Hello my bubbly readers…It has been quite some time since I have picked up a hookah hoe and blew till the coal lite up. I am trying to recover from this addiction (which my father says its a conspiracy) that makes me want to inject flavor in my dull life. So I fell through my s.t.e.p program and fell back to the addiction. But I could not have a better time to smoke up as I was watching The Daily Show w/ John Stewart. But before I begin, I want you to be aware of my disclosure. I can’t write for shit and I have a lot of grammer mistakes and spelling errors. So bad that Google Chrome gave up on me and said, “you are a lost cause”. So I begin……
I am very knowledgeable on the Banking industry and the best part is that I don’t even need drugs to recall it…It runs through my veins…So I am very well in click on how everything works and functions in the U.S and some parts of the world. So when I saw Johnny here do a segment on this…I felt the public should be educated on what “us” bankers are told or educated that ”mainstreet” people like you think you take for granted…(I hope this post doesn’t take away from my chances of becoming a C.E.O of any major bank). So before I start on the background details..lets start with the obvious…
As how Johnny shows a couple of news clips from bloomburg’s ”discovery” (its garbage..they knew about it) that during the Troubled Assest Relief Program or how an 9th grader would say when to use the bathroom, T.A.R.P, we all assumed & told that the banks were getting some $700 Billion to help us beat out the weather. But the reserve actually loaned out $7.7 Trillion. As how Johnny puts it, thats more than half of our G.D.P/ and Federal Budget not including this bailout.
So how did the Federal Reserve do it? They created money out of thin air and loaned it at far below market price. You still ask how they did it? Well basically it is a chain of command…
The Federal Reserve controls the U.S Mint (which prints the money) and then the banks and government borrow from the Federal Reseve. I am sure your scratching your head and wondering… “Hold Up”…how? Isn’t the Federal reserve part of the government? No my pasty druggy reader…Its not…
The Federal Reserve is considered the U.S central bank. The U.S Central bank is NOT government property (even though they do have a .GOV domain) but a bank like any other bank with shareholders of the larger banks and Industry leaders. They basically loan out the money to other banks at low interest rates to keep them a float and also money to our government. But there is more to this which I will talk later about when I am high again…on huqa…
So here is where the constitution comes into play… Currently under the Federal Reserve , they control the U.S Mint whereas according to Article 1, Section 8, it clearly states that the U.S treasury (a government property) is suppose to be controlling the money. When it is clearly not..If you look at your dollar bill, it will say “Federal Reserve Note”. Because the reserve loans out to the government at interest and the country is debt to the reserve. By that said, it gives the Reserve to control the bills. I took the time to google this image below of a comparison. The top bill is the current bill (before it got the make-over in the 2000′s) and the Bill below it is the original bill that John F. Kennedy (last president to stand up) brought back before the Federal Reserve came into the picture….On June 4th 1963, Kennedy signed Excutive order 111140 that empowered the U.S Treasury to create and control/print the money (How it says in the constitution). His plan would have worked…however 6 months later he was assassinated and Lyndon Johnsonn threw out his order..and since then no other president has tried to challenge it then…So anyways…here is the other bill you see.
$1.00
The bills were kept at value as well. You will see that the bills were tied to value device such as Gold and Silver whereas now it says “This Note is a legal tender of all debts public and private” so really in economics it carries no value that allows the feds to pump as many as they want into circulation and controlling inflation and deflation (As warned by our founding fathers…read below)…I am sure you heard stories from your parents and elders along with news reports say that $50 was a big deal back during there time whereas $50 buys you a decent sweater now. Which is very much true. This is what comes down to the readers who are econ majors…if you feel like explaining to the readers how that system works..please do comment 
So back to the Federal Reserve..your can stare at your dollar another time as you attempt to figure out its real value and utilization…to snort coke…
The Federal Reserve goes on to consolidate bigger banks to make it stronger. You want to guess the members of the bank? Maybe you should phone up the director of, “To Big to Fail”, and they might have the “memo” #conspiracy
Anyways, The Federal Reserve, whether its the U.S or the European guys all over BBC, basically control the banks (shareholder held of private corporations and banks) and influence government decisions. Maybe now it is clicking to you why everyone was flipping beans and middle fingers at the treasury when Henry Paulson took control. Because of his ties due to his very successful career at Goldman Sachs, upon becoming becoming head of the Treasury, (as said by theorist) he brought over a great deal of Goldman employees. The people who were aware of this started complaining that Goldman now to has control of the Treasury.
If you look at the history of the other U.S Presidents and our founding fathers. They were against creating a “central bank” for the United States. Thomas Jefferson once said during the Continental Congress meeting
“To Preserve our Independence we must not let our rulers load us with perpetual. We must make our choice of Economy and limity or perfusion of solitude. I Place economy among the 1st of most important republican virtues and Public debt is the greatest of the dangers to be feared it is incumbent to every generation to pay its own debts as it goes”
- Thomas Jefferson
After facing harsh criticism from Alexander Hamilton (Americans 1st Secretary of Treasury). Jefferson responded:
“If the American people ever allow private banks to ever control the issue with their money 1st by inflation and then by deflation. The banks and corporations that will grow up around it will deprive the people of their property until there children will wake up homeless on the continent there very fathers conquered”
Because the idea did not fly then. In a second attempt, the U.S Central Bank was created in 1816. The U.S. government would own 20% of the shares of the bank. Of course, the Federal share was paid by the Treasury up front. Then, through the magic of fractional reserve lending, it was transformed into loans to private investors who then bought the remaining 80% of the shares. Just as before, the primary stock holders remained a secret, but it is known that the largest block of shares, about 1/3rd of the total, were sold to foreigners.
Well After 12 years, the American People had enough of the banks and brought in Andrew Jackson who vowed to destroy it as a priority. How gangster is that?
“Gentlemen! I too have been a close observer of the doings of the Bank of the United States. I have had men watching you for a long time, and am convinced that you have used the funds of the bank to speculate in the breadstuffs of the country. When you won, you divided the profits amongst you, and when you lost, you charged it to the bank. You tell me that if I take the deposits from the bank and annul its charter I shall ruin ten thousand families. That may be true, gentlemen, but that is your sin! Should I let you go on, you will ruin fifty thousand families, and that would be my sin! You are a den of vipers and thieves. I have determined to rout you out, and by the Eternal, I will rout you out!”
-Andrew Jackson
During his 1st term, he searched out the “Bank minions” in the federal service and fired 2-11,ooo Federal employees. In 1832, with his re-election approaching, the Bank struck an early blow, hoping that Jackson would not want to stir up controversy. They asked Congress to pass a renewal bill 4 years early. As we know by reading this far (if you made it), Congress complied and sent it to the President for signing, but Jackson weighed-in with both feet. He Vetoed the bill and his veto message is one of the great American documents. It clearly lays out the responsibility of the federal government towards its citizens, rich and poor.
“It is not our own citizens only who are to receive the bounty of our Government. More than eight millions of the stock of this bank are held by foreigners…. Is there no danger to our liberty and independence in a bank that in its nature has so little to bind it to our country? ….”
“Controlling our currency, receiving our public moneys, and holding thousands of our citizens in dependence …. would be more formidable and dangerous than a military power of the enemy.”
“If [government] would confine itself to equal protection, and, as Heaven does its rains, shower its favor alike on the high and the low, the rich and the poor, it would be an unqualified blessing. In the act before me, there seems to be a wide and unnecessary departure from these just principles.”
-Andrew Jackson
Well because Congress could not overturn Jacksons veto and his re-election coming up. He {Jackson} took his argument to the voters and you thought Obama had a neat slogan “Change”. Old Hickory’s slogan was, “Jackson and no Bank”. Obviously we know that he won (source your elementary history book) and he ordered his Secretary of Treasury to move the funds from the Second Bank to the State Bank. Well after the 1st (he gets fired due to refusal to comply to Jacksons orders), the 2nd (refuses and gets fired) and then finally lucky number 3, Roger B Teney, finally moved the funds over.
In January 8th, 1835, Jackson paid off the final installment on the national debt, which had been necessitated by allowing the banks to issue currency for government bonds, rather than simply issuing treasury notes without such debt. He was the only President to ever pay off the debt.
Anyways as time went on..more attempts came..Here is the history timeline:
- 1791–1811: First Bank of the United States
- 1811–1816: No central bank
- 1816–1836: Second Bank of the United States
- 1837–1862: Free Bank Era
- 1846–1921: Independent Treasury System
- 1863–1913: National Banks
- 1913–Present: Federal Reserve System
- http://en.wikipedia.org/wiki/Federal_Reserve_System
You can guess further on how the central banks in all locations have positioned themselves the make a profit and control. If you ask smoker anonymous here, ask any European politician and they will tell you “The European Central bank isn’t lending or compromising with us”. It is the fact an entire nations depends on the Central Bank, has given them the driving wheel. They control everything from our interest rates to even manipulating our key and valuable data used to position our goods, standing and futures of our generations. Like I puffed before, JFK was the last Gangster in the Hood who attempted to go against this. But sadly he was assassinated after passing executive order 111140. (Yes people do assume his assassination to be linked to his death..which is a “conspircy”).
Well I shall ramble later on…I think Mango was a bit to much…Ill work on a less influential flavor later…
via charitynavigator.org
