Ever wonder where “Money” comes from? Where does the Government get “Money” to pay for services and for relief packages like the one signed into law last week for COVID 19 and how does it impact us as taxpayers? This will help us to understand why the Federal Liberals tried to hide powers into the relief funding bill, giving the Finance Minister Morneau the ability to arbitrarily raise taxes till the end of 2021 with no vote taken in the house.
“The modern banking process manufactures currency out of nothing. The process is perhaps the most astounding piece of slight hand that was ever invented…If you want to be slaves of the bankers, and pay the cost of your own slavery, then let the banks create currency”. – Lord Josiah Stemp, Former Director of the Bank of England (1937)
Let’s start with Canada – In 1934 the Bank of Canada was established as a privately held company. In 1938 it was nationalized and taken over by the Federal Government. The Government of Canada has the authority to create and issue it’s own currency and between 1938 and 1974 it did this through the public Bank of Canada virtually interest free. In 1974 the Federal debt was 18 billion dollars. However in 1974 everything changed. Canada, through the leadership of Pierre Trudeau joined an agreement with the International Bank of Settlements, who oversaw a conglomerate of other world Central Banks. By signing this agreement, Canada started borrowing its required capital from private banks with interest. Between 1974 and 2017 the combined Federal and Provincial debt rose to 1.4 trillion dollars, of which approx. 730 billion was federal debt. Of this 90% was considered to be interest owing on loans taken from privately held foreign banks. In the early 80’s when interest rate soared to 20% or more, you see the national debt explode due to massively increased costs of interest to private banks. The Canadian taxpayer became slave to private banks.
You ask yourself why? Why did Pierre Trudeau make this change? He was a Globalist and this decision was what sent Canada down a path of wealth transfer from tax payers to international holdings.
How do private banks inject “Money” or currency into the marketplace? Well… they create it out of thin air using a method called Fractional Reserve Banking. For every $1 held in reserve, the bank can issue $9 in loans. This extra $9 is simply created. So when the banks want more money in circulation, they simply push to issue more loans, by making it easier for consumers to borrow, thereby increasing the amount of “money” in circulation. Banks then make profits through interest on “created” money. Interestingly in the 1990’s these required “reserves” on hand were phased out.
So you ask… if Canada has the authority to issue its own debt free currency through its public bank, then why don’t they? Good question.
Once a nation parts with the control of its currency and credit, it matters not who makes the nations laws. Usury, once in control, will wreck any nation. Until the control of the issue of currency and credit is restored to government and recognized as its most sacred responsibility, all talk of the sovereignty of parliament and of democracy is idle and futile.– William Lyon Mackenzie King, Prime Minister of Canada, 1935
Here is an article that explains a little more detail. It is an older article, but still very relevant today.
I am not a Green Party member and nor would I vote for them… but here is an interesting bill they tried to pass a few years ago. The bill also outlines some of the disadvantages of the current federal borrowing practices.
Now lets look at the USA – It is written into the US Constitution that only Government has the authority to issue currency for the use of money in the Union. This is done through the Treasury Dept in the form of Treasury Bills. For close to 300 years there has been an ongoing struggle with international private bank elites looking for ways to circumvent this and make it so the US Government borrows money through them, rather than creating their own currency interest free.
Towards the end of the Civil War, Lincoln approached private banks in NY for funding and was quoted as high as 26% interest. Lincoln had no intention of doing such a thing, so he ordered the Treasury Dept to issue millions worth of Treasury Bills in the form of paper currency which were later called Green-Backs. Lincoln was eventually assassinated.
“The government should create, issue, and circulate all the currency and credit needed to satisfy the spending power of the government and the buying power of consumers. The privilege of creating and issuing money is not only the supreme prerogative of government, but it is the government’s greatest creative opportunity. The financing of all public enterprise, and the conduct of the treasury will become matters of practical administration. Money will cease to be master and will then become servant of humanity.” ~ Abraham Lincoln (1809-1865) 16th US President
In 1913 the private banks won in America with the signing of the Federal Reserve Act into law. This gave the Federal Reserve Bank control over money borrowed by US government at a charged interest rate. The Federal Reserve is not owned by the US Government, but instead by a consortium of domestic and foreign very large private banks which are all in turn owned for the most part by world elite. (top of the 1%). As of 1913 all money put into circulation was done so at massive interest costs to the American taxpayer. Again, the vast majority of this “money” is created using fractional reserve banking. No different than in Canada, the US national debt is made up of mostly interest costs on this money paid out to privately held banks.
“I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. No longer a government by free opinion, no longer a government by conviction and vote of majority, but a government by the opinion and duress of a small group of dominant men.” – President Woodrow Wilson (regretting signing into law the Federal Reserve Act)
JFK, similar to Lincoln, was another president who bucked the system. JFK talked about getting rid of the Fed. He was assassinated. The most recent President to talk about this is Trump and it looks like last week he set the wheel in motion to do just that and articles from Bloomberg came out talking about the Treasury Department taking over the Federal Reserve Bank.
For any history buffs….. or for those with a spare 3 hours on their calendar right now (a lot of us), this 3 hour documentary made in the mid 90’s goes into deep historical detail about where our current money system comes from beginning at Biblical times. It is a HUGE eye opener into the greed, corruption, control and power of the private banks into our lives. We are all slaves to the banks.
The Money Masters – Documentary