Federal Reserve makes US Citizens slaves in 2012?, page 2

This is a topic that has been of increasing interest to me. The more I read into it the more I realise that it is far too late, we are already slaves to the banking sytem and have been for many years. Thomas Jefferson himself fought against the creation of a large central bank his entire life. The Jeffersonians were somwhat succesful until about Calhoun ( i could be mistaken on the president) when a planned artificial econmic crash forced the government to accept one of two differing choices. This is a hard subject to research as it doesn't involve UFOs or lost civilizations and is hardly all that exciting, but I do believe it to be the path to the truth. Here's the banking/debt system in a nutshell:

I'm a bank, I have 500 dollars in cold hard cash. Joe asks to borrow it and uses it to buy a house from Sally. The 500 bucks is now in Sally's hand, who in turn places it in a savings account in my bank. My bank now has 500 dollars in cold hard cash, plus 500 dollars plus interest owed to me by Joe. Since Joe took a mortgage from my bank, his house is really my house until he pays me back. I can now claim that my bank has 1,000 dollars, even though only half of that is in cash. If Joe were to fail to pay back his mortgage plus interest I'm allowed to take his house and sell it for as much as I see fit. Sam can now come to me and ask for 1,000 dollar loan, I give it to him and charge him interest. Dependant upon the interest rate, within a year I can claim to have 1,500 dollars, though I still only have 500 in cash. On those transactions alone I made 1,000 off of the same 500 dollars I started out with.

This is in essence how all money works today. Only 90% of the currency in circulation is backed up by anything more than good faith. In and of itself this example seems fairly stable, if Sally were to some day ask for her savings back I would be able to give her the 500 in cash and still claim to have 1,000 and continue to issues loans and collect interest. Well, imagine that Sally were to put her savings in a different bank. I could still claim to have 500 dollars as Joe owes it to me plus interest. I would still be able to issue loans and collect interest, however, I do not have the cash to back it up. Let's say that my initial 500 dollars was comprised of savings accounts people had opened prior to Joe's home loan. Since that 500 dollars was given to Sally and she put it in a different bank those people have effectively lost their life savings. Sure I could give them 20 bucks here and there when they go to the ATM thanks to the money Joe is paying back. But if they ever wanted 150 dollars I couldn't give it to them. If everyone who had a savings account came to me at the same time demanding their savings my bank would be bankrupt and I would have to close my doors, leaving them out in the cold with no money.

This is in essence what happend during the Great Depression. When people had heard of the crash they rushed en masse to the banks demanding their money back but the banks didn't have it. At the time our country was on a gold standard. That means that each dollar you held in you hand was worth 1 dollar of US gold. However the gold standard only covered the cash that was in circulation, if you had a 5 dollar bill you could've theoretically taken it to the treasury and asked for your 5 dollars of gold. The banks had effectivly by passed this system. Since people weren't actually using the money they had placed in savings accounts they didn't need to back it up. In essence, the banks had begun making their own money, except this money didn't exist and was only worth as much as people's faith in the bank itself. Thus enters the Federal Reserve.

The main purpose of the Federal Reserve (here on called the "Fed") is basically to control the printing of our paper money. Let's say all my costumers with savings accountants demanded their money right now, I don't have the money to pay them and we are all facing bankruptcy. If i am FDIC insured I can call up the Fed and have them print the money I need to pay off my costumers and keep us all in business. However, the money they just created is going into circulation but is not backed up with an equal amount of new gold in the treasury. Here's an example:

All of the sudden my bank needs to pay off it's customers. The fed prints 500 more dollars and sends it out to me and I give it to my customers. My costumers use it to buy groceries and essentials effectively putting the new money into circulation. Lets say that before my transaction with the Fed the US had 5,000 dollars in circulation backed up by $5,000 in gold. However there is now $5,500 in circulation backed up by only $5,000 in gold. This is basically how inflation works. The dollar you have in your hand is worth less now than it was before my transaction with the Fed. Because a dollar is worth less stores must now charge that much more per product to get the same profit. This creates a relative balance in domestic finance but the dollar is still devalued in the world market.

This system of debt is much the same as paying credit card bills with other credit cards. The $1 you hold in your hand meant that $1 dollar of the US's gold was yours, the government was just "hanging on to it for you". the dollar was much like an IOU, it meant that if you ever so desired the government promised to give you your gold back. As much as I despise a paper money system the 100% gold standard was a fairly sound theory and would have remained so were it not for the banking/debt system. However it wasn't long before we were put on a 50% gold standard. What this meant was that now your $1 was worth .50 cents of US gold, if you thought you had saved up $100 you only owned $50 of gold. Given our above example of inflation you can figure out what that did to our economy.

We'll jump ahead a few years to the cold war. The US government needed massive amounts of more money to help beat the Russians in what amounted to a spending war. it was at this time that we were taken off the gold standard completely. In essence, your money now means absolutley nothing except that you trust the government not to collapse. The Fed is still in control of the printing and coining of our currency but no longer has to regulate it to balance with the gold reserve. Sure, your $100 US is as good here as anyone else's, it doesn't buy much anymore but it's still good for "all debts public and private". But you can no longer demand your share of the gold back. Removing the gold standard had succeeded in placing the Federal Reserve Bank in control of our money absolutley, they can make it worth more or less. They can print a billion dollars or burn a trillion because it's worth nothing. In addition, any money that is stored hypothetically, that is in numbers on a banks computer, is not only worthless but doesn't even have a tangable form. By removing us from the gold standard we were all robbed blind. Let's break this all down even simpler:

Only 10% of what we call money has a tangable phsycial form. Private Banks control the other 90%. The Federal Reserve Bank controls the private banks and the value of both hypothetical and tangable money.

It is easy to see what has transpired over the past few hundered years or so. The gold that used to be in the treasury was ours until the government decided we don't need it anymore. Your land, your house, indeed everything you think you own can be seized by the government without explaination. Your money means nothing and as soon as it hits the bank it ceases to exist. The more you spend and the more you work the deeper you dig yourself into servitude. You are paid with a check and deposit right to your account, you work for free. We are all in debt because our government is in debt and they used us as collateral. We are bought and sold and are powerless to stop it. Our money is worthless, we are slaves and at any moment it can collapse around us like the USSR. Makes you glad we still have the 2nd Ammendmant huh?

*grabs his gun and hides in his shed*