Post by TomLine on Aug 4, 2016 19:48:51 GMT -5
NO NEED TO END THE FED
by Tom Lineaweaver
by Tom Lineaweaver
Okay, you probably think I've gone completely mad, those of you who believe that the Federal Reserve is the worst thing Congress ever did. Sorry, what Congress did wrong was make it independent. Then they started borrowing money from this Federal reserve system, which led to the production of Federal Reserve Notes.
But Federal Reserve Notes are not the only legal tender in the United States. Coins are also legal tender based on the several Coinage Acts by Congress signed in to law by the President at the time. The first Coinage Act was in 1792, passed by Congress and signed by President Washington. The most recent Coinage Act was in 1965, passed by Congress and signed by President Johnson.
See this article: www.federalreserve.gov/paymentsystems/coin_about.htm
That article says this:
Coin
The Federal Reserve's role in coin operations is more limited than its role in currency operations. As the issuing authority for coins, the United States Mint determines annual coin production. The Reserve Banks, however, influence the process by providing the Mint with monthly coin orders and a 12-month rolling coin-order forecast. The Mint transports the coin from its production facilities for circulating coin in Philadelphia and Denver to all of the Reserve Banks and the Reserve Banks' coin terminal locations.
The Reserve Banks distribute new and circulated coin to depository institutions to meet the public's demand. While the Reserve Banks store some coin in their vaults, they also contract with coin terminals to store, process, and distribute coin on behalf of the Federal Reserve. Armored carrier companies generally operate the coin terminals; the coin terminals have improved the efficiency of the coin-distribution system.
The Federal Reserve's role in coin operations is more limited than its role in currency operations. As the issuing authority for coins, the United States Mint determines annual coin production. The Reserve Banks, however, influence the process by providing the Mint with monthly coin orders and a 12-month rolling coin-order forecast. The Mint transports the coin from its production facilities for circulating coin in Philadelphia and Denver to all of the Reserve Banks and the Reserve Banks' coin terminal locations.
The Reserve Banks distribute new and circulated coin to depository institutions to meet the public's demand. While the Reserve Banks store some coin in their vaults, they also contract with coin terminals to store, process, and distribute coin on behalf of the Federal Reserve. Armored carrier companies generally operate the coin terminals; the coin terminals have improved the efficiency of the coin-distribution system.
Here then is my proposal.
1. Stop using Federal Reserve Notes, and use coins instead. Thus creating an economy based on coins, and not Federal Reserve Notes. Everything paid for using Federal Reserve Notes becomes property of the Government. If ever the Federal Reserve called in those notes, everything paid for by those notes belongs to them. Your house, car, anything you own. When that happens we will have communism with the Federal Reserve in total control. Whoever the Fed chairman is at the time will be the first true dictator.
2. We must put pressure on Congress to pay the debt to the Federal Reserve as quickly as possible to take away that threat.
3. The people of the United States should start a new banking system. This banking system will only deal in coins. I know people will say that's too inconvenient, the new bank can issue paper certificates backed by the coins. These paper certificates will be worth more than just the paper it's printed on since they will be backed by the coins. But, keep this in mind, most financial transactions today are done electronically. Direct deposits are done electronically. Even if you write a check that check is cleared electronically. Electronically funds are taken from your account and deposited in the account of whoever the check is written to. But, when cash disbursements are required this new bank will only use coins. Demand for Federal Reserve Notes will go down, and demand for coins will go up.
4. Eventually the people can start their own reserve system, the People's Reserve.
What about the Constitutionality of this plan? The Tenth Amendment says, "The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people." Notice, it does not say, "nor prohibited by it to the people." While there are prohibitions to the States, there are no prohibitions to the people. There is nothing in the Constitution that prohibits people from having their own banking system or even their own reserve.
Eventually there will be a whole new economy not based on Federal Reserve Notes.
This new bank will be like any other bank. Issuing checks to customers, issuing credit and debit cards and making loans. The Homeowner loans will not be based on Federal Reserve Notes, so if and when the Federal Reserve calls in those Notes, houses paid for by loans from this new bank will not be one of the assets seized by the Federal Reserve.
So, you see, by doing this, the Federal Reserve will eventually come to an end, but not as a knee jerk reaction. Simply by replacing the Federal Reserve economy, with the People's economy.
To learn more about the several Coinage Acts. just go to a search engine such as Google and put the words "coinage act" in the search bar.