Privatization of money: destructive endemic corruption - reform the private CREDIT system - AMI

Source: American Monetary Institute

Privatization of the money power is an "original sin" of our system

Dear Friends of the American Monetary Institute:

Hopefully you've celebrated this July 4th Independence Day in good style. AMI people went to Chicago's Oak Street Beach. We kept an upbeat attitude, despite the serious problems our nation faces.

We remembered the importance to peoples around the earth, of our forefathers declaring independence from old world tyranny. We inspired a revolution in France. Later, thanks to France's gift, our Statue of Liberty served as a beacon inviting peoples to our shores; including my parents and grand parents from Italy. They achieved the American Dream - owning a home and educating their kids.

Our Constitution and Bill of Rights provided some safeguards and checks and balances that held anti-democratic and anti-human forces at bay, and separated government from religion, the misuse of which had caused so much pain in the old world. But unfortunately, because the founders as a group did not understand the nature of money, they allowed corrupt monetary beliefs and practices of the old world to gain a foothold on our shores, starting with the establishment of the privately owned 1st Bank of the U.S. in 1791 (detailed in Ch. 15 of The Lost Science of Money book). As with all major banking legislation here, fraud was involved.

This privatization of the money power is an "original sin" of our system, from which most of our social problems arise. Though the Constitution expressly forbade the establishment of an Aristocracy here, my neighbor President Martin Van Buren would write “The MONEY POWER (he always capitalized it)... when firmly established, was destined to become the only kind of an Aristocracy that could exist in our political system.” That aristocracy, through concentration of wealth and power and various financial tricks, is in the process of destroying the checks and balances which had offered protection. Witness the recent Supreme Court ruling allowing corporations to finance and thereby control elections.

Economists willingly embraced the pernicious errors allowing the financial establishment to control our nation, by confusing credit for money. WHY? Salaries and position, and tenure:

“What makes all doctrines plain and clear? About two hundred pounds a year. And that which was proved true before, proved false again? Two hundred more.” - Samuel Butler’s Hudibras on Economics said it all.

Clearly, "economics" is a failed profession, with rare and sometimes great individual exceptions. Indeed, Jamie Galbraith in testimony before the Senate Judicial Committee, Subcommittee on Crime, recently wrote: "I write you as a member of a disgraced profession" and he suggested they put the fear of Congress into the financial operators who brought down the world economy. But in general, economists focusing on theoretical, mathematically dominated thinking, ignoring factual results, are unable to make course corrections to public policy. And too many Congressmen, including the financial committees leadership, were too close to the economic wreckers to propose real reform.

The financial "reforms" they are arguing over now do not fundamentally address the main problem - a privatized money system based on using private credit instead of government money. This special privilege always leads to an obscene concentration of wealth, which then can overcome the regulations.

Thus at the recent meeting of G20 countries, they proposed a double-whammy to kick the World's economies while they're down, calling for "fiscal consolidation" and 're-capitalization' of banks. Both would have the effect of putting less money into the economy while taking more money out of the economy - and they're so deluded, they claim to be expecting 'growth' to come from these conditions of monetary drought and deflation. Along with that recurring delusion, we see the ongoing illusion that the 'remedy' for debt-ridden citizens, businesses and governments is to load them up with more debt(!) We say "deluded" as the only other explanation would be that they're deliberately trying to collapse the economies.

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The American Monetary Act (attached) is legislation which fundamentally reforms the private CREDIT system now wrecking our nation, replacing it with a government MONEY system. The act is in the final stages of development. We suggest you especially read through the "Findings" and "Purposes" section again at the beginning of the Act.

Summarizing how the Act achieves its purposes:

The Federal Reserve becomes incorporated into the U.S. Treasury. Banks no longer have the accounting privilege of creating our money supply. All their previously issued credit is converted into U.S. Money through an elegant and gentle accounting change, which has been described as brilliant by a former officer of the NY Fed. The banks are held accountable for this conversion. New money is then introduced by the government spending it into circulation for infrastructure, starting with the $2.2 trillion the engineers tell us is needed to properly maintain our infrastructure over the next 5 years. Infrastructure will include the necessary human infrastructure of health care and education.

Banks are encouraged to continue lending as profit making companies, but are no longer allowed to create our money supply through their loan making activity.

Thus, The American Monetary Act nationalizes the money system, not the banking system. Banking is absolutely not a proper function of government, but providing the nation’s money supply is a key function of government. No one else can do it properly. Talk of nationalizing the banking business may really act like a poison pill or diversion to block real reform. MORE BLOG ARTICLES AND REVIEWS OF CURRENT WORKS AND IDEAS ON MONEY ...



The alternatives: