History of Money Part VI

This week I will continue on with the history of money. After Nathan Rothschild made his personal fortune in one afternoon as result of Napoleon losing at the battle of Waterloo, the Rothschild family wanted to spread their dominance of the banking world from Europe to America, again. The 19th century became known as the age of the Rothschild's when it was estimated they controlled half of the world's wealth.

They had made two attempts already at getting control of the American economy; however, the founding fathers of our country were aware of the devastation that fractional reserve banking brings to the country controlled by it. The first two central banks chartered in the United States were eventually shut down, but not until prices rose and debt skyrocketed.

After the war of 1812 ended, Congress chartered the Second Bank of the United States in 1816. This war was meant to bring the new nation back to colonial status, but the British did not prevail and the new nation was finding its own feet. No doubt reeling from debt created by the war, the US government needed money to operate. So the Rothschilds tried a different tack. This Second Bank of the United States was also a privately owned bank, rumored to be backed by the Rothshilds. It was at this time that they began to name corporations and other entities by other names, hiding their control behind corporate veils.

The Second Bank continued the trend its predecessors started. Loans flow that were created out of thin air by the magic of fractional reserve banking. Prices rose, inflation reigned, and debt spiraled upward. When the charter came up for renewal in 1832, Andrew Jackson was president. Congress renewed the charter, but Jackson vetoed the renewal. His response gives us insight on the effect of the bank, "It is not our own citizens only who are to receive the bounty of our government. More than eight millions of the stock of this bank are held by foreigners... is there no danger to our liberty and independence in a bank that in its nature has so little to bind it to our country? ... Controlling our currency, receiving our public moneys, and holding thousands of our citizens in dependence... would be more formidable and dangerous than a military power of the enemy. If government would confine itself to equal protection, and as Heaven does its rains, shower its favour alike on the high and the low, the rich and the poor, it would be an unqualified blessing. In the act before me there seems to be a wide and unnecessary departure from these just principles."

Jackson ordered the withdrawal of government deposits from the Second Bank and had them deposited into safe banks. Nicholas Biddle, head of the bank, openly threatened to cause a depression if the bank was not rechartered. His quote, "Nothing but widespread suffering will have an effect on Congress." He did just that by calling in existing loans and refusing to issue new loans, causing a massive depression in 1836. Jackson held his ground and the charter ended in 1836, shutting down the third central bank of the United States.

Jackson said two famous quotes, "The Bank is trying to kill me - but I will kill it!" and later "If the American people only understood the rank injustice of our money and banking system - there would be a revolution before morning..."

When asked later what he felt was the greatest achievement of his career, Jackson replied without hesitation, "I killed the bank!"

The Rothschilds would not accept defeat for long. They used a familiar tactic again - war. Stay tuned for the next chapter ...

Do not charge your brother interest, whether on money or food or anything else that may earn interest. You may charge a foreigner interest, but not a brother Israelite, so that the LORD your God may bless you in everything you put your hand to in the land you are entering to possess. Deuteronomy 23:19-20 (NIV)

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Email: DeltaInspire@panama-vo.com