More about the Tooth Fairy

Where did all the money go?

Broken Piggy bank coins everywhere

I remember the excitement of losing my first tooth as a child. My hardworking teacher- father made a big thing about it. He used this experience to teach me about money. I was to give up my shining, white tooth to a trustworthy tooth fairy who would give me in return, something valuable.

It was to be a simple transaction.  I give tooth. Fairy gives coin or note. As my father explained it to me – This is all about a fair exchange.

banking fairyMany of us believe the federal government (the Tooth Fairy) will take care of us from the day we are born until the day we die. We forget that we actually have to give something to the community first.  Why should we do that we ask, is the Tooth Fairy not omnipotent, is the State not all powerful, can the Government not print all the money it wants?

No actually it cannot because the truth is it is not our government that controls the money- it is the FED and cronies.

You don’t get it?

Hidden in the Omnibus Christmas bill, Investment Bankers once again tripped our tooth fairy and stole the shiny tooth.

You see, Bankers hate any kind of regulation that stops them from gambling with the money we give them in trust which they hold in depositor’s accounts!  Inadvertently ( or deliberately?) Congress has just passed  another pro-banking  law that would never have passed on its own merits had it not been gotten through with sleight of hand. A clause written by Citigroup was slipped into the Year End (2014) Omnibus bill, which again allows the banks to use our money to invest (read gamble) and take all the profits. Here’s the rub if they miss-call their bets and it all goes sour (as it did in 2008) Government (using our taxpayers money as collateral) is again forced by law to bail out the banks.

Note: of all the banks bailed out since 2000, Citigroup leads the bunch; getting 2.5 trillion of American taxpayer money. Foreign banks also made out like a banshee. All in all the FED bailed out to the tune of 16,000,000,000,000.00. Gag on it! Yes sixteen trillion is the enormous amount that was secretly given out to failing financial institution by the FED none of it debated openly in Congress. The GDP of the USA is only fourteen trillion. The typical year-end budget is only three and a half trillion.

citigroup

It would seem that banking in our American system has become privatized profits; but the losses are all now legally socialized.

The FED scam was a rotten system in 1913 when the Federal Reserve and Income Tax were were first slipped through also at Christmastime ( like now) with hardly anyone on the floor to discuss it..More historic data on the FED at: Creature from Jekyll Island. One hundred years later, banks like Citigroup are still up to their dirty tricks.

Note well: Not once has there been a full  audit of the Federal Reserve in the last hundred years and few if any of the big banking monopolies have ever been thoroughly audited or investigated. If transparency is a true measure of corporate or government well being, there is one load of dark and ugly secrecy in these financial monopolies.

Our American financial system doesn’t add up, except of course the debt; the debt which is getting bigger and bigger every day.

Ask yourself the question: if the government can print all the money it wants, why not just print money to wipe out the national debt?

This is how it really works.

  1. The Government  issues treasury bills (debt)
  2. The Government gives these to the Federal Reserve. (a privately owned corporation owned by international banking interests)
  3. The privately owned Federal Reserve is “legally” able to create money out of thin air which it then exchanges with our government.
  4. And just for good measure when the Federal Bank creates the money out of thin air which it exchanges with our government for the government bonds which are loaned to investors around the world.
  5. What of the interest on this money created out of nothing that is then owed to the FED?
    When the FED creates money out of nothing, it also conveniently  forgets to create the interest that has to be paid on the debt. The upshot? America never gets out of debt. It can’t.  Each year Congress is forced. to borrow more and more merely to to pay down the the interest on the debt.

Go back and read over the above six points.  Don’t feel bad. It really is not you! . This is all crazy, mighty crazy. It is all mighty confusing. Deliberately confusing.

We have imaginary treasury bills and imaginary money and somewhere lost in the middle of this complexity is a shiny white tooth and a tooth fairy who has now become as confused about  finances as all the rest of us.  Congress (the tooth fairy) like the banks has lost sight of the shiny white tooth, which we shall call the productivity of all good Americans.

A debt-based financial system is unsustainable, because it creates debt bubbles and the next one Grandma predicts going to pop will be derivatives. Be warned. (More on this in another post which will explain derivatives.)

There is a solution:

The house  passed an “Audit the Fed” bill before the last election, they passed it  by an overwhelming majority with surprising support from both parties. The bill was stopped by Harry Reid in the Senate but there was a watered down effort.  A partial audit was done and the results of this was pretty bad, and not published widely. What we really need is not a whitewash, but a complete audit  with all the facts and figures and explanations posted on the web.

Then we need honest reform off all the big banking monopolies, not Citibank breaking the piggy bank again.

NOTE WELL Since its inception in 1913 there has never been a full  audit of the FED. Before he went off post Fed Chairperson, Ben Bernanke said that such an audit would “be a nightmare” and hello, Janet Yellin has also promised that no audit will ever be held.

What exactly are they hiding?

First: So what we all need to do is get behind the Audit the Fed bill which I predict will be brought to the floor early in 2015.

Second: If a thorough investigation is done it will be reveled that bad legislation is being hidden in big omnibus bills that well meaning politicians have no time to study or investigate. We have to get this changed “One bill, one subject”  and severe penalties for not reading the bills.

Also please support Downsize DC for they make it easy for you to educate your elected officials.

One final question for you: do you still believe in the tooth fairy? Do you trust government?

To fix the money in America we need a system based on true exchange. One tooth , one shiny coin. We want to concentrate on  the shining tooth, which stands for the productivity of all good Americans; your own productivity and what you give to others.

We have the right to exchange our true production for legal tender.

losing a toothWe need to get the banks to stop stealing from us. We owe it to our children.

Let’s keep our children smiling.

Quote for the Day

Any banker will tell you that there is a fool in every trade, which is why you must always know who the fool is, because if you don’t, the fool is probably you.

JL Banking Blog