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between sound money and our current pulp fiction Dollar, or…why Idaho
Legislators should vote “yes” on House Bills 622 and 633
(Mar 24, 2010)
Boise, ID – The U.S. Dollar is
like the pink slip to your ’57 Chevy. If you print up one million copies of
the pink slip to your ’57 Chevy and sell each copy for a thousand dollars,
you will have issued one billion dollars in ownership title to your single
’57 Chevy. You will have cheated 999,999 people who are now holding fake
pink slips to one ’57 Chevy. This is called fractional reserve banking.
Some call it counterfeiting or robbery.
In the case of the Federal
Reserve doing the same thing with the U.S. Dollar, i.e., issuing the dollar
as a presumed promissory note for gold or silver, the central bankers are
betting that everybody will not simultaneously run down to the bank and
demand gold or silver coins for the U.S. Dollar. (That was before Aug 1971,
before former President Nixon completely closed the international gold
settlements window. Now the dollar is not backed by anything.)
the case of one million counterfeited pink slips for one ’57 Chevy, you
would be counting on everybody not rushing over to your garage to present
their pink slip for the single ’57 Chevy. Each copy of the new
“counterfeited” pink slips will temporarily circulate in the market and act
as a promissory note as long as more than two people don’t demand redemption
of their Note, their new pink slip, for the car.
what happens when you take fractional reserve banking one step further and
change the wording on all the one million pink slips from, “Ownership Title
to one ’57 Chevy VIN # 123456789,” to simply, “The Car?” As if the pink
slip is now the car itself?
This is an important concept because that’s exactly what the Federal Reserve
did in the case of the U.S. Dollar. They changed the wording on the paper
Dollar from, “This is to certify that there is on deposit, one silver dollar
[the coin, defined as 418 grains of silver at .999 fine], payable to the
bearer on demand,” to simply, “One Federal Reserve Note.” As if the Federal
Reserve Note is now the silver coin itself.
If you take a Federal Reserve Note down to any U.S. Treasury today, they
will “redeem” it with another paper Federal Reserve Note. In the case of
the ’57 Chevy, all the holders of the pink slips are holding Non-Titles of
Non-Ownership to Nothing except a piece of paper that strips out the
legality of the previously-worded contractual agreement and substitutes it
with a fake concept that the pink slip is now the car itself. I repeat, the
pink slip has now morphed into the car itself.
And that’s exactly what has happened to our U.S. Dollar: the promissory
note for an ounce of silver, or gold, has been stripped of its “obligation
of contracts” for which the Note was originally created, an ounce of gold or
silver, and has morphed into a piece of paper that says that the Federal
Reserve Note is the silver or gold coin itself. I know it sounds absurd,
but that’s exactly the type of money we have today.
But we all know that, in the same way that a pink piece of paper is not the
real car, our current Federal Reserve Notes are not physically gold or
silver. Our current U.S. Dollars are now nothing but non-promises to redeem
non IOUs. They are, as one of our Founding Fathers, James Madison, warned
us about in The Federalist Papers, an “abrogation of the obligation of
contracts.” The U.S. Dollar is a big lie and the Federal Reserve system is
the biggest Ponzi Scheme ever perpetrated against the people of the world.
And it is the major cause of our current Recession, as all currency
inflations have been in many other countries throughout history.
Why has the Fed Reserve morphed into a giant Ponzi Scheme? The reason the
Federal Reserve has reneged on the “obligation of contractually redeemable
money,” gold and silver, is so that they can “legally” expand and contract
America’s money supply like a rubber band, earning billions of dollars in
interest during this complicated process, and exchanging their fake paper
for the fruits of your labor, with not one person in a million being
cognizant of what’s really going on in this transformational process.
If the people of America truly understood how and why the Fed is
manipulating their paper money and credit, they would riot in the streets
Why does the U.S. Congress put up with the Fed’s giant Ponzi Scheme? The
U.S. Congress loves the Federal Reserve system because it provides the
legislators with zero brakes on how much pulp fiction dollars they can
create out of thin air to finance their deficit Welfare programs. Abolish
the central bank and return to a 100% gold standard with no fractional
reserve banking and the Welfare State disappears overnight. Gold money is
an automatic regulator of all aspects of the free market, from
hyper-inflation to fraudulent derivatives on Wall Street. That’s why
Congress and the Federal Reserve central bankers hate gold. It forces them
to be honest.
I am writing to you today because, as Idaho legislators, it is incumbent
upon you to understand the true nature of our current money since it is the
medium of economic exchange by which you, as statesmen and women, collect
taxes, spend revenue, and generally conduct your legislative financial
business. In short, we want to use real money and not the pulp fiction
dollars that the Federal Reserve has been inflating and thus causing the
current derivative-induced Recession (mainly through the housing market).
Continual deficit financing and hyper-inflation of our money supply has
brought our nation to its financial knees and we MUST return to a sound
The current Monetary Bills H622 and H633 before you, authored by Rep. Lenore
Barrett and Phil Hart respectively,
that would authorize Idahoans to use gold or silver specie as legal tender
for all debts public and private, is the right step in the right direction
to help counter the inflationary results of the Federal Reserve’s incessant
manipulation of our money. Note that House Bills 622 and 633 not only create
institutions to handle computerized contracts of gold and silver, they also
prohibit that most evil of evil monetary concepts: fractional reserve
I urge you to consider implementing Bills H622 and H633 as a giant step forward for
not only Idahoans who want to protect themselves from the devaluation of
their savings and inflation of prices in general, but also as a giant step
toward U.S. Rep. Ron Paul’s (R-TX) U.S. House Bill to Audit The Fed. Three
Quarters of the U.S. House and half of the U.S. Senate, including our own
U.S. Senators and Reps are on board to Audit The Fed. After we Audit The
Fed, we must then introduce gold and silver legal tender to float alongside
the inflated Federal Reserve Note, and let the people chose their own medium
of economic exchange, which will obviously be gold and silver, and thus
drive out the Fed’s pulp fiction garbage so the U.S. can resolve its current
Recession and employment problems. Then we can abolish the central banking Ponzi Scheme and return to sound money.
Thanks for all of your hard work in the Idaho Legislature.
– FM Duck
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