---

How the Central Bank Destroys the U.S. Economy Because Money Has no Value and Prices Increase While Wages Remain Constant Which is Exactly What They Want to Happen to You.

---

It is crucial we all learn how the central bank works.

The chief architect of our current Federal Reserve System, which was created by the Federal Reserve Act, was Senator Nelson Aldrich, who headed up the National Monetary Commission at the turn of the century.

Congress, after the money Panic of 1907, wanted to come up with a way to stabilize the nation’s currencies and chose Aldrich, both a Senator and a financial expert.

Later, however, when Aldrich proposed a central banking system, his opposition raised suspicions of his motive due to his ties with bankers J.P. Morgan and his daughter’s marriage to John D. Rockefeller.

This proved to be telling, as the new central bank system (called The Federal Reserve System) would become an almost entirely private organization, not a governmental one.

Republicans of the time supported Aldrich’s plan, but Democrats were not so keen and insisted on a nationally-owned reserve system in order to remove Wall Street’s control over American currency.

How the central bank works begins with the original Federal Reserve System, which was a compromise between the two ideas, though (it later turns out), heavily favoring private interests over government’s.

Through revisions in charter and powers, the Federal Reserve gained new powers until, in 1951, it was finally severed from the Department of the Treasury completely and allowed to print currency independently, gaining complete control over monetary policy.

New policies, during President Carter’s administration, tightened the money supply in an effort to stifle the hyper-inflation going on up to that point.

The dollar was stabilized and the full powers of the Fed became apparent and so, shortly after, the last of the oversight on the Fed was removed when, in 1987, the Reserve stopped measuring aggregates (guidelines of money supply/demand and markets).

How the central bank works also ties into the original purpose of the Federal Reserve was to afford a means of creating an elastic currency (one that can “flex” with economic needs), supervise banking, and primarily to stabilize inflation and the economy.

Since its inception, the Fed has ballooned the currency, over-supervised (and controlled) banking, and sent inflation skyrocketing.

Since 1951, despite Carter’s best efforts, the purchasing power of the U.S. Dollar has dropped by 99%.

---

---

How the Central Bank Works

A central bank, like the Federal Reserve, works as a lender to other banks; a sort of centralized clearinghouse for money and loans.

In addition, it also functions as the government’s bank, processing deposits and debits that the federal government transacts.

The United States Treasury creates physical money, which the Federal Reserve then distributes to member banks nationally.

This centralized control of trillions upon trillions of dollars gives a lot of power to a few individuals in charge of the Fed.

How the central bank works in the Federal Reserve’s case is somewhat unique.

The central bank authority has seven Governors serving staggered 14-year terms and all appointed by the President with confirmation by the Senate. The head of these seven is the Chairman.

The Fed has 12 branch (or “regional”) offices nationally, which each have 25 branches of their own.

All are independently incorporated and have 9-member boards, six elected by member (private) banks and the other 3 designated by the Fed’s Board of Governors.

The private banks hold stock in the branch to which they are a member.

---

What Ties this Together?

Remember earlier, when the mention of Aldrich’s ties to J.P. Morgan and John D. Rockefeller was given?

Well, in 2008, primary dealers to the Federal Reserve Bank included J.P. Morgan Securities, Inc., which is owned by J.P. Morgan Chase, which is owned by the Chase Manhattan Corporation, which is owned/controlled by the Rockefeller family.

It’s also worth noting that Bank of America Securities, owned by the Rothschild family, is also on that list.

---

Central Bank Woes

Opponents of central banking usually attack how the central bank works directly.

“If the American People allow private banks to control the issuance of their currency, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the People of all their Property until their Children will wake up homeless on the continent their Father’s conquered.”

– Thomas Jefferson.

The lack of accountability for the Federal Reserve is also often given as a reason for its often counter-intuitive answers to economic woes.

Excessive secrecy and a lack of control over the Fed’s actions are the final reasons most often given as argument for the Fed’s abolishment.

The largest reason the Fed needs to be removed is its total inability to control inflation, with one small exception in its history, and apparent lack of intention to ever do so.

Inflationary trends are the driving force behind our failing economy and the Fed appears to have no plans to alleviate it.

The Fed, in essence, is a mafia of bankers determined to control the mass citizenry by enslavement through debt, unfathomable power and manipulation of a system that the masses are out of touch with.

The first step to freedom is an awakening to these facts.

---

---