The Root of the Economic Crisis

There is plenty of blame for the economic meltdown to spread around – government, banksters, people living beyond their means, and most especially the Federal Reserve (which is no more “Federal” than Federal Express). But the heart of the matter is the misguided Orwellian concept that Debt is Wealth.

This concept took root when the Fed was allowed to take control of the nation’s money supply in 1913. It is how the Fed’s owners make their profit. Woodrow Wilson signed the Federal Reserve Act of 1913 into law and even he eventually realized what a mistake that was. He said, “I am a most unhappy man. I have unwittingly ruined my country.”

The Federal Reserve has been inflating the U.S. dollar since 1913. The dollar has lost over 96% of its purchasing power over the last 95 years, making one 1913 dollar worth less than 4 cents today. What happens when we finally arrive at the point when the dollar loses 100% of its purchasing power? That may be the realization Wilson arrived at too late.

Debt is not wealth. The sooner we, as a nation, realize this and the sooner our government begins behaving accordingly, the sooner we can begin to take the right steps toward correction. If this lesson is not learned, we may be in for more “interesting times” than any of us would like.

Explore posts in the same categories: Economy, Politics

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