Friday, March 4, 2011

Part 1 Currency Andrew Jackson Style

Part 1 focuses on the first 1:10 of the video. I'll cover oil and OPEC in Part 2.

The first part of the video focuses on our currency and debt. Remember we have only had one US president who paid of the national debt in its entirety. That was our seventh president Andrew Jackson. Of course it's in the bankers interests to have debt because they borrow from the bankers and have to pay interest to the bankers on the debt borrowed. Here are my 5 favorite Andrew Jackson quotes just so it's on the record:

1)"Gentlemen, I have had men watching you for a long time and I am convinced that you have used the funds of the bank to speculate in the breadstuffs of the country. When you won, you divided the profits amongst you, and when you lost, you charged it to the bank. You tell me that if I take the deposits from the bank and annul its charter, I shall ruin ten thousand families. That may be true, gentlemen, but that is your sin! Should I let you go on, you will ruin fifty thousand families, and that would be my sin! You are a den of vipers and thieves."

2.)"You are a den of vipers and thieves. I intend to rout you out,
and by the grace of the Eternal God, will rout you out." in reference to bankers

3.)"I am one of those who do not believe that a national debt is a national blessing, but rather a curse to a republic; inasmuch as it is calculated to raise around the administration a moneyed aristocracy dangerous to the liberties of the country."

4.) "The bold effort the present (central) bank had made to control the government ... are but premonitions of the fate that await the American people should they be deluded into a perpetuation of this institution or the establishment of another like it."

5.) "The Bible is the rock on which our Republic rests" (that's for you AT JD)

Representative Mark Kirk from Illinois just let Ben Bernacke know that we do not need to have a huge national debt and pay interest on our own money. Also we do not need to have the government borrow from the Federal Reserve and pay interest to the bankers. The US Treasury under vote from the Congress could do this and eliminate our central bank. Remember, no debt and their would be no interest. In 1837 Andrew Jackson ended the 2nd bank of the United States which lasted from 1817-1837. We didn't have a central bank until 1913 with the Federal Reserve. It's possible for private parties to contract at an agreed rate of interest or the Congress could spend the money into existence without borrowing. Obviously if Congress didn't control the quantity of money effectively then we would have inflation. You could increase the money supply with population growth and this would control inflation and keep the value of the currency stable. This is the main reason prices rise and in the first quote above shows you that things haven't changed in the last 175 years because what is innate in man hasn't changed.

I will cover the issue of oil in my next post.