the bankers and our balls

here is my dad's response to the article, debtor nation (harvard magazine, july 2007), which discusses the future of the united states' economy in terms of its increasingly overwhelming trade deficit and global markets:

This is a very complicated issue, depending on how people view it. But one thing is sure: the quality of life in US is decreasing. Almost everything is more expensive than 10 years ago, such as house, food, gas, milk, etc, but the salary stays the same. When Mom and I started working in 1993, we can afford to buy our current house. Look what people who just entered workforce can buy now? Even a small townhouse is beyond their reach. So many people wonder, US may reach the peak. (but people said that in 1990 too).

And how currency works is even much more complicated. You many not know, but the Federal Reserve is a private company. US dollars are not issued by US government, but issued by a private bank. US government has to borrow the money from them and pay them interest. You may go find out more info on this.

-Dad

as much as i want to explore debtor nation and discuss several possibilities and implications of said article, the necessity to understand america's own economy is more important. the direction of america's economy in the global financial markets will be addressed in a later entry.

before i write anything remotely meaningful or significant, let me remind you that the united states is a corporation (also controlled by corporations), banks are run by heartless money chasers (they will lend money, but only if it serves their own best interests in the end, aka house or car as collateral, interest rates, etc), and money is the blood of civilized society (it is the means of all commercial trade and the measure and the instrument by which one product or service is sold and or purchased; the removal of all money or even a low supply of money can prove catastrophic, i.e. the great depression of the 1930's).

have you ever asked yourself how people can exchange green pieces of 'paper' for food and services? or that the number printed on these green things seem to be worth much more than the green things themselves?

the fact of the matter is that the federal reserve is a private corporation (i know, the 'federal' in the name really throws you off). before 1913, when the federal reserve act was passed, the money supply in the united states was controlled by congress. however, the federal reserve act removed the right from congress to 'create' money and gave it to the private corporation that we know and love as the federal reserve.

the federal reserve makes money. literally. they spend about 2-7 cents per bill to print numbers onto a green sheet of 'paper' that passes through so many hands everyday. making something and selling it at 5% premium is considered good business. imagine spending as little as a few cents to print yourself a one hundred dollar bill. that is around a 2000% mark up. sick. and if that isn't sick enough, realize that the federal reserve has its dirty hands in all of our pockets in the form of interest payments.

in order to understand that the federal reserve will ultimately gain all the wealth in the nation through interest payments, imagine playing a large game of poker with millions of other individuals. everyone buys a set number of chips from the house, who risks none in the game. every round, the house will take 2% from the pot. during the game, some people will gain chips, others will lose chips, but the total number slowly decreases. the game continues, and some will run out of chips completely. those who are out can borrow more chips from the house, but only if they sign a 'mortgage' to pay the house back with interest and offer some sort of property as collateral. if the player defaults, then the house will acquire the player's property. no matter who wins or loses the poker game, the house wins. replace 'house' with 'the federal reserve' and you can see how eventually, through interest payments, the federal reserve will get all of its created money back. the bankers risk nothing in this game, they just collect their interest and fees.

the only difference is that the 'poker game' in real life is much more serious. people cannot quit the game except by death. the money people earn will always go back to the government in taxes and interest. in fact, the bankers made it even easier for consumers to borrow and spend money: the credit card. the federal reserve has every us citizen's ball sack in a thorny vice grip. deliciously painful.

and what was the reason for passing the federal reserve act? remember that corporate america and its republic is owned and financed by international bankers. these greedy and heartless financiers decided to privatize the federal reserve. in doing so, they orchestrated one of the greatest money making scams in the history of the world--an entire nation cloaked under propaganda ('helping to pay for america's debt is patriotic') was duped into throwing its hard earned cash at the bankers who created the system. these foreign investors and bankers found a way to get their hands in the wallets of american citizens. however, another unfortunate reason is that the united states needed money to pay for war, namely world war II.

of course, privatizing the federal reserve served as a way to back big banks in the early 1900s, which is reasonable because during those times the american economy bounced around bank panics. my only grievance is that this economy, based on borrowing and spending, is only in favor of the lenders, i.e. the big banks.

and i'm jealous that i'm a broke-ass college student.

but way back in the 18th century when the founding fathers were laying out plans for our country today, thomas jefferson said:

if the american people ever allow private banks to control the issue of their money, first by inflation then by deflation, the banks and corporations that will grow up around them (around the banks), will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered.

was jefferson psychic? jefferson wanted congress to control the money; that money will be the servant, instead of the master, of humanity.

now the rich will continue to become richer and the poor will continue to become poorer. its sad that so many of our own citizens are sent overseas to fight for the preservation of ideals they believed to be true. why can't we at least send the illegal immigrants? i'm sure they have some decent experience with weapons. it also frustrates me that the american government--founded on democracy, liberty, and all those good values that we are taught in school--is one of the most hypocritical deceptive institutions created. they say it is for the people, but is it really for the people when they are hiding the truth, telling two-faced lies, and basically robbing it's people? for brainwashing the public to acquire personal gains?

john f kennedy once warned:

the great enemy of the Truth is very often not the lie--deliberate, contrived, and dishonest--but the myth--persistent, persuasive, and realistic.

the government won't directly lie to the public (ok, i take that back; george bush's weapons of mass destruction, anyone?) but will give a plausible reason to hide the real truth. take kennedy's advice: challenge everything.

-andy