I’ve searched for a quick, video link I trust to help define this entity quickly, but since it’s so complicated and mind-boggling, count on an hour. The best documented video source is a lecture by G. Edward Griffin called The Creature from Jekyll Island: A Second Look at the Federal Reserve System. It sounds like a monster movie and, Griffin argues, in a way really is.  You can see it at Google or YouTube.

Griffin reveals himself as a John Birch Society ultra-conservative at the end, a group I always thought of as wing-nuts, yet he takes care with his history. I respect his commitment and agree this monetary history needs to be known.

Jekyll Island remains a lovely vacation spot off the Georgia shore. In 1910, J.P. Morgan presided over a highly secret meeting there at his vacation compound. Seven men aligned with American political power and international finance worked for nine days to redesign the monetary system. Men like William Rockefeller and Paul Warburg of the Rothschild fortune, together with Morgan, controlled a quarter of the world’s wealth. Had anyone known these men were meeting together, it would have caused a huge ruckus. But today there’s a brass plaque on the meeting room commemorating where they came up with their “new” system for issuing money, the one we live with now.

The meeting remained secret until after the Federal Reserve Act was safely passed in 1913. Years later some of the men involved in the secret meetings wrote openly about the spy-like details,  too juicy and self-aggrandizing not to share. Their revelations post-1913 were shocking to readers, revealing a betrayal of American trust.

At the turn of the century, before the bill was passed, Americans had been organizing to limit monopolies in anti-trust legislation. Big money and what was called in newspapers, “The Money Trust,” centered on Wall Street, run by “robber-barons.” It was exactly these men who had schemed to present a “new system” that wasn’t new at all.

If they had called it what it was in 1913, a National Bank, a Central Bank, the bill would never have passed. Why not? Because monetary policy had long been part of fiery American debates.

The first National bank was created in Britain shortly before the American Revolution. The Bank of England had already enabled the king to borrow money from private investors for his wars and pet projects. The private bank that posed as National loaned the King money, then issued debt-notes to the King to serve as his national currency. Thus, the King got all the money he wanted and private investors got a reliable and endless source of interest income-at a cost only to the people.

Adding more debt-based currency diluted the money supply, resulting in eternal inflation and rising prices, but today most nations have exactly such National Banks. Under their system, big international fortunes have prospered and gotten bigger.jekyll-book

When newly birthed, our Republic in America argued passionately about the pluses and minuses of a central bank.  The question at stake was: Who should control the money supply?

The Constitution avoided the paper money question, the nature of paper money still a hot topic. Benjamin Franklin claimed the colonists for independence had won the revolution because it had issued its own debt-free paper money, the Continental. This paper currency was later devalued by British counterfeits imported for the purpose. British financiers preferred to back their and our government with interest-earning bonds they privately held.

But, not trusting British financiers and their banks, Jefferson and Madison wanted no part of Hamilton’s central banking ideas, especially favorable to British interests. Nonetheless such an interest-bearing bank was established, if shakily. Andrew Jackson later abolished the National Bank and claimed an assassination attempt on him had been master-minded by British big-money, which by then was also backed by other European fortunes.

Financial wars continued behind the scenes of the Civil War.  To avoid usury-like costs for issuing money from centralized private fortunes to pay for his war,  Lincoln eventually did what the earlier Constitutional Congress had done to win its Revolution. He issued a government currency, the Greenbacks, debt-free, and won the war that re-united our States.

On the tail of the Greenbacks, which became a political party, came William Jennings Bryan and his populist movement, focused on more monetary issues. Arguments flourished. Should the currency be tied to gold alone, or include silver–or should it be issued on the good faith of the people as the Greenbacks had done?

Currency and big money monopolies remained a charged issue in U.S. politics, monetary issues a debated and diverse issue,  until the Federal Reserve System put the public to sleep for a hundred years, convincing us only economists and bankers who met behind closed doors were best equipped to determine our monetary fate.

J.P. Morgan and his financial collaborators understood the importance of their language for this new entity. They named their new money monopoly Federal, though it wasn’t actually a  governmental agency. It remained a private banking system run at Wall Street, and remains so today despite the building of 12 regional banks. They all answer to the New York Fed.

If you don’t believe that money is really created from the Fed’s magic checkbook, you can go to the Chicago Federal Reserve to find Modern Money Mechanics, an official document, issued free from the Public Information Center there. http://landru.i-link-2.net6/monques/mmm2.html

The big bankers called their new monopoly a Reserve, too. But there was no gold, and no silver to back all the currency up, which some populist monetary reformists had demanded. Under false pretenses then, the “Money Trust” sold a deceptive package to Congress and to President Wilson, who had been elected to do something about big money interests and an insider monopoly control of costs and values.

The creators of the Federal Reserve System also conveniently avoided a then-dirty-word, bank. They didn’t call it The Federal Reserve Bank. Technically, the system is twelve regional banks, but New York’s Federal Reserve, where Timothy Geithner worked during the most recent collapse, still runs the System’s show, in collaboration with a highly private international bank cartel on Wall Street.

Consider the Reserve banks and investment banks as Big League players. They’re quite different from the minors, your little local bank, or savings-and-loan, or credit union. All the minor-league players must use the dollar-debt-notes the major leagues produce and circulate. No wonder those New York Yankers keep winning their billionaire clients the pennant. Except really this isn’t a game.

dollar-bill1

By the way, those two signatures on the dollar? One is the U.S. Treasurer‘s. This is the oldest federal position and the least powerful now -and for that reason has sometimes been filled by a woman.  http://en.wikipedia.org/wiki/Treasurer_of_the_United_States

The Secretary of the Treasury travels in more powerful circles, not only the President and his cabinet, but on the governing board of the International Monetary Fund  and many other international banks, as well as the Social Security and Medicare Trust Funds. http://en.wikipedia.org/wiki/Secretary_of_Treasury

Yet neither signatory of the dollar has real power or “real” reserve-backed money. They’re both only signing the government’s debt notes, financed by The Federal Reserve System.

ARE WE DOOMED THEN?

Maybe. It’s clear we are choking on debt, individually and nationally. But today, you can find men on both ends of the political spectrum, waking up from the hypnotic trance imposed by the lies and distortions of the Federal Reserve System,  still backed by investment banks, central banks of nations, and all their billionaire clients world-wide. Keep in mind, though, even monetary reformists who dare go public  with their monetary  ideas are millionaires.

What will it take for women and we amateur economists to be heard on monetary reform issues? Like Gaia, we need to organize our organisms–and then commit with all the Eros we can muster.

Eeks, that spooky eye at the top of a pyramid scheme

Eeks, it's that spooky eye at the top of a pyramid scheme

(By the way, the one Presidential candidate in 2008 who was not a millionaire was Mike Huckabee. Millionaires and a fundamental preacher were the only Presidential choices we had!)

Here is a connection to Congressman millionaire Ron Paul, who considers the Federal Reserve Act unconstitutional, as well as deceptive. His conservative ideas focus on the rights of the individual to get rich, unencumbered by collective social programs or federal taxes, except those collected for the Pentagon. In this conservative view, armies and police are  about all government needs, in order to protect individuals with private property and its interests.

http://www.youtube.com/watch?v=ji_G0MqAqq8

My own approach to monetary reform more closely aligns with the arguments of Congressman millionaire Dennis Kucinich, shown here on a great site called The Tao of Money. http://taoofmoney.wordpress.com/2008/01/17/a-reminder-of-how-cool-kucinich-is/ He here  addresses The American Monetary Institute’s annual Conference.

Learn more about AMI or American Monetary Institute at their somewhat clunky website: http://www.monetary.org/ They plan their 5th Annual Conference at Roosevelt University in Chicago, Sept. 24-27, 2009. It’s affordable and women are visible in filmed debates at their conference.  http://www.monetary.org/2009conference.html

The Institute needs to grow more diverse. But it generally seeks reform to produce collective money, debt-free, similar to the Continental, the Greenbacks and earlier colonial currencies. They think currency can be used for needed services and community infrastructure, not only for waging war, economic and literal.  This new thinking about what we call “money” could make for a greener Gaia, a happier world safer for pursuit of our Eros.green-tongues

I also love these two articles on monetary reform written by Richard C. Cook. He answers the burning question, what exactly is an economy for? Imagine earning a dividend for investing in creation of a  collaborative national product.

Credit as Public Utility; the Key to Monetary Reform http://www.globalresearch.ca/index.php?context=va&aid=5772

and

An Emergency Program for Monetary Reform for the United States.

http://www.globalresearch.ca/index.php?context=va&aid=5494