

Can you have money privacy today?

Concerned about your financial privacy?

Unfortunately, one has to utilize non-traditional methods to keep money and banking private today.

Within the last few years, the last institutions where banking secrecy was guaranteed by law, the Swiss Banks have succumbed to pressures and relinquished money and banking privacy. In fact, a United States citizen will find it nearly impossible to open a foreign bank account today.  And telephone and e-mail communication with offshore entities is often monitored by “you know who.”

How can one keep his/her business private in today’s world?

Privacy Crisis, an e-book by Grant Hall provides privacy seekers with high level privacy for today’s challenging times.

Ensure Phone and Computer Privacy and prevent government phone taps and e-mail monitoring. Chapters 15, 17, 18.

Privacy Crisis Banking, Hall’s second book contains money privacy secrets used to make assets and funds invisible.

Do you want to eliminate bank account and property seizures?

Utilize an “invisible home mortgage” and bypass credit bureau reporting agencies. See chapter 9.

Kate Holworth

 

Bothered by a Stalker?

Unfortunately, stalkers contribute to unwanted fear, anxiety, pain-both psychological and physical as well as the disruption of many lives.

This post is meant to provide the reader with the first step towards coping with the persistent stalker. First and foremost, one who is bothered by a dangerous stalker must remove himself/herself from the crosshairs of the stalker. This is best accomplished by following a serious privacy plan designed to dissuade the stalker from further stalking. Success in removing a stalker from one’s life depends on the level of privacy one seeks to gain as well as the motivation one has to achieve total privacy and freedom from the stalker(s).

Author and privacy expert, Grant Hall wrote articles on stalking solution available free of charge. One such article suggests it is possible to be free from a stalker in twelve hours. This article can be accessed at this link:

http://www.privacycrisis.com/escape_a_stalker_twelve_hours.html

In addition to this article, Hall wrote an e-mail privacy course designed to provide information on how to cope with a troublesome stalker. Here is the link to this Free privacy course:

http://www.privacycrisis.com/stalking.html

It should be noted that the successful escape from a stalker is a comprehensive privacy effort encompassing all aspects of personal and business privacy.

For a full understanding of complete business and personal privacy, two e-books written by Hall are recommended and these are Privacy Crisis and Privacy Crisis Banking.

You may be interested in purchasing these books. Here is a link to buying the books:

http://www.privacycrisis.com/orders_index.html

Thanks.

Betty Brokshoken

Keep Your Privacy While Getting Medical Treatment

Can a privacy conscious person keep her privacy in the face of a serious disability? Will a long term illness or treatment for an injury compromise a person’s privacy lifestyle? These are questions many will face at some point in their lifetimes. This piece will address potential privacy compromising issues one will face during a period of illness.
Calling a physician’s office may be the first privacy medical hurdle one has to clear as medical office personnel often attempt to obtain your health insurance information prior to making an appointment. You will be asked for your insurance company name, your policy and certificate number, and the doctor’s assistant will verify your coverage and co payment amount as you’re on the telephone. Your name, address and telephone number will be required information. Often your e-mail address will be requested but not required. Social Security Numbers will sometimes be requested and it is possible to keep this important identifier mum-and it is recommended you do so. Grant’s books are clear about how important it is to keep your Social Security Number confidential as you prevent identity thieves and other criminals out of your life while living a privacy lifestyle. In fact, preventing medical identity theft should be a primary concern as you get treatment as medical identity theft is one of the fastest growing white collar crimes in the country.
Once you have met the basic requirements for a medium level privacy lifestyle and have this identity theft prevention plan system in place, you will be prepared to avoid unwanted privacy invasions when an emergency medical condition warrants medical treatment. Your mailing address will not lead anyone to your doorstep, the telephone number provided for medical treatment cannot be traced to you or your family, and you can meet the requirements of your medical providers while keeping yourself safe during this period of time. If you need guidance on how to get started, we have resources that will help.
Free personal privacy courses are available for those who wish to receive these by e-mail. Courses are written by Grant Hall, author of Privacy Crisis and Privacy Crisis Banking.

Guest post by Beth Oslowski

Grant Hall on Privacy Living

Secret Home Mortgage?
The masses provide lenders and their henchmen with a clear roadmap to their home. Why not borrow money secretly and create an “invisible home mortgage?”
You and your family will not be subjected to dangerous scams and ugly threats. You’ll avoid property confiscations and burglaries. Live without fear. Keep snoops from finding your home when they access your credit bureau files.
How do you initiate a private home mortgage?
One has to borrow using a non-traditional lender. Perhaps from a company he or she controls. Or through the pledging of assets as collateral and then borrowing against these assets. Do you or a company under your control own farm land or other real property, Gold, Silver or rare coins? A margin account can be an ideal source of borrowing, too. You could borrow from a company under your control or from the business that employs you.
In any case, the goal is to repay the loan while disguising the nature of the purchase. Please keep everything above board and according to the provisions of the credit sources you use. It is not necessary to deceive or engage in anything illegal for the sake of personal privacy.
In my latest book, Privacy Crisis Banking, my personal techniques are fully explained.
If you truly desire personal privacy, you’ll have to start with a private residence-whether you rent or own the dwelling. And if money is borrowed for a home purchase, the world will know where you live when a traditional home mortgage is taken out on the property as credit bureau files will reveal this information.
It’s best to avoid the borrowing practices of the masses when you want home privacy. Once you title the property as I describe in Privacy Crisis, you will avoid data bases and the problems that are associated with having your home address known to everyone. You and your family will avoid the fear associated with dangerous stalkers and identity theft.
Thanks for reading.
Grant Hall

Check Cashing Store Managers: Key to “Banking Secrecy”

I have not used this store for a year and a half to cash business checks. I am in town and want to keep the business relationship. The store “manager” assures me they can make all decisions necessary on a Sunday afternoon when I call prior to taking the trip across town. I wonder…and elect to take her word for it.

Fifty minutes later, I sign the checks after being promised by clerk number one that they look fine. Enter clerk number two, a large lady who notices I have not been in for a while. “It’s time to update your information, ” she says. I agree and assist in every way possible: telephone, address verification, business name, everything. She asks if I’m the owner of the Limited Liability Company. “I manage it.” She insists I write “DBA” on the back. I explain that’s for sole proprietorships. She doesn’t know the difference and calls on Clerk number three. Number three makes a call to the District Manager. I know him and address him by name. She isn’t impressed. She has to leave a message as he’s not in. Clerk number four enters and says I’ll have to bring in all the paper work-all over again. I explain I’ve been a customer since 2007. She advises she doesn’t want to argue. I leave my name, business name and phone number for the district manager. After leaving the store, I swear for half a minute.

On Monday, Bill, the district manager calls. I remind him that we’ve met. He looks at his message and advises the staff made a mistake and should have cashed my checks, and says to come in again at my convenience. Later in the day, I make a second trip and hand over the checks to a very polite young man who reviews the district manager’s notes and repeatedly says how sorry he is for the problems their staff caused me the day before.

The key to banking secrecy and personal and business privacy is to state your goals to the managers who have the ability and responsibilty to meet your needs as a responsible consumer. Try not to waste your time with clerical folks. Today, most clerks have no idea how to handle any extraordinary needs as far as privacy is concerned. I always deal with top level managers whenever possible and attempt to meet them in person. And make sure you do everything according to the laws in your jurisdiction.

Grant Hall

www.PrivacyCrisis.com

Bank without a SSN for personal privacy protection?

Are you concerned about your personal privacy? Worried about  business privacy protection? How about the confidentiality of your money and investments?

Can “they” track and trace your money, personal property and business or private practice? Who has the right to your banking records, property information without your authorization to share it?

Privacy Crisis Banking provides financial privacy information and banking secrecy principles, methods, and resources for personal and business privacy protection.

Read book reviews at:

http://www.dailykos.com/story/2011/11/16/1036356/-Beat-the-bankers-at-their-own-game-with-the-Ultimate-Bank-Secrecy-Account

http://www.amazon.com/Privacy-Crisis-Banking-Resource-Identity/product-reviews/0978657330/ref=dp_top_cm_cr_acr_txt?ie=UTF8&showViewpoints=1

You may be interested in our free banking secrecy e-mail courses and other privacy courses at: http://www.privacycrisis.com/infoseries_index.html

Worried about your personal bank account or business bank account being discovered by identity thieves, a dangerous stalker, or “you know who?”

How would you like to bank secretly? Who has the right to know your financial business and where you store your cash and investments? Why is it anyone’s business what real property you own? Isn’t privacy a constitutional right?

Privacy Crisis Banking: Bank Secrecy Plan & Resource Guide to Protect Identity, Money and Property by Grant Hall is available at Barnes & Noble bookstores or online and at Amazon and other bookstores and online stores.

Available as an e-book or hardbound from Publisher, James Clark King, LLC at:

http://www.privacycrisis.com/privacy-crisis-banking.html

Perhaps you would be interested in reading personal and business privacy articles written by Grant Hall and others at:

http://www.privacycrisis.com/articles.html

Another free educational privacy resource is archived radio shows with Grant Hall as the guest of talk show hosts. We have some of these shows at our website.

Listen free of charge at:

http://www.privacycrisis.com/radio.html

Thanks.

Grant Hall, Author

James Clark King, LLC, Publisher

www.PrivacyCrisis.com

www.PrivacyCrisis.com/blog

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

American work force costing you money?

The office supply store manager looked up the printing cartridge number, headed for the isle it was on and brought it to the register. One hundred and eleven buckoos later, I was out the door. The printer had flashed a warning indicating the ink was low and I had headed out to replace it as I expected some planned printing would deplete the supply entirely. Two weeks later, I opened the sealed package and discovered the manager had sold me a drum, not the cartridge I had ordered. Mistakes are acceptable, but today, I find the level of mistakes uncommon, and I attribute these mistakes to the illiteracy problem in America, as this problem is prevalent within our work force.

A recent call to an educator friend, a career teacher with a Master of Science Degree provided facts to support my view. This man said that over fifty percent of all high school attendees do not graduate high school in the state of California. The numbers are similar in Arizona and Nevada, I believe.

A friend of ours suffers from  residual pain from a traumatic injury. While at the doctor’s office, the medical assistant asked, “Mrs. Ellenns, how would you like to pay for your co-pay today, credit or debit card?” “Currency, she replied.”  She was met with a glazed look by the thirty-something year old assistant who returned to her station and asked her coworker what currency meant.

It took five store clerks in a large department store to sell me a computer component as I insisted in buying the product with cash and not providing my ISP subscription data to them to store in their database. Privacy carries a high price in terms of time and effort and is always a bit more expensive than living as the masses. And this time, effort, and money is a great  investment based on my many years of experience.

In 1971, everyone graduated from high school. Perhaps two or three of each one hundred students in my town had to take a summer course to satisfy a Math or English requirement  to get their diploma, but they did graduate. On a rare occasion, a student was not capable of doing high school work and did not graduate. This was rare and many with below average learning ability managed to complete the “required” twelve years of formal education. It was nearly impossible to get a job or join the military without a high school diploma. GED’s were frowned upon by many and seen as a last resort to gaining the high school equivalency of a twelve year formal education. In fact, the GED was called, “high school equivalency test,” and most who thought of dropping out of high school were counseled against it by well informed, experienced, high school educators and counselors.

I don’t know about you, but the current inabilities of the work force causes me to expend extra time, effort, and money. Never before do I recall having to repeat myself so often and go through so many people just to buy and obtain ordinary day to day goods and services. Is America now a third world country due to our devalued currency and uneducated work force?

Readers may e-mail Grant Hall at contact@PrivacyCrisis.com

Thanks.

Grant Hall

www.PrivacyCrisis.com

www.PrivacyCrisis.com/blog