History of Money Part X

With the creation of the newly formed Federal Reserve, the Rothschilds and their associates now finally had control of the American economy. Here is a summary on how the privately owned Federal Reserve creates money out of thin air by the magical effects of fractional reserve banking.

1. The purchase of bonds is approved by the Federal Open Market Committee.

2. The Fed buys the bonds which it pays for with electronic credits made to the sellers bank. These credits are based on nothing.

3. The receiving banks then use these credits as reserves from which they can loan out ten times the amount.

To reduce the amount of money in the economy they simply reverse the process.

The Fed sells bonds to the public and money is drawn from the purchasers bank to pay for them.

Each million withdrawn lowers the banks ability to loan by 10 million; or the reverse, each million deposited raises the banks ability to loan by 10 million.

In this way, the Federal Reserve has control of the US money supply, just as each country's central bank in Europe and elsewhere does in the same way. The bankers, through fractional reserve banking, have been delegated the right to create 90% of the money supply. This control makes a mockery of any elected government. It places so called elected leaders behind a toy steering wheel, like the plastic ones, set up to amuse small children.

So with the world as their game board, the Rothschilds wanted to put their pieces in play. With respect to World War I or “the War to End All Wars”, it was more than a case of too many bullies on one block. What happens when you want to get rid of the bad element of rival groups? – you instigate a fight and let them eliminate each other. However, the people who ultimately benefit are the ones supplying the weapons and the banks loaning money to the fighting groups. The Central Powers, led by the German, Austro-Hungarian, and Ottoman empires, were imperialists looking for European control. Feed the ego. The Entente Powers, led by Britain, France, and Russia, were drawn into the war based on international alliances once Serbia was in trouble.

So, the Germans borrowed money from the German Rothschilds bank, the British from the British Rothschilds bank, and the French from the French Rothschilds bank. American super banker J. P. Morgan was amongst other things also a sales agent for war materials. Six months into the war, his spending of $10 million per day made him the largest consumer on the planet.

To get back to the point of who benefits, because of the many alliances, there were also trade barriers among the empires. The international bankers backed by the Rothschilds wanted more open trade to facilitate more financial transactions. After two years of fighting and most of Europe being destroyed, the US finally was drawn in after a German U-boat sank the British passenger liner Lusitania with 128 Americans aboard. Up to that point, the American public did not want to be involved in a European war. The isolationist mentality was discarded when the loss of life occurred. All you need is a spark around a powder keg to really ignite matters.

Russia dropped out of the World War I because of the Russian revolution in 1917. Russia had spoiled the money changers plan to split America in two during the Civil War, and remained the last major country not to have its own bank. This would not do. During the revolution, the entire Russian Royal Family was killed and Communism began. This uprising, surprisingly, was fueled with British money.

Author Gary Allen explained why capitalist businessmen would finance communism. "If one understands that socialism is not a share-the-wealth program, but is in reality a method to consolidate and control the wealth, then the seeming paradox of super-rich men promoting socialism becomes no paradox at all. Instead, it becomes logical, even the perfect tool of power-seeking megalomaniacs. Communism or more accurately, socialism, is not a movement of the downtrodden masses, but of the economic elite."

With Russia down, the money changers now had control of every major national economy. Like a wolf gathering its pack, there was only one thing left to do and that was to tie everything together on a global basis. The first attempt was the proposal at the Paris Peace Conference after WWI to set up the League of Nations. Old habits die hard, and even what they called 'the war to end all wars' was not enough to convince nations to dissolve their boundaries. The League could not control the aggressive natures of the individuals running countries and was also ineffective at resolving trade disputes. Also, the US never joined, despite being led by President Woodrow Wilson. The first attempt at world government had failed, but it would not be the last.

W. Cleon Skousen wrote in his book 'The Naked Capitalist', "Power from any source tends to create an appetite for additional power... It was almost inevitable that the super-rich would one day aspire to control not only their own wealth, but the wealth of the whole world. To achieve this, they were perfectly willing to feed the ambitions of the power-hungry political conspirators who were committed to the overthrow of all existing governments and the establishments of a central world-wide dictatorship."

This formula would be used over and over again in the next century. Next week, the events leading to WWII and beyond will be covered. Stay tuned ...

This is what the LORD Almighty, the God of Israel, says: 'I will put an iron yoke on the necks of all these nations to make them serve Nebuchadnezzar king of Babylon, and they will serve him. I will even give him control over the wild animals.' Jeremiah 28:14 (NIV)

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Email: DeltaInspire@panama-vo.com