Adonis Diaries

Posts Tagged ‘Great Depression

How the Dollar faired since 1913?

The US national debt is shooting over 12 trillion dollars!  (This amount is equivalent of selling off all of France wealth)

The private debt by individuals and corporations is somewhere over 50 trillion dollars.

The framers of the US Constitution specified a money system of gold and silver, to be coined and regulated in value by US Congress and prohibited by the US government from issuing paper money as stated in Article 1 sections 8 and 10 of the Constitution:

“Congress shall have Power to coin money and regulate the value thereof. No State shall make any thing but gold and silver Coin a Tender in Payment of Debts.”

The economic and financial difficulties of the US have a long history of delayed decisions based on sound real wealth resolutions.

The cause of the successive financial problems began when the US allowed a foreign private financial family, the Rothschild family of England to coin and print the US currencies in 1804.

In 1811, England waged a war against the US and entered the Capital Washington in order to coerce the US Federal government into extending the Rothschild charter for another 20 years.

During the civil war in 1862, Abraham Lincoln went solo and refused the high interest loan of the Rothschild banking system (of up to 36%) , and the government printed its own money. This decision angered the British Empire, which brought back foreign interference into printing the dollar.

The Federal Reserve Act was hastily passed just before the 1913 Christmas break. This Federal Reserve Bank is privately owned, and all the tax collected from citizens are authomatically deposited in this Bank, and it collect 2 cents no matter what denomination is printed on it….

US President Woodrow Wilson signed the act into law, turning over the money system of the country to a group of private bankers and allowed them to create money by making bookkeeping entries, loan it at interest, and take title to real property as collateral.

Congressman Charles A. Lindbergh Sr. warned in 1913: “This act establishes the most gigantic trust on earth. When the President signs this act the invisible government by the money power, proven to exist by the Money Trust Investigation, will be legalized. The new law will create inflation whenever the trust wants inflation….From now on, depression will be scientifically created.”

During the Great Depression people who had gold in the banks wanted the banks to honor their contract to redeem the paper currency for gold..

The fraudulent nature of fractional reserve banking was at risk of being exposed because there was not enough gold on deposit in the banks to redeem all Federal Reserve Notes issued promising payment in gold.

US President Roosevelt declared a national emergency and closed the banking system for two days as recommended by the Board of Directors of the Federal Reserve Bank of New York.

Congress then passed the Emergency Banking Act declaring it illegal for US citizens to own gold under penalty of up to a $10,000 fine and/or up to 10 years in prison.

The people exchanged their gold and gold certificates for Federal Reserve Notes of created dollars based on debt, which stated a promise of redemption in lawful money.

From 1914 to 1963, Federal Reserve Notes never claimed to be money, nor did they claim to be dollars. A note for five dollars read: “The United States of America will pay to the bearer on demand five dollars.”

How can a promise to pay five dollars be five dollars? To the left of the President’s picture and above the bank seal, it said: “This note is legal tender for all debts public and private, and is redeemable in lawful money at the United States Treasury or at any Federal Reserve Bank.”

In 1963, the Federal Reserve began to issue its first series of notes without the promise, while taking notes with the promise out of circulation. How can paper become what it promises by removing the promise?

To the left of the President’s picture and above the bank seal, it now read: “This note is legal tender for all debts public and private.”

Gold was now removed from the system leaving silver dollars as the only lawful money available.

The US Congress initially defined a lawful money “dollar” as being and consisting of (at least) 371.25 grains of pure silver.  Before 1965, anyone could exchange one paper dollar for one real silver dollar.

In 1965, the US’ mint stopped minting silver dollars.  

As even Silver was eliminated from the money system, the public was left with a totally scam money system of irredeemable paper currency and copper-nickel clad tokens that represent a debt owed to the owners of the Federal Reserve Banking System, the payment of which is guaranteed by the collateral of all property and income of all US citizens.

Late President Nixon did away with the gold standard in 1972 and only the US military superiority guaranteed that the dollar be the only currency for oil import and export transactions around the world…

This started the story of the PetroDollar and the long string of calamities and preemtive wars that the US waged in order to maintain its dictate…and not ending with Iraq invasion

America’s economic problems started with issuing fraudulent receipts for gold that does not exist. This became standard procedure for the banking business.

The recent equivalent to the goldsmith’s receipt for gold is the Federal Reserve Note. The word “Note” implies a contract, because legally a note must state who is paying, what is being paid, to whom and when.

The new inflation spiral began to skyrocket.  Now it takes a whole fist full of paper dollars (i.e., “Federal Reserve Notes”) to buy one real silver dollar.  It now takes two working parents to support a family and

A note is a proof of debt. It is not possible to pay off a debt with a debt. No debt can be paid in full unless paid in gold or silver, coined and regulated in value by Congress. The name “Federal Reserve Note” is a fraudulent label since each word claims to be something that in reality it is not.

By removing the promise to redeem the note in lawful money, the Federal Government in cooperation with the Federal Reserve, eliminated the monetary system of the United States as established by the Constitution and replaced it with something totally different.

Federal Reserve Notes are only accepted because people believe they have value.

When half of the receipts circulating as a money substitute are redeemable in gold, the other half of the receipts are both credit and inflation.

When none of the receipts are redeemable, all of it is credit and inflation. Credit is inflation, therefore, the only cure for inflation is real, honest money.

A dollar is supposed to be a unit of measurement for gold and silver coin to insure uniform weight, purity, and value.

A dollar unit of paper money that is not redeemable in gold or silver coin is a dollar unit of inflation, which is a dollar unit of credit, which is a dollar unit of nothing.

The purpose of paper money that is not redeemable for gold or silver coin is to get things without paying for them. Those who issue and control paper money as credit get everything for nothing.

Paper money as credit is used to take wealth using numbers, where numbers of nothing are exchanged for things of substance and value.

This grand theft occurs in full view unnoticed because the public has been made an accessory to the crime by accepting pieces of paper with numbers on them in place of lawful money, not knowing the difference between worthless “notes” and lawful money.

Oliver Ellsworth, the third Chief Justice of the US Supreme Court said of paper money:

This is a favorable moment to shut and bar the door against paper money. The mischief of the various experiments which have been made are now fresh in the public mind and have excited the disgust of the respectable parts of America.”

Roger Sherman, a delegate from Connecticut and author of the gold and silver coin provision of the US constitution, wrote a condemnation of paper money entitled A caveat Against Injustice in which he said…

If what is used as a Medium of Exchange is fluctuating in its value it is no better than unjust weights and measures, both which are condemned by the laws of God and Man, and therefore the longest and most universal Custom could never make the Use of such a Medium either lawful or reasonable.”

Federal Reserve Notes are evidence of debt the U.S. Government owes to the owners of the Federal Reserve the payment of which is guaranteed by the collateral of all property and income of all US citizens.

When the US Government needs to borrow money, the Treasury creates a bond, and promises to pay a specified amount of money at a specified interest on a specified date. This bond is evidence of debt.

This interest-bearing debt is the foundation for America’s money supply and its payment is guaranteed by the collateral of all property and income of all US citizens.

The Federal Reserve “buys” this debt simply by making a bookkeeping entry for the amount and writing a check against no funds, and then converts it into paper currency and checkbook money.

In effect the Federal Reserve lends the US Government its own credit, and then charges interest on it.

If the public does this, it is called kiting, which according to Webster’s dictionary is defined as, “to use (a bad check) to get credit or money”.

If a citizen does what the Federal Reserve is doing he will bejailed or fined for it.

Every dollar created by the Federal Reserve System is debt for the citizens of the United States, which the central bank collects interest on, in addition to the interest from the bond created by the Treasury that put this magic money making machine in motion.

For example, when the reserve ratio is ten to one, a bank can create and loan ten dollars for each dollar held in reserve and charge interest on it.

While the reserves of the goldsmith were gold, the reserves of the Federal Reserve is paper, nothing more than bookkeeping entries that are a record of debt.

The absurdity of the situation is that if there were no debts, there would be no money, since every dollar of paper currency and checkbook money is loaned into circulation.

And, in order to pay the interest, there has to be another loan because the banking system only creates the principal and not the interest.

In fact, the interest can never be paid because it is not possible to return to the bank more dollars than were created, making it inevitable that the Federal Reserve Banking System acquire title to all wealth in the nation.

Increasing the amount of currency and checkbook money increases inflation.

Creating new dollars reduces the value of all dollars, resulting in higher prices.

By manipulating the quantity of created dollars, the purchasing power of every dollar is altered.

Depressions are the result of private bankers reducing the money supply by tightening credit and withdrawing currency, causing a drop in prices, unemployment and foreclosure of property. This is premeditated theft.

If the American people ever allow private banks to control the issue of their currency, first by inflation and then by deflation, the banks and corporation that will grow up around them will deprive the people of all property until their children wake up homeless on the continent their fathers conquered.

A promise to pay money substituted for lawful money until the promise was removed.

Exchanging paper currency is not a complete transaction until payment is made in gold or silver coin. Until then, it is both credit and debt a record of a specific amount of money to be paid or received.

Credit, a deferred payment and debt, a sum of money due, are the same thing. It is hidden by deceptive double-entry bookkeeping where a debt becomes an asset by calling it a credit. Paper money that redeems nothing only appears to have value because it can be exchanged for things of value.

When a piece of paper representing debt is exchanged for wealth, someone has been robbed. Paper money transfers wealth from one person, then from another, then from another, and on and on until the last person will be stuck with it.

When banks cannot honor their contract to redeem their notes for gold or silver coins, they are bankrupt. The contract between the people and the Federal Reserve printed on each bank-note promising to pay in lawful money was invalidated because the system went bankrupt and because the amended version of the “Trading with the Enemy Act of 1917” placed all US citizens in the category of enemy, and no contract is considered valid between enemies.

American citizens were declared to be the enemy by their own government, for indeed they would be if the people ever discovered what had happened to their money.

Being unable to trade in wealth such as gold and silver coin enslaves the people to those who create and control what is being called money.

All it took to rob the public was to convince the people that paper and credit are money. The Federal Government and the Federal Reserve have the power to create unlimited amounts of credit because credit does not exist. It is not a tangible substance, but an idea represented by bookkeeping entries and computer symbols.

To pay means to deliver a tangible substance as money like gold and silver coin. Where there is no substance, there is no payment. There is only pretend payment. Banks do not really lend money, they only pretend to lend money. They put no money in a borrower’s account. They only make bookkeeping entries that are reduced as the borrower writes checks against imagined deposits.

When the banks charge interest on a loan they do not make, banks impart psychological value to numbers of nothing. Charging interest sustains the illusion that banks loan something of value, when all they do is rent the appearance of money.

Three years after signing the Federal Reserve Act into law, US President Woodrow Wilson made the following statement:

Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated governments in the civilized world–no longer a government by free opinion, no longer a government by conviction and the vote of the majority, but a government by the opinion and duress of small groups of dominant men.”

The Secretary of the Treasury is not the US Secretary of the Treasury because the US Treasury was bankrupted in 1933.

The Secretary of the Treasury is not paid by the United States Government. The Secretary serves as US Governor of the International Monetary Fund as receiver of the bankrupt United States, collecting the debt from US citizens.

The value of the US$ in 1940 was worth 17 times more than the value of the US$ now as a result of the Federal Reserve’s long-term monetary policy, which has quietly cooperated with the federal government to finance government deficits with Federal Reserve credit.

Thomas Jefferson said:
“If the America people ever allow private banks to control the issuance of their currencies, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of all their prosperity until their children will wake up homeless on the continent their fathers conquered.

Most people assume that the Federal Reserve Bank is Federal that is, part of the United States’ government.  However, the Ninth Circuit Court put that issue to rest in 1982 when they adjudicated:

“Examining the organization and function of the Federal Reserve Banks, and applying the relevant factors, we conclude that the Reserve Banks are not federal instrumentalities for purposes of the FTCA, but are independent, privately-owned and locally controlled corporations.”
– Lewis vs. U.S., 680 F. 2d 1239, 1241]

“We have in this country one of the most corrupt institutions the world has ever known.  I refer to the Federal Reserve Board and the Federal Reserve Banks.  Some people think the Federal Reserve Banks are U.S. government institutions.  They are not government institutions.  They are private credit monopolies; domestic swindlers, rich and predatory money lenders which prey upon the people of the united States for the benefit of themselves and their foreign customers.  The Federal Reserve Banks are the agents of the foreign central banks.  

The truth is the Federal Reserve Board has usurped the Government of the United States by the arrogant credit monopoly which operates the Federal Reserve Board.”
– Congressman Louis T. McFadden, Chairman of the House Banking & Currency Committee, speech on the floor of the House of Representatives, June 10, 1932

“In the united States we have, in effect, two governments….We have the duly constituted Government….Then we have an independent, uncontrolled and uncoordinated government in the Federal Reserve System, operating the money powers which are reserved to Congress by the Constitution.”
– Congressman Wright Patman, Chairman of the House Banking & Currency Committee, speech on the House floor, 1967

“Most Americans have no real understanding of the operation of the international money lenders….The accounts of the Federal Reserve System have never been audited.  It operates outside the control of Congress and….manipulates the credit of the united States.”
Senator Barry Goldwater

“These international bankers and Rockefeller-Standard Oil interests control the majority of newspapers and the columns of these papers to club into submission or drive out of public office officials who refuse to do the bidding of the powerful corrupt cliques which compose the invisible government.”
– Teddy Roosevelt

The paper and digital currency that bankers create out of thin air is backed by nothing. The more paper “dollars” they roll off the printing presses or digital “dollars” created by computers, the less each one is worth.  Therefore, it takes more of ’em to buy the things people need, so the price of everything has to go up and up and up in endless inflation.

Wages for most people will not increase fast enough to stay ahead of the game.  But not to worry, the international bankers have created plastic credit cards – VISA, MasterCard, American Express etc., to help the people out.

The Federal Reserve is also a monopoly, in a country where monopolies are supposed to be illegal.  

The US income tax department – Internal Revenue Service (IRS) – deposits people’s income tax payments directly in the Federal Reserve Bank- not in the United States Treasury.  

Therefore, the Internal Revenue Service (IRS), an unconstitutional entity, is merely the collection agency for the international bankers.  Over the years the IRS has become a tool of the elite banking families to financially attack and/or imprison people who expose the Federal Reserve.

If you take out a paper dollar and look at it, you will notice that it states at the top of the “bill”:  “FEDERAL RESERVE NOTE”.

A “note” is, by definition, an “instrument of debt” and “evidence of debt”.  According to BLACK’S LAW DICTIONARY (Sixth Ed.) “MONEY” is defined:  “In usual and ordinary acceptation it means coins and paper currency used as circulating medium of exchange, and does not embrace notes, bonds, evidences of debt, or other personal or real estate.”

Banks can create this phony “currency” out of thin air.  Banks can loan out “currency” that they don’t even have.

When you apply for a loan from a bank, the bank does not have anything to back up that loan because they are allowed to loan out about 7 to 10 times more “currency” than they have on deposit.  This is not mere speculation; this is a matter of court record, testimony under Oath, by a former lawyer for the Federal Reserve.  In other words bankers create “currency” with just the stroke of a pen or the keystroke of a computer.

These bankers then charge you “interest” to borrow this “currency”, which is nothing more than some numbers typed on a piece of paper!  If American People ever did this they would be spending many years in an US federal prison.  Unfortunately, they do not print enough currency to pay the interest so more pseudo-dollars must be borrowed to pay off the interest, resulting in a unpayable, ever-increasing debt.

Note 1: US President John F. Kennedy planned to terminate the privately owned Federal Reserve System. In 1963, he signed Executive Orders EO-11 and EO-110, returning to the government the responsibility to print money, taking that privilege away from the Rothschild. Shortly thereafter, President John F. Kennedy was assassinated.

Note 2: The article was from Nalliah Thayabharan in response to my post:

Note 3:

“The tears of dad” by late John Updike

I am reading the French translation of “The tears of dad” by late John Updike. The title is one of 18 novellas, a compendium of reminiscences of an 80-year old writer, of younger periods during Junior and High school friendships in the city of Alton (Pennsylvania) and how life unfolds through various characters and alternative courses.

Most of the stories have common denominators:

First, they start during the Great Depression in the 20’s and 30’s where families could not afford to have but one child.  The child grew up among four pillars of grandfather, grandmother, father, and mother.  This unique child was the progeny of all of these people and they cared for the child as the most precious possession.

Second, many families of well-to-do ended up broke but behaving as if they were better off than the neighbors.

Third, teachers are described as constantly worried and not able to feeling happy or spreading happiness in the family. (Even now, teachers are the lowest paid salaried working people, regardless of their dedication and continuing education process…)

Four, religious differentiation among the Christian sects of Unitarian, Presbyterian, Episcopal, Methodist…are clarified through the living cases of marriage behaviors.  For example, the girl friend is visiting the family of her prospective husband and mixes her underwear with her boyfriend in the suitcase, which drives the mother of the boy from Pennsylvania  into a silent rage that lasted for many years.

Fifth, the stories end up in describing the feeling and changes in old ages.  You are left with sad questions, sorting out where your life have gone wrong and what alternatives might have made a difference.

The story of “Elizanne or the forgotten stroll” struck a chord in me and I wrote about it in a previous post. A side story in “Elizanne” recounts a visit to the hospital to Mamie Kauffman, a classmate terminally ill of bone cancer.  The author is in Alton for the 50th reunion of the class of 1950.  He was 17 of age then, and it was impossible for these kids to figure out how the year 2000 might turn out, loaded with doomsdays predictions. Mamie was a round-faced passionate and dedicated student; she was the spokeswoman of the class and a natural gentle leader.

Mamie had three grown-up children; her husband left the house 40 years ago and she had to raise a family on her meager salary of teacher of primary classes. Mamie said: “I was inundated with demonstrations of love after my invalid state.  The night my hip let loose, the male nurse in emergency turned out to be one of my students. Occasionally, I am impatient with the Lord, and later I feel ashamed: The Lord gives us enough strength to just endure”

In big cities, you witness many atheists who prefer to die in silence, like animals hiding to die stoically.

Mamie resumed: “Shirley Mac Laine said that life is a book: All we have to do is to guessing which chapter we are reading. I know that I am reading the last chapter of my life, and all I should be doing is reflecting and…but I don’t believe.  I am not scared of death.  Deep in me, I know everything will go fine…When I die, I’ll still be here.  It is the trip that means nothing to me.  The funniest part in my life is that soon I will be transfered to the rehabilitation center, where my 90-year old mother is confined. Mother was a heavy smoker and never missed or refused a drink.

In the story “Free”, you have married Henry having extramarital affairs with married Leila.  Henry’s mother, not suspecting an affair, said: “She has such beautiful eyes!”  Henry decided to stick with his lawyer of a wife Irene.  Irene is dying of cancer and Henry never left her bedside for the duration of the illness.  Irene said: “I knew that you found me boring, but I didn’t know how to be otherwise.  I guess that we failed to buy tickets for paradise”.  Henry decides to pay a visit to Leila in Florida, after 40 years of separation.  Leila had married several times and is older than he knew her.  Henry spent the afternoon with Leila chatting and then Henry said: “I have to return”.  “return to where?” said Leila.  “To the same hotel in Florida that Irene and I used to spend our vacations” replied Henry. “You always returned to her.  But today you are free” said Leila.  “What is to being free?” retorted Henry, “a state of mind.  Our story was as free as it could have been”

In the story of “Fragile wives” married Les Merrill is also having extramarital affairs with the energetic, lively, and beautiful married Veronica Horst.  Les sticks with his wife because he has to care for his two kids.  Veronica is stung by a bee at age 28 and almost dies of anaphylactic chock, and saved by her short and darker skinned husband.  Les is jealous:  He had wanted to be the one to have saved Veronica, but he knew that he would have been helpless in this case.  Veronica turned out to be fragile of health and suffered from many physical illnesses.  Les is about to divorce his wife Lisa as he learned that Veronica is divorcing.  Lisa discovers that she has a breast cancer; the legitimate bee sting counterpart.  Les felt soiled by these body things, and was sure that it was impossible, he had this urge of running away.

And many more stories to read before you reach 80.




June 2023

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