Stage center, the Highwayman, who found it easier to rob gold from travelers than rustle cattle until folks started putting their gold in protected warehouses so they wouldn't have to risk losing it on the way to town.
Well, always resourceful and motivated, the highwayman built warehouses -- and issued receipts to customers, who then traded the receipts for food, guns and shingles. And excess wealth started building and the future looked as bright as gold for everyone.
But would'cha know, with all that gold laying around in one place, it didn't take long for the highwayman to start shoveling some of it out the back door in the form of short term loans. Well, not the gold itself, but issuing duplicate (counterfeit) receipts for the same bag of gold dust. For surely, he reckoned, not all the owners would show up and want their gold back at the same time.
Now that had a pronounced effect on the price of goods. More 'money' that wasn't money was put into circulation and the highest bidder got the cow. The same cow that would have cost one certificate before the counterfeiting began now cost five certificates. Supply and demand. Let's call them dollars and let's call it inflation.
As a result, those who actually stored their gold found that their dollars were now only worth 1/5th of their original value in purchasing power. Another way of saying a portion of their labor was stolen and given to another who didn't earn it and the highwayman got the lion's share --personal wealth was being re-distributed -- our first form of socialism here. (And the 'Gods of the Copybook Headings' began to stir.)
Let's move forward and consider the ultimate consequences of such a banking system. Certainly the international bankers were in the background here, (thanks to Wilson), lurking and waiting for the moment to spring their October Surprise.
The stock market during the '20's. Margin buying. What was it? Your 10, the bank's 90? Or was it 20/80? Even checking accounts earned interest. That was a 'no-no' as well. So everyone it seems was on board, mortgaging the equity and titles to their wealth. Then when there was nothing left to mortgage, the Fed called in its markers and the rest is modern history and the 'Gods of the Copybook Headings' struck again.
(To be continued . . .)
"thanks to Wilson"
who died a sick and broken man after he violated his own 14 Points in order to buy votes from other countries for his beloved League of Nations -- which failed to pass the US Senate! He played not only socialist, but Utopianist with the map of Europe, which was no small factor in the spiral to WW II.
Playing god with OTHER people's lives, OTHER people's national boundries, OTHER people's money, to FORCE HIS idea of social utopia upon them . . . NO man is wise enough for that. What hubris, what pride (in the sin of pride sense) to think that HE knew better! enough to remake the WORLD, for goodness sake!
Heaven, save us from these "well-intentioned" utopian liberals who think they are entitled to mess with EVERYTHING and EVERYBODY!!
They still do, too . . . Hilary-care is still in her back pocket, waiting to be sprung, etc, etc, etc.
Bookmarked for later.
Bankruptcy and the Federal Reserve
and the codification of common law into the Uniform Commercial Code.
FDR was more of an administer of a bankrupt nation than a president. He didn't call the shots.