The general public, the media and most financial observers were largely unaware of the momentous event that took place on August 15, 1971. However, the implications of that event have had an enormous impact on global financial conditions ever since. On that date, US President Richard Nixon “closed the gold window”. In essence, this meant the US would no longer honour the Bretton Woods Agreement of 1944, which made the US dollar the world’s reserve currency, and allowed other countries to convert their US-dollar holdings into gold. In simple terms, the US defaulted. Those who may have glanced at the announcement buried within the pages of their daily newspaper were unlikely to have understood the implications for their financial future. Continue reading
The homes did not become more expensive – your work, efforts, talents and the US dollar became WORTHLESS!
1934 Christmas Catalog from Montgomery Ward.
Since 1776, many things have changed dramatically in America. One of the most drastic series of changes has been in the way we conduct transactions using money. Believe it or not, the monetary system that is in place today would be almost completely unrecognizable to the founding fathers. Here are some cool facts about the history of our monetary system.
In Early America
There were three general types of money in the colonies: specie (i.e coins made of precious metals), paper money and commodity money. Commodity money was used when cash (coins and paper money) was scarce. Commodities such as tobacco, beaver skins, and wampum served as money at various times and places. Wampum (made of shells) was used by the northeastern Americans Indians as a form of gift exchange, and the colonists adopted it as currency in trading with them. Eventually, the colonists developed more efficient methods of producing wampum, which caused inflation and ultimately the obsolescence of it as currency. Continue reading
“If the American people ever allow private banks to control the issue of their money, first by inflation and 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.” ~ Thomas Jefferson
Americans, living in what is called the richest nation on earth, seem always to be short of money. Wives are working in unprecedented numbers, husbands hope for overtime hours to earn more, or take part-time jobs evenings and weekends, children look for odd jobs for spending money, the family debt climbs higher, and psychologists say one of the biggest causes of family quarrels and breakups is “arguments over money.” Much of this trouble can be traced to our present “debt-money” system. Too few Americans realize why our founding fathers wrote into Article I of the U.S. Constitution: Congress shall have the Power to Coin Money and Regulate the Value Thereof.
They did this, as we will show, in prayerful hope it would prevent “love of money” from destroying the Republic they had founded. We shall see how subversion of Article I has brought upon us the horrors of which Jefferson had warned. Continue reading
Sometimes not fighting the system, but rather, keeping a low profile and having a good cover story works out better for some…
The following story was told to me many years ago by my downstairs neighbor John Moon. I was a young child then. Johnny’s principles of survival and success have always stayed with me and formed a vital part of my own personality. I would like to share them with you. Hopefully you can use these ideas to prosper.
As a little kid, around the time of World War Two, I lived with my grandma in an apartment building inhabited by many entertainers. There was the family headed by a gypsy violinist, a famous magician, and a whole bunch of radio script writers. Everyone in our building what we then called ‘show business personalities.’ There were Vaudeville act families who used to do one night stands on stages throughout the English speaking world, radio announcers, and some strip tease “artists.” Continue reading
Herbert Hoover was worth $4 million in 1914 as a mining engineer and mine owner. This was before World War I, when the dollar bought 25 times more than it does today. He was good at what he did in the private sector.
He gained national fame as a World War I relief administrator: Belgian relief. The Germans let him do this because it freed up food for the German Army: no need to feed occupied Belgium. This is now how the history books tell it. This was the next phase of the legend of “Hoover the Engineer.”
Harding appointed him Secretary of Commerce. Hoover then oversaw the nationalization of the airwaves. He created the Federal Radio Commission, which became the Federal Communications Commission. Continue reading
… after the economic recession because he thought it would double in value
Former leader of Al Qaeda: Osama bin Laden was a keen investor and instructed his followers to put their money into gold
Osama bin Laden was a keen investor and instructed his followers to put their money into gold because ‘the overall price trend is upward’.
The former leader of Al Qaeda said in a letter to his underlings that the precious metal was a safe bet because it would double in price to $3,000 an ounce.
He joined the likes of billionaire George Soros in predicting that gold was the best option in the wake of the 2008 recession. Continue reading
There is a growing consensus in the U.S. that economic inequality isn’t simply a minor nuisance resulting from a largely just system. Although their solutions differ considerably, both Democratic and Republican presidential candidates have acknowledged the existence of economic inequality and the need to address it in some fashion. As French economist Thomas Piketty has outlined, the issue is a stubbornly pervasive condition in modern economies. This is understood by much of the public today. What is less well-known is that the seminal advocate for the free-market economy, Adam Smith, was aware of economic inequality and offered one of the first critiques of the complications it introduces into social and political life. Continue reading
I wonder why this is never mentioned in history classes in the US.
And I wonder why the US media has not frankly discussed what happened. Is it because it would embarrass powerful figures still on the scene today?
I wonder why there is no frank discussion of the Wall Street interests who helped to finance the fascists in Europe, including the National Socialists in Germany, even during the 1940’s?
When the going gets tough, the moneyed interests seem to invariably reach for fascism to maintain the status quo. Continue reading
This talk was given as the Ludwig von Mises Lecture at the Austrian Scholars Conference on March 14, 2009
Ludwig von Mises is, and I suppose virtually all of you would agree, the dean of the Austrian School of economics, and I do not hesitate to add, he is also the most important economist of the 20th century and one of the greatest social philosophers.
Mises’s personal courage and rigorous intellectual reasoning are, and will always be, an inspiration and encouragement to all students of economics, social affairs and philosophy.
His outstanding expertise in the fields of economics, politics, history, and psychology — combined with his amazing ability to integrate these diverse elements into a coherent theoretical system — is what sets Mises apart from other economists. Continue reading
We’ll be back later today. We have been away…
People are dumb because they do not know and refuse to learn the real history behind world events. Educational institutions do not function as seekers of truth, but as gatekeepers for narratives that defy common sense and defame historical facts. Society fosters the ultimate taboo against chronicles that differ with the established story of distortions and misdirection. Anyone who dares waver from accepted limits and suppositions immediately is a quack or an extremist. The dreaded label of being a conspiracy theorist, used to smear and marginalize researchers and pundits, is the height of anti-intellectualism and character assassination.
The dim-witted public, told to shun contradictory accounts, interpretations and disturbing explanations accepts sham history. The accurate course of events must remain hidden from the masses. The subject of a New World Order is not newfound. The process of world domination is as old as the formation of the first empire. Despite the annals of war and governments, the actual power that enslaves civilizations and humanity, is evil itself, in its purist form and manifestation. Continue reading