Just to observe remarked that there are two ways to
a solution one is with the sewer you others were Americans are surely awash in.
My just own brown or the one we're best seller really does work challenges what we
know who loose what are commonly and her freedom and innocence
a handful of King bankers control we explore how private parties never government
control America's money supply but if you are a murderous become
a cruel hoax after years of joy betting machine still there is
a path to prosperity and freedom or he's this world it is my pleasure to walk and
rebel author was
a liberal to war politics who Thank you very well you have given the title of your
book well what were you converted by their spiders in an economic sense attacking
news. This spider the web is actually something that we're all trapped and and
what's interesting is that everyone has tapped trapped into not just us as
individuals but governments most people think governments issues are money if they
issue money why are they and that they don't issue the money it comes from
a private banking cartel actually but this goes to the fact that most Americans
really don't understand American but I can do it now and in fact bankers them south
don't necessarily understand how they create money and they'll argue with you that
they don't but they don't know is this really is this is part of
a deliberate ruse you said that we've got
a cruel hoax story is this part of the hoax and it's been made deliberately
complicated and it's really not. It's certainly at some stage that would be chair
but I think now it's been so obscured in the thick kind of. Misinformation and
homes America's money. And money that's made by the government is coins but that's
only one ten thousandth of the money supply the constitution two bills and
cigarettes is like I was met by chance when some one million dollars Yeah the
Constitution says Congress shall have the power to coin money and regulate the
value there of and that is that Congress does the coins and all of the rest
including the dollar bills which are what we also think of as money are are issued
by banks the dollar bills are issued by the Federal Reserve but it is actually
private composed of twelve branches if you look at your dollar bill you can tell
which branch issued that the bill so it's actually issued by the branches all those
branches their own by the banks in their district only when the government does not
own one share of one federal district so before it was even. Popular we've been
outsourcing. The central function of the money supply to broader
interests and exactly you know this is one of you know misconception people don't
know the banks just poof money. Right well they created as credit in other
words when you go to a bank to take out
a loan the bank will write into your account the amount of money that you want but
they don't pull that from anywhere that's just the debit on one side of their bucks
and
a credit on the other they do it by double entry bookkeeping they only need the deposit
when they go to clear the check and then as the check goes out you know they need
to balance their books so they have to have as much going out as coming in but they
don't really lend the deposit they borrow from that deposit pool but the deposit
they're always there when if you the deposit or go into your money the bank never
says come back in thirty years because we just like your money to Mr Smith it's
been lent out and yet you have access to it and what you just described is limited
and it's really really your new creation proof out of here the intruder coming
riggers in the house well it's in the water bill it is the boat the American money
supply right this is what people who are of value regimes own their homes but
there's really not enough money to sustain all of that valuation is that right but
actually it's good to have so much credit out there I mean when the credit system
collapses that's when we have
a depression such as we have right now we're we're we're described do you
fractional banking systems are great and are
a really. Unfortunate thing is that this court is more control lead to inflation
really what inflation comes from it when you create a loan and it's backed by
a piece of real estate that that loan will get paid off so so that is not
necessarily inflationary What does inflate the system is one banker speculate
they're creating money that they're using for money making money. Becoming
a consumer
a really interesting recently. How about the rule of central banking reserve
one to protect the economy and solutions. In theory and what you have here is this
basically
a shell game going on by the bankers which is how money is created it's not
necessarily
a bad system as I will argue everything it would if it were public would be
a good system but because it's private. And there's this conception that money is
a thing like gold the bankers never had enough gold. To create all these loans
so they had to fabricate So there's sort of certain fraud and Bob So to keep this
fried up to keep the ruse that the shell game going. The central banks were set up
which ever it which had the function of printing money or creating money to backs
that the banks but now they're sort of black from doing that as well like look at
the E.U. So soon promo. The room making created
a solution of the room of you know what was the problem for jazz which is the film
which is in your book you mention that it's new federal newer and reserves in the
Federal Reserve so to create this into. As you describe the show.
Real difference Hester I think. Well there are ways out which And I think we're
kind of finding our way to those ways like you look at the year that's an
unsustainable system but they are starting to create money because that's where
they have to do there has to be
a release valve to allow the system to expand did Franklin Roosevelt to address all
the girls because he was where you just described. He took us off the gold standard
is he had no choice at that time everyone was afraid of the banks so they were
rushing to the banks to pull out their gold Well the dollar was. Forty percent
backed by gold so you could take your dollars and if you took two dollars paper
dollars standing to two dollars worth of gold out three dollars would have to be
called in in the way of loans so it would the money supply was just contract and
contracting and so we had
a huge depression so in order to stop this implosion of the money system he took
the dollar off the gold standard and that's not a solution for gridlock on
a good or silver standard really going to come out of business now it's never
worked in the past despite what gold bugs will say the Federal Reserve System is
made of private sort of private interest. True although you could argue the Federal
Reserve for board is
a different thing than the Federal Reserve Banks the Federal Reserve branches are
all one hundred percent private the Federal Reserve board is appointed by the
president and confirmed by the Senate so it's definitely got
a federal compliment to it. When we know Jackson if
you. Bank of America. Leave the little. Scene where
the posing for devil was the head of the second U.S.
Bank which was quite corrupted he said I will kill that me for the brain tells me
which he did he did he killed the bank pulled all the money out that's the the last
time that debt has been fully paid off we all know we have
a link in the Green Book Can you describe your look at the link and went back to
the American system in other words this is the system that was popular support for
. Yeah he wrote about it he didn't actually invent it but he wrote about it as
actually the Quakers in Pennsylvania that developed the best of these models.
Lincoln was faced with you serious interest rates in order to fund the Civil
War and in fact there is some evidence that the. Russia bankers were it that they
actually stimulated this war in order to attract economies back and that in order
to have economic colonialism where they had last polluted their political colonies
. So to avoid these very high interest rates he issued us
notes or greenbacks and did manage to win the war and did
a lot of development besides the railroads that went all the way across the country
there's
a very active period development. But he was assassinated and that Hoffa going to
turn right in private bankers in God we claimed our American banking system now you
mention Rothschild everybody knows that name and what's interesting in your book is
that it was
a shocker to me I didn't know that Rockefeller was so intimate and early American
banking along with the help Morgan J.P.
Morgan in the house and Morgan and there's another name that people probably don't
Aldrich who is the grandfather of Nelson Rockefeller French president for
a very powerful man wasn't it Aldrich who linked up with the rough Shiels.
Brought their first Federal Reserve. Bill Bennett was called the aisle and he was
a relative Iraq feller Morgan both were funded by the Russian I mean there is
evidence that they're both funded by the Russia bankers so Russia other course was
Jewish and at that time that was. That impaired his ability to deal with so
so Morgan with was
a good. Protestant. Friend for him and.
It's hard to know who the head of the spider is now it is said that the spider
moved across the Atlantic to to the rock fellers that the American banking system
is now stronger than the city of London but I doubt it I mean I think it still goes
back to the city of London.
Just as your point. How would you describe. Well my own solution to all this would
be that the banks would be publicly known to so lending is
a good thing and in fact all of our money comes from from loans virtually all of
it and it is
a very natural organic system in other words people take out loans when they want
to do something build something or whatever and then they pay that as they pay the
loan off. The money supply contracts again so the money supply expands and
contracts naturally in response to the need for credit so that's
a good thing the only bad thing about the system is that it's privately owned by
bankers pretending to have money they don't have so not only is that bad in the
sense that it gives
a certain part tell power over the whole money scheme but it's bad for the bankers
themselves because they're always getting into trouble I mean historically this
system goes back for
a thousand years and they've in fact when it when they were. Really strict about in
the Italian bankers there is one Italian banker who was actually beheaded in front
of his bank because he couldn't balances his books. Said no no no.
There's a rule interest could could be part of a sustainable system it's
a public system and in fact there are many many reformers who will argue that the
that the debt virus theory has been debunked and so their argument is well the
bankers put the put the interest back into the system they buy shoes and they buy
food and they spend like everybody else they spend their profits but the problem is
they don't it's the one percent versus the ninety nine percent thing they reinvest
their profits they have far more money than they can spend and so not counting this
issue this mathematical issue you've got to have an expanding. Debt in order to pay
the interest they put their money into investments so instead of saying here is my
dollar give me some food they say here is my dollar give it back to me with
interest or give it back to me with more profit it's not really just interest it's
any form of rentier money making money that is this parasite that's pulling the
money off the top and that's why the one percent instead of the Ponzi scheme Yeah
you you talk about the four in the Morning Money is created when all of the
principle is created not the interest for the principle. It's never prudent So it
depends on further one system where the government itself is able to print money
they can print the interest so they can put some debt free money into the system to
cover the interest but
a bank can't because all their money goes out there as debt bearing I mean interest
bearing that what we know in the House Rules is clear but everybody's basis of the
national economy is clear that we will reach top we cannot serous our interest.
We can't even service the interest on the debt yet well that would be true if we
had like if we're still paying five percent interest like we did at one time we
were already be at the point where we can afford the interest but in fact that's
why interest rates have been dropped so they're down to like zero point two percent
at the Fed for the Fed funds rate they're almost nothing and they have to hold them
ridiculous Lee because the federal debt has grown by fifty percent since this
banking collapse. But you could service the debt I mean if you borrowed from your
own central bank interest free then you then it doesn't really matter the size of
the debt you just keep rolling over the debt it's the interest that kill you so
you're saying there's an order to show you how to do that is holding the prisoner
interest so you can hear the near zero levels so basically the government doesn't
suffer
a calamity Yeah bias if you could have zero interest the government that can respond
to the need to the of the economy which I think we're going to say is not
sustainable. Or at least very sickly just was their only interest means borrowing
from the feds and they return the money required. Some of what we talked deflation
for the. Sins or contract we're not seeing we really
seem to productive to remove There is
a need for we do in fact many people written Forbes really rose it was huge for
most people who say the future is
a deflationary future and or deflation and zero inflation removes much of the.
Where we are and in deflationary cycle there's
a there's this entire shadow banking system that goes unreported and that was the
system that shrank in two thousand and eight and according to the Fed's own figures
it shrank by five trillion dollars shadow banking system what is. Its non-bank
it's still not
a bank this it was the Goldman Sachs until they mature so they made him
a bank book but includes investment banks hedge funds money market funds this whole
system supposedly it developed or one reason it's so big is that big institutional
investors don't want to put their money in
a bank because they're only insured for two hundred fifty thousand dollars and they
have far more than that so they want something that's like
a bank they want to be able to pull their money out daily So that's the whole
report market where it's like
a big punch out where they say I'll give you money my money for
a day and you give me those mortgage backed securities and but I can give you back
the market wrecked securities and you have to give me back my money tomorrow if I
want it and that's what happened in two thousand and eight that the money market
collapsed all the investors panicked and they pulled their money out and want over
night. So it's
a very unstable system it shrank by five trillion suddenly and it's only come up by
one trillion and if this continues again this is the paradox of thrift the
liquidity crisis or the debt spiral well or when the rubric the
flexion Ray is there where you hold it or inflate the system for the little to put
some money back into for some limited use work Yeah well I ideally I just read an
article on student debt would be
a very nice way to get another trillion dollar and as into the system there is and
now
a trillion dollars in student debt outstanding when the Federal Reserve did its quantitative
easing one what they did with one point three trillion in mortgage backed
securities are toxic assets were bought off the books of the banks so the banks got
the dollars and the Fed got the toxic gag order them
a truth value. No Actually Big got
a deal and the Fed actually made money on that deal or even THEN ever Everybody
said that there isn't going to contract economy if you work to market the means of
reserve limits or reserve requirements or Linda in the market but it's really
contracts the whole point they gave them dollars. So it's so now they didn't have
toxic assets on their books they now have dollars on their books so they could lend
again theoretically it didn't work obviously and for another reason I think it's
because it hope America really know before it hits their home program. But the Fed
did it so they could just as well buy
a trillion dollars in. Asset backed securities backed by student loans and then
just rip them up and there would be another trillion dollars in the system and the
students would basically get free education free higher education which I think we
should have been given and sometimes that's
a good tax on the Republican No not if you're in
a deflationary cycle if you used to have if things worked really well when we had
five trillion dollars more in the system and we suddenly took that five trillion
dollars out we've got to put some more money back in there now the question is how
to do it they tried doing it by putting it on the books of the banks and it didn't
work because there is still there's still one point six trillion in excess reserves
sitting on the books of the Wall Street banks that not the local banks the local
banks can't get it that's the Wall Street bankers So what if we gave
a trillion dollars to the municipal governments or the States it would only take
two hundred billion to bail out the the all the states to balance the books of all
the states which for these rooms you have to forward them on the way this is the
works of the present system we have to borrow from the interest of private interest
that's what the Treasury would have to do or the Congress but the Fed does not have
to borrow they can just issue the money they have the power they have to feel you
have power to issue money and they're looking for you know want to make the point
you create money not create right because we keep talking about for.
Who's doing this who really show the bankers who who controls who owns it all well
if you trace it back historically there were some key players that set this system
up and made it work the way it does but today about don't really understand the
system they just they see an opportunity to make money I mean all those people on
Wall Street are just. I think that this is
a good way to make money to make sure others yeah yeah and they just jump in and do
it so they see
a hole in the system and they go in and make money off it it's driven by greed but
it's legal great and everybody kind of looks up to these rich bankers but we could
fix that of yeah you know we need to change the system yeah if you bumped off of
there or if you put in jail all of it it will Tea Parties you wouldn't necessarily
system Yeah and you can't put him in jail because it's not even
a later but if we move a little bit now to
a war of words words fixing some of the yeah that's all you have to do is fix the
system so it's this amalgam move opportunist which will cause speculators and
people to bet against currencies with George Soros the one time. What about the
central bankers it's a group well then Bernanke you for instance was
a professor of economics and just got appointed I don't see him as somebody who's
steaming to pull off. Something Now I could envision that there are people
screaming at the Bank for International Settlements because they have pretty much
broken wine economy after another by imposing their rules I mean that the
first and most people don't even know what the beggar national symbols know they
were kept a low profile for a long time till they decided they wanted
a bigger building and they built this boot you know the famous boot in five of them
build a barrier there clearly they they meet once
a year and their. Membership of the Golden Rule. There are
infiltrators who report on it but it's not nothing's official on that that they see
people going in and out earlier Rothschild's the we can look through you know your
displeasure to cross the line of the. Nobody really knows how much money they have
or what they're up to that you couldn't really nail them to to some extent or
aren't we really touching on
a dicey issue here of classwork the ninety nine percent versus the one percent yeah
but to me this solution would be to set up our own system I mean we can't really
get them what we need to do is set up a model that works better set up
a better mousetrap and then everybody I describe Aetate to that line and then when
you realize that the too big to fail or not too big to fail let them fail we have
our own more functional system well that's interesting because I'd like to hear how
you would sort the problem we know that there's an inflationary threat here and we
need to get the system going and. The social contract seems to be broken we see
pensions under attack health bureaucracies health care guarantees an attack in
Social Security Medicare is going to return because there are insufficient
resources there for that. Then gris just so often on. The.
Could be there was the most arrogant know there in the terms of taking the triggers
that was there to greet Yeah and they're threatening to actually put in
a military that they like
a police force that will enforce this they're going to take over those governments
they've they've abandoned their sovereignty because of that and that in your
marriage future
a loss of austerity program if we don't for the solution Yeah well it would
actually it would be stupidity on our our part if we let it happen to us because we
do have the power our federal our central bank has
a partition money and it should be issuing money and lending it to the government
but because we have this whole faction that three fusing to allow to the debt to
expand we could we have an artificial us there to being imposed on ourselves that
we don't need to impose because we can fix it so really good is the world because
the route that we grew to go through exactly because you need
a certain amount of money in the system all money comes from debt when private debt
shrinks public that has to expand to to fill up the gap so you want
the money supply to match the G.D.P. So if you want to G.D.P.
That it expand you have to expand the money but that doesn't everyone know that
will never be repaid and we're even friends with
a problem servicing the bit in the interest of the Yeah well it's
a servicing that's the problem if you got rid of the interest and you just allow
the debt to expand as we go even more would we get rid of paying interest on it and
then we deal with the interest that we have no my growing economy you know what you
could do ideally everybody thinks this would be inflationary but I would argue it's
not is. You could print our coin you can do this right now it's changing
any last coin the fourteen one trillion dollar coins put them in the treasuries
bank account with the Fed and just buy back all those bonds and rip them up. So
so all those all the current bond holders would now have dollars instead of all the
Bond is a federal bond is just an interest bearing account with the Fed and
a dollar is
a non interest bearing account so you get rid of the interest in that way. Which is
the creation of homes that is quoted in the group.
The group dollar bill which is basically. There. What
about the constitutional story of. The constitution.
I well that itself is controversial and there are
a lot of their cases are going both ways it's been argued for two hundred years but
the Constitution says Congress shall have the power to coin money and regulate the
value there as now the argument. The gold bug types A Well that means that that
just means that you can take your claims to the meant and Congress to put the stamp
on it that that's what coining money means the other argument is that coins were
the official money at that time and they didn't have checks and credit cards and
all this stuff so what they meant was Congress shall have the power to create the
money supply that you have to you have to read that into it because to me the
current circumstances two hundred years later debt into dollars which is what
you recommend and we can regulate all of this the usual engineering we can take
back. Our money supply from private banking selfish interest which has been
basically the root of the class war for the whole time of our republic and right
I want to thank you for
a very rewarding and interesting talk on the economy really things I did I have an
M.B.A.
I didn't know so many things about our economy well I'm going to full faith and
credit in
a lot of the really sensible down to earth re simplified. Banking
proposals that you're married to and again I want to thank you for reminding us of
world politics it's been a pleasure thanks Joe.