This video from , is a history of money and banking, fractional reserve banking, central banks and how this has culminated in the economic disaster of today. Featuring Ron Paul, Joseph Salerno, Hans Hoppe and Lew Rockwell, it is a compelling explanation of the need to end the Fed and switch to sound money.
Yes, james carter, the Federal Reserve scam needs to be ended, and indeed will come to an end even if by it’s own demise as you point out. Hopefully we can end it somewhat amicably instead of catastrophically for the nation and the people.
Your court case (link in your comment) is very interesting. Since it is filed “under seal and in camera” it cannot be viewed via public records. How is it progressing?
Congress can pay for federal expenses with funds collected from taxes, but Congress is never satisfied with this pittance. The desire to buy votes and solicit campaign contributions from special interest groups induces congress-critters to spend more. This is identified as deficit spending. To create this book entry money requires the assistance of the Federal Reserve.
Congress will give the Fed a Treasury security (bill, bond, or note) and the Federal Reserve Bank of New York (FRBNY) will accept the document as an asset. Voila !! Fiat money has just been created for Congress to spend.
The public sees the government spend the money and watches the National Debt increase. Nobody watches the one trillion dollars in T-securities that are currently received by the FRBNY annually for deficit spending.
The Fed and the government (cameo appearance) jointly auction about $7 trillion in T-securities to roll over previously issued securities. The deficit spending securities are added as a percentage to the roll-over securities for a total of approximately $8 trillion.
The FRBNY receives the bulk of receipts and has exclusive control of disbursements of the auction accounts. Ref. 31 CFR 375.3. These accounts have never been publicly audited nor are they reported to Congress as required by law.
Money from the roll-over sales are credited to the government. The money is disbursed to the Primary Dealers who are tasked with collecting the called or maturing T-securities. The New York City Primary Dealers collect the bulk of redeemed securities. Since the money from the auction for roll-over is credited to the government, there is no increase in the National Debt nor is there any increase in the amount of money in circulation (inflation).
Money from the deficit spending sales cannot be credited to the government. If it were otherwise, there would be no increase in the National Debt nor would there be any increase in the amount of money in circulation (inflation).
Where does the money go ?? We have never been told. We can only assume it is merged with the payments to the Primary Dealers for their expenses in collecting roll-over securities.
Is that profit for the Primary Dealers ? Well, we are told deficit spending money is received as a “loan” from the Fed. But if any consideration had been received for the loan, there would not be an increase in the amount of money in circulation (inflation) nor would there be any increase in the National Debt. Besides, there is no documentation that any value (i.e., consideration) has been received from any entity. It appears to be clear profit.
The Fed will then establish a line of credit for the government (a book entry) in the same amount and list the liability as online pawn shops in Maryland Federal Reserve Notes
Does profit of the Fed belong to the government ?? Yes, it does. The 1913 charter legislation specifically stated the profit of the Fed belongs to the government.