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Considering the fact that you can fool some of the people some of the time but you cannot fool all of the people all of
the time, is it any wonder millions are protesting the abysmal scourge that fiat currency has brought upon us as a result of that fateful day back on July 25th, 1965. To appreciate the significance of that historic day we must fully understand what fiat currency is and why such a concept is about to implode and this article does just that. Words: 1372
So says James Jaeger in edited excerpts from his original article* as posted on www.thedailybell.com:
[Lorimer Wilson, editor of www.FinancialArticleSummariesToday.com and www.munKNEE.com has edited ([ ]), abridged (…) and reformatted (some sub-titles and bold/italics emphases) the article below for the sake of clarity and brevity to ensure a fast and easy read. The report’s views and conclusions are unaltered and no personal comments have been included to maintain the integrity of the original article. Please note that this paragraph must be included in any article re-posting to avoid copyright infringement.]
Jaeger goes on to say, in part:
For anyone that doesn’t understand what fiat currency is, it’s reasonably simple. Here’s a primer.
- Fiat currency is paper currency that is issued by government “fiat” or decree.
- It’s issued by government decree, or fiat, because no one would accept or use it [otherwise] because it can no longer be redeemed for gold or silver. After all, it’s just paper.
- “Redeem” simply means the act of taking your paper currency into your local bank and having them give you gold or silver in exchange for it, i.e. redeem specie as evidenced by your paper. They will give you the amount of gold or silver specie written on the face of your paper bill (its “face value”). If the face of your paper bill says “$10 Silver Certificate” (instead of 10 dollars or 10 Federal Reserve Notes) the bank will give you 10 “dollars” worth of silver.
- [The amount of silver specie that your paper bill can be redeemed for]…depends on the current definition of the “dollar” when you try to redeem your silver…A “dollar” is a unit of weight so, once a “dollar” is defined (by some authority or the free market), the bank knows how much silver to trade/give/redeem you for your $10 Silver Certificate.
- Pursuant to the Coinage Act of 1792, a dollar is defined as 371.25 grains of pure silver. Since 1 ounce = 437.5 grains, a dollar contains exactly .849 ounces of pure silver.
- Thus when you go to the bank with your ten dollar ($10) Silver Certificate, the teller will give you 8.49 ounces of silver in COIN form. Since silver is a soft metal (gold as well) the coins are never 100% pure silver. So a COIN’S weight is always a composite of silver and some other hardening metal, as in this example. Thus the bank would redeem the $10 Silver Certificate most likely with a $10 Eagle, two Half Eagles or ten silver dollar coins.
If any of this has confused you, the good news is this that you do not have to get lost in any of the above details because you can, the government or the free market can defins a “dollar” as whatever it wants BUT the free market is the ONLY valid definition IMO.
[If and] when we go back onto a Gold Standard (as many say we will), we will probably have a new Coinage Act passed by Congress[there have been six to date, the most recent one passed in 1965] to get things started…The earliest…Coinage Act (1792)…established the original definition of what a dollar was to be, how much silver there was supposed to be in a dollar coin or redeemed for a paper dollar certificate. This is what we could go back to when the Gold Standard is reinstated.We all remember the infamous Coinage Act of 1965 or, at least, we should. That was the Act of a misguided Congress that turned our quarters, dimes and half dollars into clad tokens. On 23 July 1965 the Congress, operating in its own interest and in the interest of greedy New York bankers against the interest of “we the people”, removed all the silver from dimes and quarters and debased the silver content in the half dollars down to 40% from 90%. They then made up the weight and size of the coins with copper. Remember that ugly copper sandwich that suddenly appeared in the middle of all coins starting in 1965?
Just like the JFK assassination, I remember the exact place I was when I first saw the new quarters. I thought to myself: “What the hell? They took the silver out of these. Who did this? Who gave them permission to cheapen the quarters we all use?” It alarmed me. That VERY day I KNEW something was wrong in America. This was a symbol that America was being cheapened and should have alarmed all Americans!
[In answer to the above two questions as to:- who did this? – The elite banks
- who gave them permission? – The U.S. Congress
The above brings up an all important third question:
- why did they do so?
The answer is really quite simple: to debase the currency [by turning it into a] fiat currency (i.e. money NOT redeemable in silver or gold -[but just paper money])…so they could endlessly print more paper money because they could not print up more gold and silver. By getting gold and silver out of the picture…[by] removing it from coins, not redeeming paper bills for it, blatantly confiscating it as they did in 1934, defaulting on foreign redemptions as Nixon did in 1971, and by making the false claim of “shortages” − they can literally print up (known as “monetizing debt” or “quantitative easing”) as much currency as they want to expand the welfare-warfare state…
[The continued] use of silver coins would have prevented fraudulent bankers and their rogue accomplices in Congress from increasing the money supply. Think about it. When the money supply is increased…[it is] the government and the banks that get the increase. That is [precisely] why they conspired to get control over coinage and printing of the nation’s currency and eliminated gold and silver [as it backing]. This is also why the framers of the U.S. Constitution stated in Article I, Sections 8 & 10 that money [had to] be gold or silver coin and [that] NO bills of credit were permitted.A bill of credit is, essentially, a Federal Reserve Note − what we use as “money” now that the banking frauds have extracted all the silver and gold out of our money supply. So technically, the “money” we are now using is illegal (unconstitutional), and the congressmen that played a part in effectuating the overt or covert transition to it are actually partners with the elite New York banks in a long-term criminal conspiracy. See the movie FIAT EMPIRE for details (http://www.MoviePubs.Net/singles).
…Millions of people have had the value sucked out of their lives in exactly the same way the Federal Reserve System and its rogue congressional partners sucked the silver out of our quarters back in 1965.
Wake up. It’s time to put value back into our money and remove from power the bankers and government officials that played a part in this worldwide monetary scam. It’s also time to end the unjust enrichment of the corporations that surround these banks, as Jefferson once warned there would be.
*http://www.thedailybell.com/3308/James-Jaeger-What-is-Fiat-Money
