Reprinted from TomWoods.com
Several days ago I managed to get myself drawn into a Facebook exchange with someone who opposes the Federal Reserve and the current banking system in general for not quite the right reasons. Thus the Fed is a â€œprivate bank,â€ it does not put enough money into circulation, its member banks enslave people by charging interest on loans, etc. This person thinks of himself as part of the â€œliberty movement.â€
Another claim of his was that the elites funded and promoted the Austrian School of economics, and that these same elites were behind the funding of Karl Marx. This theory would probably have a difficult time accounting for why Austrian economics is still relatively obscure â€“ why should that be, if the worldâ€™s most powerful people are supposedly promoting it? â€“ or why Marx, far from drowning in money thrown at him by the elites, spent his life begging for money, mainly from Friedrich Engels. Given how badly Marx treated and took advantage of Engels, the latter would presumably have been delighted if some moneybags had taken over the task of funding poor Karl.
Until now Iâ€™ve more or less let these folks be. But when I heard someone say he had dropped out of the End the Fed movement because it was so dominated by people like this â€“ people who think fiat money per se is fine, but that it ought to be issued directly by Congress rather than by the Fed â€“ I began to wonder if I should address it. So in this exchange, I asked my opponent if he could distill his thoughts into five or ten propositions on money, which I could then examine. I am convinced that the misguided policy proposals coming from people like this are the result of fallacious reasoning about money, so I wanted him to spell out his thinking clearly and systematically.
I am going to reproduce for you what he wrote. The first time through he listed ten things he wanted me to prove. I explained to him that demands are not propositions. I want to know what your views on money are, I said. Someone came along and reworded his demands into the form of propositions.
I said I would respond to these propositions. Not because of the importance or lack thereof of the individual involved, but because these fallacies are evidently widespread within the end-the-Fed orbit. Iâ€™d like to have good answers out there.
But look at what he produced. Totally unsystematic. Fundamental issues completely ignored, and in general the list makes me feel foolish for even offering to do this. (If you were asked to give ten propositions on money, would you leave out what money is, where it comes from, and what purpose it serves?) I have no idea what his positive theory of money is, what his ideal system is, or whether the charging of interest is just or unjust in itself in his view.
I said I would respond to these, so I will do so in the coming days, in dribs and drabs. But yikes.
Here are the propositions:
1. The fact that people are having trouble paying their debt indicates that too few dollars are in circulation.
2. It is impossible to pay back the interest on the debt when payments are reloaned, and not recirculated.
3. Monetary deflation benefits the private bankers who wish the People to default in order to seize collateral with, or without govt force.
4. Engineered scarcity is the PRIMARY cause of higher commodity prices. The People in a drought with lack FRNâ€™s [Federal Reserve Notes]. They are not drowning in too many FRNâ€™s.
5. Private bankers will create private monopolies to control the People rather than â€œcompeteâ€ in a â€œfree market.â€
6. Private banks can enslave the people through the use of un-payable interest based contracts.
7. Private banks will not compete, or offer interest free money creation/lending to people with, or without government force.
8. Private banks are the sovereigns and use patsy government to escape the wrath of the People. â€œDivide and conquerâ€
9. Austrian/Keynsian economics are simply a Hegelian Debate wherein un-payable debt/interest contracts prevail with, or without force.
10. If you end central banking, and remove all government granted privileges to the private bankers, they will CONTINUE reign over the people. Private banks do not wish to â€œcompeteâ€ in a â€œfree marketâ€. â€œCompetition is a sinâ€ ~Â Rockefeller.
11. Bonus: Here is a money related topic that Alex Jones/most others refuse to cover. Some VERY DEEP truth which few will touch due to: possible threats of anti-semitism/political correctness. However, it is essential to dig into this deep, and ugly history so that we may gain greater understanding of why the US has dozens of US-Israeli citizens in its govt. (Chertoff/Emanuel/etc) And why the US is perpetually fighting Israelâ€™s wars INCLUDING WWI+II. The private usurers have been the sovereigns for thousands of years. Usury/riba/interest if forbidden by each of Islam, Christianity, and Judaism. Because it is a MATHEMATIC fraud, whereby it is impossible for all borrowers to pay. However, Judaism permits ELITE Jews to perp the voluntary contract fraud/usury on gentiles. Elite, Jews have sacrificed millions of beautiful Jews, and gentiles with genocide, and perpetual war. Usury is a methodology of international conquest. Usury bankrupts nations and steals their national sovereignty. Thereâ€™s a reason why thereâ€™s a Rothshchild Star of David on the back of a buck. Usury is the original sin of the worlds economic, and monetary problems. Al Pacino represents â€œShylockâ€ in Shakespearâ€™s The Merchant of Venice on topic.
12. â€œLove the Sinner(parasitic usurers) hate the Sin(usury)â€ Prayers go out for peace, and blessings to all our Brothers in Sisters in Rothschildsâ€™ occupied Israel/Palestine. Rothschild will sacrifice beautiful Jew, and gentile alike as the private usurers are the â€œSynagogue of Satanâ€
See what I mean?