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"If people only understood the rank injustice of the money and banking system, there would be a revolution by morning." -Andrew Jackson
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Money does not "grow on trees," it is created by simply typing it into a computer.
As messed up as that sounds, listen to this - the power to make money has been passed from the U.S. Treasury to the Federal Reserve, a private company that is no more "federal" than Federal Express!
Money making facts...
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The Federal Reserve pays off it's debt, or bonds, by creating telectronic checks, which is money not taken out of any bank account or reserve, but rather is money created out of nothing!
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Local banks counterfeit money through a process known as fractional reserve banking meaning if everyone withdrew their money at once, only 10% of the depositors would get their money back. This system of counterfeiting drastically increases the money supply at a faster pace than that of GDP, resulting in increased prices on all goods and services, a decrease in the value (purchasing power) of the dollar, and very low unemployment.
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A "credit crunch" is the deliberate contraction of credit issued by banks for the main purpose of collecting their depositors collateral,
at the same time increasing the value of the dollar, with the end result being very high unemployment, recessions, and depressions.
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Fractional reserve banking, not fiat currency, is the cause of the worlds suffering.
Fractional reserve banking, combined with interest rates, combined with the fact that 95% of our money supply is debt money,
combined with the fact that banks only create the principal on their loans and not the interest
results in the need for an ever increasing supply of credit.
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Making other countries sell their oil in dollars (petrodollars) versus their own currency allows privately owned banks to expand their inflation tax to other countries.
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Central banks illegally flood the market with gold to manipulate the perceived value of the world international currency - the dollar - which in turn preserves dollar hegemony at the expense of owners of gold and those in the gold industry.
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Our current money system is a suicide money system because of something called the "exponential factor."
An exponential increase in GDP results in a need for an exponential increase in the money supply which results
in a need for an exponential increase in the finite resources being taken from the earth resulting in an unsustainable monetary system.
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The solution to fixing our monetary system is so simple that once you understand it, you will realize what is wrong with the world and what exactly has to be done to fix it.
Become part of something bigger than yourself. Join the revolution and help stop the insanity!
Could you believe that once upon a time in America, there was not one unemployed, not one homeless person, not one welfare program, and not one cent to be paid in income tax?
Colonial Scrip was the money that set America free. It was a fiat based non-fractional reserve money system, meaning there was
no gold or silver backing it up, and counterfeiting through fractional reserve banking was not allowed. This allowed the 13 colonies to control the purchasing power of the debt-free money. This system worked for over 50 years with little or no inflation, and was so
successful that the British bankers moved in to kill it. Before the start of the revolution America was free from the tyrannical grip of
England's monstrous bankers.
Americas revolution was instigated in 1764 as a result of England's bankers bribing our government to tax the colonies with gold being required as payment, thereby
converting our working debt-free paper fiat money system into a gold-backed money system. Since America owned no gold, the 13 colonies went into an eleven year depression, and in 1775, the revolution finally started.
In 1777, the very first year after America "gained independence," a central bank was created in America owned and controlled
by the bankers of England. America was again sold to England's bankers through the creation of Americas first central bank. To this day the fire burns a little brighter every day.
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"I fear that foreign bankers with their craftiness and tortuous tricks will entirely control the exuberant riches of America, and use it systematically to corrupt modern civilization." -Otto von Bismarck
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Discover right now - in less than 5 minutes - the truth about how it is
mathematically impossible for everyone in our society to have money!
Read the condensed 5 minute version of this website below, then click on the related links below for complete details.
Alright, here it goes, 300 years of monetary history condensed into a few paragraphs...
For this example there are 1,000 people in our community, with one bank, and 1,000,000 gold coins in the bank, each coin being backed by one dollar, thus the money supply is at $1 million.
Let's say a depositor gives the bank 10 gold coins. He receives 10 gold I.O.U. receipts in the form of paper. Since these paper notes are backed by gold, they are as good as gold, and are accepted as money in the marketplace.
Within the next year, the banker unethically counterfeits $1 million paper dollars and loans them into circulation at interest.
As a result of the manual doubling of the money supply there is now a surplus of money in the market, and as a result the market responds by raising the prices on everything!
There are now $2 million paper dollars in circulation, but the gold reserves stayed the same, they are still at 1 million gold coins. There is now only half an ounce of gold backing each paper dollar, but the banker cannot let you know that, or he will be exposing his counterfeit scam. Each paper dollar has now devalued by 50%!
Inflation in the price of goods and services is the result of devaluation in the value of currency. It is caused by the deliberate counterfeiting of the money supply. This is known as usury, or stealing.
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"I couldn't agree with you more that inflation is a tax and that inflation currently is too high." -Ben Bernanke
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Once the 1,000 people in the community realize the scam, they simultaneously go to the bank to redeem their paper dollars for their gold. Since the banker secretly increased the money supply through his counterfeiting, he cannot give back the true
equivalent of gold of 1/2 an ounce for each dollar being redeemed, or he will be exposing his scam.
What the banker does is this - he issues back one ounce of gold for each dollar being redeemed, in hope that no panic will arise. If the first few depositors receive one ounce of gold back for every dollar redeemed, they will not express any worry to their friends or family. However, in this example, it does not work.
Everyone in the community demands their gold in redemption for their paper dollar notes, resulting in something called a "run on the bank." The first 1 million dollars to be redeemed are all redeemed with one ounce of gold. The other 1 million receipts in the marketplace become worthless, and those who own these
receipts lose everything.
Now let's say that before the run on the bank, a gold miner goes to the banker and says, "I need some paper cash, but I have no gold for you this month. All my gold mine workers are sick or on vacation. Can you please loan me some paper cash anyways, and I will pay you your gold next month?" The banker says in response, "Sure, but keep in mind that these paper dollars I am giving you are not backed by gold, but rather the 'full faith and confidence' that you will pay back your debts with gold."
This is an over simplistic analogy showing how it works today, only the monetary rules of today state that you do not have to pay back your debts with gold, but rather productivity. Why pay back your debts by having to work in the gold industry when you can pay back your debts with productivity in another sector of the economy? However, a productivity backed currency can still turn into a fractional reserve currency if unethical people take over the system...
Fast forward to today. This is an example of how the money making process works today.
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Bonds are paid off using telectronic checks, or money that is created by the Fed typing the amount into a computer.
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Let's say that you, the business world, foreigners, and the biggest contributors, the banks, want to loan money to the government in return for interest. This is how it works...
People do not just loan money to the government. Instead, the government sells I.O.U.'s, or bonds, with a fixed rate of interest.
When the Fed wants to increase the money supply at a high rate of speed it will inject a credit infusion into the economy by doing the following.
If $400 billion is needed in the economy the Fed will first purchase $40 billion in bonds.
The Fed purchases this $40 billion with a telectronic check, meaning the check is drawn on itself. The $40 billion is not withdrawn from any reserves, but is rather typed into a computer and the credit is created out of nothing.
The bond holders are paid by the Fed and the $40 billion in checks make their way to the bond holders bank accounts.
Because of fractional reserve banking, the banks hold onto 10%, or $4 billion, of these deposits and then loan out the other 90%, or $36 billion at interest.
That $36 billion in new loans is then spent into the economy and then deposited into the banking system where it is split again: 10% goes into the banks reserves, the other 90% is loaned out at interest. This process will repeat itself until the banks have created nine times the original $40 billion deposit, or $360 billion
in new debt money. There is now $400 billion in new money in the money system. The Fed creates 10% of our money, and the local banks as a whole create 90%.
Unfortunately, there is a very serious problem with this system. The banks only create the principal of all these loans, but not the interest. There was $400 billion in new money created, but with a 5% interest rate, where does the $20 billion in interest come from?
The answer - a new loan!
You see, 95% of all the money in our money supply is debt money.
Because of this fact, as well as the fact that banks only create the principal on new loans, there is always going to be debt, and there is always going to be a need for new loans (debt money) to pay off the existing loans.
How stupid is that? Even if the governmental debt sector of the economy gets paid off, there is still debt in the private sector. Put simply, it is
mathematically impossible for everyone to have enough money to pay off their debt which results in
catastrophic consequences to society. Unfortunately, most of the world uses this banking system.
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"If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks...will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered." -President, Thomas Jefferson
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Our money system is a suicide money system thanks to its exponential factor.
This is the extremely important part that you need to understand, so listen up. Money has to be continuously pumped into the system to avoid a monetary collapse, therefore overall growth of the economy, or GDP, has to continuously rise. In order for GDP to continuously rise, resources from the earth need to continuously be extracted at an increased rate to fuel GDP. However, GDP, even at a fixed percent, does not raise steadily every year. Instead, it raises exponentially every year. This is extremely important to understand.
Lets say for example GDP for this year is $3 trillion, and it stays at a rate of 3% growth for the next 10 years.
The second year GDP is now $3,090 billion ($3 trillion times 3% equals $90 billion in growth).
The third year it is now at $3,182.7 billion ($3,090 billion times 3% equals $92.7 in growth).
The fourth year it is now at $3,278.181 billion ($3,182.7 billion times 3% equals $95.481 billion in growth.
Notice that the 3% in growth does not stay constant every year. Growth can be pictured as not a straight line, but rather an ever increasing line.
As you can see growth is rising greater and greater every year. This means that more and more resources have to be extracted from the earth just to keep up with GDP and the money supply. Because of the destructive nature of this system more and more carbon, mercury, and pollution is being released into the atmosphere which has proven to cause disease, birth defects, and cancer. As GDP exponentially grows, so does the amount of fuel we burn, as well as the amount of forests we cut down. No forests means to way for the trees to clean our polluted air. Over half of our forests have been depleted, thanks mainly to this ever increasing demand for earths resources.
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"History records that the money changers have used every form of abuse, intrigue, deceit, and violent means possible to maintain their control over governments by controlling money and its issuance."
-James Madison
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How oil denominated sales are intertwined with the money system.
An intelligent person now has to ask him or herself, how does the U.S. banking system force it's currency on to other banking systems? The answer is dollar-denominated oil sales. For example, when China wants to buy oil from OPEC they have to use dollars. And how does China get these dollars? By opening up their markets and allowing America to make money through counterfeit and using it to purchase Chinese goods and services. Now that China has dollars, they can give them to OPEC for oil.
Next OPEC takes those dollars, deposits them into U.S. banks, and thanks to the fractional reserve banking system the
original deposit eventually results in the overall creation of nine times more debt money, as stated in the example above. A certain percentage of these recycled petrodollars make their way to third world countries in the form of loans so that the third world countries can use the dollars to purchase oil through OPEC. This third world debt forces these nations to open their doors for the corporatocracy to come in and exploit their resources in order for the country to make money so it can pay the interest on it's loans. These loans to third world countries come with conditions such as requiring tariffs to be lifted, as well as using the
country's natural resources as collateral.
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Business cycles, bank runs, fractional reserve banking, the credit crunch, the inflation tax, petrodollars, the gold standard, fiat currency, debt based currency, gold market manipulation, the exponential factor, dollar diplomacy, dollar hegemony, monetary reform - learn all about it for free with DeathToCounterfeit.com!
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