A lot of people are very upset about the rapidly increasing U.S. national debt these days and they are demanding a solution. What they don't realize is that there simply is not a solution under the current U.S. financial system. It is now mathematically impossible for the U.S. government to pay off the U.S. national debt. You see, the truth is that the U.S. government now owes more dollars than actually exist. If the U.S. government went out today and took every single penny from every single American bank, business and taxpayer, they still would not be able to pay off the national debt. And if they did that, obviously American society would stop functioning because nobody would have any money to buy or sell anything.
And the U.S. government would still be massively in debt.
So why doesn't the U.S. government just fire up the printing presses and print a bunch of money to pay off the debt?
Well, for one very simple reason.
That is not the way our system works.
You see, for more dollars to enter the system, the U.S. government has to go into more debt.
The U.S. government does not issue U.S. currency - the Federal Reserve does.
The Federal Reserve is a private bank owned and operated for profit by a very powerful group of elite international bankers.
If you will pull a dollar bill out and take a look at it, you will notice that it says "Federal Reserve Note" at the top.
It belongs to the Federal Reserve.
The U.S. government cannot simply go out and create new money whenever it wants under our current system.
Instead, it must get it from the Federal Reserve.
So, when the U.S. government needs to borrow more money (which happens a lot these days) it goes over to the Federal Reserve and asks them for some more green pieces of paper called Federal Reserve Notes.
The Federal Reserve swaps these green pieces of paper for pink pieces of paper called U.S. Treasury bonds. The Federal Reserve either sells these U.S. Treasury bonds or they keep the bonds for themselves (which happens a lot these days).
So that is how the U.S. government gets more green pieces of paper called "U.S. dollars" to put into circulation. But by doing so, they get themselves into even more debt which they will owe even more interest on.
So every time the U.S. government does this, the national debt gets even bigger and the interest on that debt gets even bigger.
Are you starting to get the picture?
As you read this, the U.S. national debt is approximately 12 trillion dollars, although it is going up so rapidly that it is really hard to pin down an exact figure.
So how much money actually exists in the United States today?
Well, there are several ways to measure this.
The "M0" money supply is the total of all physical bills and currency, plus the money on hand in bank vaults and all of the deposits those banks have at reserve banks. As of mid-2009, the Federal Reserve said that this amount was about 908 billion dollars.
The "M1" money supply includes all of the currency in the "M0" money supply, along with all of the money held in checking accounts and other checkable accounts at banks, as well as all money contained in travelers' checks. According to the Federal Reserve, this totaled approximately 1.7 trillion dollars in December 2009, but not all of this money actually "exists" as we will see in a moment.
The "M2" money supply includes everything in the "M1" money supply plus most other savings accounts, money market accounts, retail money market mutual funds, and small denomination time deposits (certificates of deposit of under $100,000). According to the Federal Reserve, this totaled approximately 8.5 trillion dollars in December 2009, but once again, not all of this money actually "exists" as we will see in a moment.
The "M3" money supply includes everything in the "M2" money supply plus all other CDs (large time deposits and institutional money market mutual fund balances), deposits of eurodollars and repurchase agreements. The Federal Reserve does not keep track of M3 anymore, but according to ShadowStats.com it is currently somewhere in the neighborhood of 14 trillion dollars. But again, not all of this "money" actually "exists" either.
So why doesn't it exist?
It is because our financial system is based on something called fractional reserve banking.
When you go over to your local bank and deposit $100, they do not keep your $100 in the bank. Instead, they keep only a small fraction of your money there at the bank and they lend out the rest to someone else. Then, if that person deposits the money that was just borrowed at the same bank, that bank can loan out most of that money once again. In this way, the amount of "money" quickly gets multiplied. But in reality, only $100 actually exists. The system works because we do not all run down to the bank and demand all of our money at the same time.
According to the New York Federal Reserve Bank, fractional reserve banking can be explained this way....
"If the reserve requirement is 10%, for example, a bank that receives a $100 deposit may lend out $90 of that deposit. If the borrower then writes a check to someone who deposits the $90, the bank receiving that deposit can lend out $81. As the process continues, the banking system can expand the initial deposit of $100 into a maximum of $1,000 of money ($100+$90+81+$72.90+...=$1,000)."
So much of the "money" out there today is basically made up out of thin air.
In fact, most banks have no reserve requirements at all on savings deposits, CDs and certain kinds of money market accounts. Primarily, reserve requirements apply only to "transactions deposits" – essentially checking accounts.
The truth is that banks are freer today to dramatically "multiply" the amounts deposited with them than ever before. But all of this "multiplied" money is only on paper - it doesn't actually exist.
The point is that the broadest measures of the money supply (M2 and M3) vastly overstate how much "real money" actually exists in the system.
So if the U.S. government went out today and demanded every single dollar from all banks, businesses and individuals in the United States it would not be able to collect 14 trillion dollars (M3) or even 8.5 trillion dollars (M2) because those amounts are based on fractional reserve banking.
So the bottom line is this....
#1) If all money owned by all American banks, businesses and individuals was gathered up today and sent to the U.S. government, there would not be enough to pay off the U.S. national debt.
#2) The only way to create more money is to go into even more debt which makes the problem even worse.
You see, this is what the whole Federal Reserve System was designed to do. It was designed to slowly drain the massive wealth of the American people and transfer it to the elite international bankers.
It is a game that is designed so that the U.S. government cannot win. As soon as they create more money by borrowing it, the U.S. government owes more than what was created because of interest.
If you owe more money than ever was created you can never pay it back.
That means perpetual debt for as long as the system exists.
It is a system designed to force the U.S. government into ever-increasing amounts of debt because there is no escape.
We could solve this problem by shutting down the Federal Reserve and restoring the power to issue U.S. currency to the U.S. Congress (which is what the U.S. Constitution calls for). But the politicians in Washington D.C. are not about to do that.
So unless you are willing to fundamentally change the current system, you might as well quit complaining about the U.S. national debt because it is now mathematically impossible to pay it off.
***UPDATE***
It has been suggested that the same dollar can be used to pay off debt over and over - this is theoretically true as long as the dollar remains in the system.
For example, if the U.S. government gives China a dollar to pay off a debt, there is a good chance that the U.S. government will be able to acquire that dollar again and use it to pay off another debt.
However, this is not true when debt is retired with the Federal Reserve. In that case, money is actually removed from the system. In fact, because of the "money multiplier", when debt is retired with the Federal Reserve it can remove ten times that amount of money (and actually more, but let's not get too technical) from the system.
You see, fractional reserve banking works both ways. When $100 is introduced into the system, it can theoretically create $1000 as the example in the article above demonstrates. However, when that $100 is removed, it can have the opposite impact.
And considering the fact that the Federal Reserve "purchased" the vast majority of new U.S. government debt last year, we have got a real mess on our hands.
Even if a way could be figured out how to pay off all the debt we owe to foreign nations (such as China, Japan, etc.) it would still be mathematically impossible to pay off the debt that we owe to the Federal Reserve which is exploding so fast that it is hard to even keep track of.
Of course we could repudiate that debt and shut down the Federal Reserve, but very few in Washington D.C. have any interest in doing that.
It has also been suggested that instead of just using dollars to pay off the U.S. national debt, we could use the assets of the U.S. government to pay it off.
That is rather extreme, but let us consider that for a moment.
That total value of all physical assets in the United States, both publicly and privately owned, is somewhere in the neighborhood of 45 to 50 trillion dollars. Of course the idea of the U.S. government "owning" every single asset of the American people is repugnant to our entire way of life, but let's assume that for a moment.
According to the 2008 Financial Report of the United States Government, which is an official United States government report, the total liabilities of the United States government, including future social security and medicare payments that the U.S. government is already committed to pay out, now exceed 65 TRILLION dollars. This amount is more than the entire GDP of the whole world.
In fact, there are other authors who have written that the actual figure for the future liabilities of the U.S. government should be much higher, but let's be conservative and go with 65 trillion for now.
So, if the U.S. government took control of all physical assets in the United States and sold them off, it could not even make enough money to pay for everything that the U.S. government is already on the hook for.
Ouch.
If you have not read the 2008 Financial Report of the United States Government, you really should. Actually the 2009 report should be available very soon if it isn't already. If anyone knows if it is available, please let us know.
The truth is that the U.S. government is in much bigger financial trouble than we have been led to believe.
For example, according to the report (which remember is an official U.S. government report) the real U.S. budget deficit for 2008 was not 455 billion dollars. It was actually 5.1 trillion dollars.
So why the difference?
The CBO's 455 billion figure is based on cash accounting, while the 5.1 trillion figure in the 2008 Financial Report of the United States Government is based on GAAP accounting. GAAP accounting is what is used by all the major firms on Wall Street and it is regarded as a much more accurate reflection of financial reality.
So needless to say, the United States is in a financial mess of unprecedented magnitude.
So what should we do? Does anyone have any suggestions?
***UPDATE 2***
We have received a lot of great comments on this article. Trying to understand the U.S. financial system (even after studying it for years) can be very difficult at times. In fact, it can almost seem like playing 3 dimensional chess.
Several readers have correctly pointed out that when the U.S. money supply is expanded by the Federal Reserve, the interest that is to be paid on that new debt is not created.
So where does the money to pay that interest come from? Well, eventually the money supply has to be expanded some more. But that creates even more debt.
That brings us to the next point.
Several readers have insisted that the Federal Reserve is not privately owned and that since it returns "most" of the profits it makes to the U.S. government that we should not be concerned about the debt owed to it.
The truth is that what you have with the Federal Reserve is layers of ownership. The following was originally posted on the Federal Reserve's website....
"The twelve regional Federal Reserve Banks, which were established by Congress as the operating arms of the nation’s central banking system, are organized much like private corporations – possibly leading to some confusion about "ownership." For example, the Reserve Banks issue shares of stock to member banks. However, owning Reserve Bank stock is quite different from owning stock in a private company. The Reserve Banks are not operated for profit, and ownership of a certain amount of stock is, by law, a condition of membership in the System. The stock may not be sold, traded, or pledged as security for a loan; dividends are, by law, 6 percent per year."
So Federal Reserve "stock" is owned by member banks. So who owns the member banks? Well, when you sift through additional layers of ownership, you will ultimately find that people like the Rothschilds, the Rockefellers and the Queen of England have very large ownership interests in the big banks. But there are so many layers of ownership that they are able to disguise themselves well.
You see, these people are not stupid. They did not become the richest people in the world by being morons. It was the banking elite of the world who designed the Federal Reserve and it is the banking elite of the world who benefit the most from the Federal Reserve today. In the article above when we described the Federal Reserve as "a private bank owned and operated for profit by a very powerful group of elite international bankers" we may have been oversimplifying things a bit, but it is the essence of what is going on.
In an excellent article that she did on the Federal Reserve, Ellen Brown described a number of the ways that the Federal Reserve makes money for those who own it....
The interest on bonds acquired with its newly-issued Federal Reserve Notes pays the Fed’s operating expenses plus a guaranteed 6% return to its banker shareholders. A mere 6% a year may not be considered a profit in the world of Wall Street high finance, but most businesses that manage to cover all their expenses and give their shareholders a guaranteed 6% return are considered "for profit" corporations.
In addition to this guaranteed 6%, the banks will now be getting interest from the taxpayers on their "reserves." The basic reserve requirement set by the Federal Reserve is 10%. The website of the Federal Reserve Bank of New York explains that as money is redeposited and relent throughout the banking system, this 10% held in "reserve" can be fanned into ten times that sum in loans; that is, $10,000 in reserves becomes $100,000 in loans. Federal Reserve Statistical Release H.8 puts the total "loans and leases in bank credit" as of September 24, 2008 at $7,049 billion. Ten percent of that is $700 billion. That means we the taxpayers will be paying interest to the banks on at least $700 billion annually – this so that the banks can retain the reserves to accumulate interest on ten times that sum in loans.
The banks earn these returns from the taxpayers for the privilege of having the banks’ interests protected by an all-powerful independent private central bank, even when those interests may be opposed to the taxpayers’ -- for example, when the banks use their special status as private money creators to fund speculative derivative schemes that threaten to collapse the U.S. economy. Among other special benefits, banks and other financial institutions (but not other corporations) can borrow at the low Fed funds rate of about 2%. They can then turn around and put this money into 30-year Treasury bonds at 4.5%, earning an immediate 2.5% from the taxpayers, just by virtue of their position as favored banks. A long list of banks (but not other corporations) is also now protected from the short selling that can crash the price of other stocks.
The reality is that there are a lot of ways that the Federal Reserve is a money-making tool. Yes, they do return "some" of their profits to the U.S. government each year. But the Federal Reserve is NOT a government agency and it DOES make profits.
So just how much money is made over there? The truth is that we have to rely on what the Federal Reserve tells us, because they have never been subjected to a comprehensive audit by the U.S. government.
Ever.
Right now there is legislation going through Congress that would change that, and the Federal Reserve is fighting it tooth and nail. They are warning that such an audit could cause a financial disaster.
What are they so afraid of?
Are they afraid that we might get to peek inside and see what they have been up to all these years?
If you are a history buff, then you probably know that debates about a "central bank" go all the way back to the Founding Fathers.
The European banking elite have always been determined to control our currency, and that is exactly what is happening today.
Ever since the Federal Reserve was created, there have been members of the U.S. Congress that have been trying to warn the American people about the insidious nature of this institution.
Just check out what the Honorable Louis McFadden, Chairman of the House Banking and Currency Committee had to say all the way back in the 1930s....
"Some people think that the Federal Reserve Banks are United States Government institutions. They are private monopolies which prey upon the people of these United States for the benefit of themselves and their foreign customers; foreign and domestic speculators and swindlers; and rich and predatory money lenders."
The Federal Reserve is not the solution and it never has been.
The Federal Reserve is the problem.
Any thoughts?
Dear all,
I still don’t get what will happen to population of USA if the natioanl debt will increas to the level, on which nobody would lend money to US. Does it mean that USA must rely on its own produced goods then (like USSR back then)? And will it lead to hunger or poverty ?
Great Comments from Everyone. The Federal Reserve is a private Corporation….and pays no tax on their profits….think about it. Why not tax the profits made by the Federal Reserve?
[...] is now Mathematically Impossible to Pay Off the U.S. National Debt.” Posted February 4, 2010. http://theeconomiccollapseblog.com/archives/it-is-now-mathematically-impossible-to-pay-off-the-u-s-n... [...]
“Nowhere does Yahweh’s law provide for government borrowing, and it limits private debts to seven years (Deuteronomy 15:1-11), resulting in the following blessings:
‘At the end of every seven years thou shalt make a release. …Every creditor that lendeth ought unto his neighbour shall release it…. Only if thou carefully hearken unto the voice of YHWH thy God, to observe to do all these commandments which I command this day. For YHWH thy God blesseth thee, as he promised thee: and thou shalt lend unto many nations, but thou shalt not borrow; and thou shalt reign over many nations, but they shall not reign over thee.’ (Deuteronomy 15:1-6)
“In ‘The Nature of the American System,’ R.J. Rushdoony described the illusion of a balanced budget under the United States Constitutional government:
‘…although politicians may promise a balanced budget, they are more likely to gain the power they desire by increasing debt, for in a debt-free country, the citizenry is strong and the civil government is limited. In a debt-ridden country, taxes increase, liberties decrease, and the civil government, increasingly less responsive to the will of the citizenry, increases its own power over the people even as it vastly enlarges the power of the invisible government over all.’”
For more, see Article 1: Legislative Usurpation
The article gave the solution at least twice — abolish the Federal Reserve and restore the ability to print money to Congress, per the Constitution. In the same sentences they also gave the reason why this is not happening — Congress is unwilling to do so. Yes, a few presidents who tried to restore the ability to create money to the government all wound up dead. However, it is a lot easier for the bankers to kill off one president than 535 Congressmen. So the real solution to the national debt is to replace 535 unwilling incumbent Congressmen with 535 who will follow the Constitution and abolish the Federal Reserve. The best way of doing this is to nominate Constitutional citizen candidates who will challenge the career politician incumbents in the primaries. An organization exists to do exactly this — visit http://goooh.com and sign up to become part of the solution.
Maybe I am not intelligent enough to understand all that the author described in his article. I can, however, do simple arithmetic and, if we owe (i.e., the National Debt) $15 Trillion, and there are 309 Million of us, that comes to $48,543.69 each. So, theoretically, Congress could assess a special, one-time tax of that amount on every single one of us, and, voila, the problem is solved. Of course, most of us would not be able to come up with $48K and I do not know how to get blood from a turnip. I will work on that problem next week. Ironically, one way to “help” would be to ENCOURAGE illegal immigration, since the more people, the less each of us would “owe”. So, open up the borders and “y’all come”.
Who owns controlling interest in the Federal Reserve?
1. Rothschild Banks of London and Berlin
2. Lazard Brothers Bank of Paris
3. Israel Moses Sieff Banks of Italy
4. Warburg Bank of Hamburg and Amsterdam
5. Lehman Brothers Bank of New York
6. Kuhn Loeb Bank of New York
7. Chase Manhattan Bank of New York
8. Goldman Sachs Bank of New York.
Sounds like a lot of Jewish names on your list. I’m sure that’s a coincidence, of course.
Does it matter who they are? The point is that the institution as a whole must be abolished.
Lay off the David Duke and you’ll be just fine…
The Rothschilds were the ones who financed the First World War, so devastating in death and destruction but ever so profitable to the winners, Britain and France. Their being blamed by the Germans for the loss of the war and ensuing economic disaster was completely justified. They played a major role in the criminal reparations forced upon Germany, providing a major issue for the rise of the Nazis. We have our own version of this crime family-the federal reserve. It outlived its usefulness long ago and needs to be put out of our misery!
Seems to me if we abolish Social Security and Medicare the government would be obligated to repay me and millions of other people the money we have all paid into those systems, right? I wonder what that would cost…
This article is a mix of fact, fiction, and conspiracy theory. Yes, the national debt is tremendous and it is impossible to pay it off in the short-term, as that would require the government to borrow money, leading to inflation. In almost every case, government borrowing is bad. It leads to inflation and growing debt makes debt maintenance a larger and larger part of the budget. The rest of the article is a bit wacky. It says that the Federal Reserve Bank is owned and operated by elite international bankers for profit. The Fed is owned by its member banks and they enjoy a 6% return on their stock, which can’t be sold or traded or used as security for borrowing. In return, the member banks must keep a mandated fraction of their deposits with the Fed. Yes, these banks might include foreign ownership, but they don’t really exercise any power. The article equates increases in the money supply due to government borrowing (which is bad) with increases in the money supply due to economic growth (which is good). We certainly would be in bad shape if we were operating with the same money supply we did a century ago. The insanity of the article can be summarized in this passage, “You see, this is what the whole Federal Reserve System was designed to do. It was designed to slowly drain the massive wealth of the American people and transfer it to the elite international bankers.” The Fed has fueled economic growth in this country. Blaming the Fed for government spending is silly. Government borrowing transfers wealth to foreign entities, not the Fed.
The Bureau of Engraving prints the money, not the Federal Reserve. The Fed is owned by private banks, here is a link to that fact. http://www.factcheck.org/2008/03/federal-reserve-bank-ownership/
Half the debt is owed to ourselves so let’s not worry about that part. Plus if you got the debt back down to half of GDP, no-one would be concerned. Easy to do if you really wanted to. Cut Govt spending across the board by 8% a year. Every program treated the same so there are no arguments (including Congressional salaries and benefits).
In 5 to 6 years you would have a balanced budget at which point you do not have to cut anymore, you just freeze it. At the same time a sales tax is introduced at 2% on every single transaction in the country. No exceptions. If it’s part of GDP, it counts.
All proceeds go to pay down the debt.In less than a generation you would pay off half the debt or 7.5 trillion dollars. Sales tax is retired at that point.
Problem. Once you have a tax, you never get rid of it.
ya’ll crazy.
Spending will not be cut, as politicians see this as cutting their own political throats. In my view, the system will just have to collapse. If only they weren’t so corrupt, and let the failures fail so that successful businesses could take them over and get rid of the corrupt ones, we would not be in this mess. But the corrupt ones buy the Presidency for the successful candidate. There is no solution to corruption. And no where to find an honest candidate, given our system.
I don’t get why the US Government can’t collect $20 from the 150,000,000 people that file taxes. That would be $3,000,000,000. I’m thinking that could take a nice chunk out of the National Debt. Who’s really going to miss $20.
$3,000,000,000??? Wow, 3 whole billions. That is one quarter of one tenth of one percent or .025%. Barely a scratch. If we did that every year for 4000 years that would just do it, assuming no new debt… great plan.
Actually there were four presidents. Ronald Reagan attempted to establish the Gold Commission, for that, he was shot. He didn’t support the Gold Commission again.
The Central Bank will not go quietly. The massive amount of damage and ruination these bankers can inflict is beyond belief, but it has to be done. The money supply cannot be increased further without collapsing the dollar. Not to worry, the Bankers are ready to roll out the world currency. If we think we have problems now…
There aren’t 150 million people in the US that pay taxes. You think they will pay 20$. Remember, 10% of the people pay 90% of the taxes.
Mathematically impossible?
Something is wrong with that. Hey man, the household debt today is within a trillion dollars or so of the national debt; I’d say that every one of whom financed that debt expects to be paid back.
So why should I who still hold some of the national debt in US Savings Bonds not expect to be paid back?
Mathematically impossible is an absurb position to take.
I ONLY READ THE FIRST FEW PAGES BEFORE THIS ARTICLE BEGAN TO LOOK A PROPAGANDA PIECE FROM PEOPLE OPPOSED TO DEBT. USUALLY DEBT IS SEEN IN A RELATION OF TIME TO INCOME IN ORDER TO BE UNDERSTOOD RATIONALLY. I MIGHT BUY A $1000,000.00 HOUSE ON AN INCOME OF ONLY $10,00.00 A YEAR. BUT THE IDEA IS THAT GIVEN TIME I WILL BE ABLE TO REPAY THE DEBT. DEBT MUST BE SEEN OVER TIME, NOT AS A RATIO OF MY CURRENT DEFICIT SEEN IN THE CONTEXT OF MY CURRENT NET WORTH.
ROBERT BROSSARD
It’s important to read the whole message
What he says is that debt cannot just be printed away in our system, because the act of doing so creates more debt with interest. also that due to fractional reserve banking every amount paid back means times 10 taken out of the economy. Okay I like your spirit, just be sure to read the whole thing 
America is absolutely f****d, I’m so glad my government (British) cut spending straight away the only problem is that when America goes bust the whole global economy will come to a stand still and this is not right. American people need to rise up against their totally incompetent politicians, I still can’t believe no prosecutions have been bought against the people who stated the2008 downturn. And still the yanks haven’t apologised to the world for that. What we will see over the coming years is america losing it’s AAA rating and pushing debt higher we will see America losing it’s position as biggest economy on earth and we will witness the meteoric rise of Germany. I hate to admit it but the Germans are clever toerags. The allies bought them to their knees twice in the last century yet german engineering is the best around german exports are second only to china does anyone know just how enormous the german export Market is??? me being a Brit it makes my blood boil just how strong they are news out this week about german unemployment reaching a 20 year LOW! While countries all over Europe are still trying to steadily grow germany are as strong as a wind turbine. This would not have been the case if Britain wasn’t forced by AMERICA to give up our empire. The yanks have shot themselves in the foot and I’m afraid it’s going to cost the global economy dearly yet again. You can start by bringing the CEOs of Lehman bros like Richard fuld, Ben bernanke
And Glen Hubbard who all profited from your last demise. Start a political party that is not motivated by greed, rally the people aswell as educate them let them know how they are getting skanked also bring prosections against the men named especially mr.fuld!!!! And also tell that daft president of yours to grow some balls like our prime minister david Cameron who has grown a pair and stood up to the eurocrats.
Obama is a piece of garbage who hates America and is enjoying it’s collapse. We have the Tea party but no viable candidates. Ron Paul is tryng to get on the Republican ticket but the media HATES him and so does his party. The only reason he is still in it is because of his grass roots supporters. We are hoping to pull off a miracle. But that is only one branch. The congress is still crap…
You guys have a few pieces of pieces from a massive, massive puzzle.
The Rothschild and 13 bloodlines have chiseled history in their own images (much as they are continuing to do our futures).
So here goes, a few pointers.
1. yes the fed is owned by bankers, well run by bankers from those banks (good eh) Rothschild created the fed and the first American bank and has (allegedly) killed of every American President that has stood in his way and mentioned “gold or silver standard” (but then who says gold or silver is a precious metal – (i mean you cannot eat it!).
2. Britain is FAR from out of the woods – guess who owns the Bank of England – it’s not the public!
and guess where ALL the money is owed? (someone with assets of $300 Trillion) Rothschild.
- so why don’t we stand up to him? “they” own the police, the armies the governments, the politicians… basically society!
3. Three countries without a Rothschild central bank (for now) — wait for it… SYRIA, IRAN and CHINA…
4. These families are responsible for all wars, WWI, WWII and WWIII, they have secret meetings in Bildersberg and Bohimien Grove to facilitate this dastardly plan….
don’t believe me? research, the one thing they fear is the internet, it is all out there, the real history, who REALLY owns Israel (and it is the Palestinians.. part of Persia you know)
Time to wake up and smell the coffee beans, i for one am fed up of being a slave for the rich.
P.s – sorry about the name, do you really think i am daft enough to write this and use my real name… RIK CLAY – YouTube.. do it!
The Best way I sense in resolving this issue, is (a) to levy a Surcharge for every Payment made to Federal Reserve say 1%.
(b) tax all the Shareholders for any transaction in transfer of funds @ 1%.
(c) Put a clause that no funds of Federal Reserve can be transferred out of the country, and in doing so twice that amount will be reduced from the principal debt.
(d) Government bonds purchased by the Federal Reserve as Institutional buyers will be given 1% lower interest than Individual/Corporate buyers.
(e) Keep track of all investments by these so-called Federal Reserve Shareholders Cash flow and levy additional surcharge of 1% on those transactions.
(f) put in a legislation that for every 500,000$ of money borrowed, 1 individual will be additionally employed by Federal Reserve with Salary not less than 75000$ p.a.. This employee will start paying tax of approx. 25000$.
(g) Many more points which cannot be listed altogether in this post.
These will start draining money out of the Federal Reserve and back into the economy. And in a span of approx. 15-20 years, Federal Reserve debt can be nullified.
Your views will be highly appreciated.
Regards/Russel
Good article. Here is some feedback. Too much emphasis on the Federal Reserve. The reality is the vast majority of money is created by the lending process of private commercial banks. When money is loaned, new (checkbook) money is created, when the loans are paid back, the (checkbook) money is destroyed. In the meantime the money to pay the interest is never created. Theis means we will always be in debt and there is no way to every pay back the debt and there will always be losers in the economy through no fault of their own. We will never get out of debt in this system because all money is debt. If no one (government, business or individuals) borrows any money, there will be no money to carry on commerce. The only solution to the problem is to somehow create some debt free and interest free money. Congress could easily do that but not only do they seem unwilling to do that they have shown themselves to not even understand the problem much less understand a solution. The good news is that we do have a solution that will work at the State level. In Minnesota we have introduced a Bill (Senate File 65 and House File 610) that will create money debt free and interest free through State Chartered Banks to fund transportation projects in the State of Minnesota.