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The Old Rich White Dudes Always Win

You may be aware that the U.S. abdicated its Constitutional duty for maintaining the money supply when it passed the Federal Reserve Act of 1913, relinquishing the authority to issue currency and print money to a private banking cartel. Official documents will tell you that the Federal Reserve System (“the Fed”) is a quasi-governmental organization accountable to ‘the people’ (whatever that means), but history has demonstrated the Fed is accountable to no one but itself. In the history of the Fed, the government has not audited it even once.

What you may not know is that the Fed is a Ponzi scheme. Simplified, it works like this: The Fed creates $200 and lends $100 to Bob who then owes the Fed $110 with interest.

The Fed lends $100 to Jane, who then owes the Fed $110 with interest. Bob pays the Fed $110. Can Jane pay the Fed $110? No, because $200 – $110 = $90. There are only $200 in circulation, so there is no way for both Jane and Bob to repay the loans plus interest.

The ‘economy’ works because the Fed is continually creating new money, just as a Ponzi operator continually recruits new investors to reward previous investors.

There are other complexities that inure to the Fed and its member banks, such as the creation of even more phantom money via the fractional reserve system and the $640T derivatives market. Regardless of the layers of complexity in the financial system, the amount of money in circulation is determined solely by the Fed* and so the 4% deposit fee and 4% interest the U.S. Government owes to the Fed for each dollar created can never be repaid.

*Removal of paper dollars from circulation does not count toward issued currency