"Bankers are in the debt
business, and if governments are allowed to create enough money to keep
themselves and their constituents out of debt, lenders will be out of business.
The central banks charged with maintaining the banking business
therefore insist on a stable currency at all costs, even if it means slashing
services, laying off workers, and soaring debt and interest burdens.
For the financial business to continue to boom,
governments must not be allowed to create
money themselves, either by printing it
outright or by borrowing it into
existence from their own government-owned banks." - Ellen Brown
Federal Reserve issues stock
which is held by over 2,900 banks.
The Federal Reserve pays a 6 percent
dividend which amounted to $1.637 billion in 2012, the last year of available
The Federal Open Market Committee creates money out of
Most "currency" is now in the form of electronic records,
rather than paper records such as banknotes.
Open market operations are
conducted simply by electronically increasing or decreasing ('crediting' or
'debiting') the amount of currency that a bank has in its reserve account at
the central bank in exchange for a
fungible instrument - an entry in an electronic spreadsheet !
appears when the balance in a reserve account is increased.
newly printed currency is then used by the central bank to purchase on the open
market fungible instruments which
may or may not be backed with tangible financial assets, such as US bonds,
foreign currency, or gold.
When the central bank
sells fungible instruments on the open
market, the amount of currency
the purchasing bank holds decreases, effectively destroying currency.
The US Treasury sells marketable securities -
T-Bills, Promissary Notes, Bonds, and Treasury
Inflation-Protected Securities (TIPS) to the public through regular public
auctions to raise the cash needed to operate the US
government and to refund maturing securities.
Marketable securities are simply government
Marketable securities can
be bought, sold or transferred after they issue.
securities are purchased in order to get a secure rate of interest.
At the end of the term of the
the US Treasury repays the principle, plus interest and the
marketable security is
destroyed - ie. the fungible instrument is
deleted from the electronic speadsheet.
For example the
Federal Reserve system exchanges a fungible
instrument for $1,000,000 of
with the US Treasury.
fractional reserve is 10% -
$10,000,000 can then be loaned on a $1,000,000 purchase of
Federal Reserve, in effect, has created 10% of this totally new $10,000,000 by
'purchasing' government IOU's with fungible
Federal Reserve then issues loans to member banks to
create the other 90%.
To reduce the amount of money in circulation this
process is simply reversed.
The Federal Reserve sells marketable
securities to the public and the money flows out of the local bank.
When the fractional
reserve is 10% - loans must be then reduced by ten times the amount of the
Selling the Federal Reserve
$1,000,000 in marketable securities results in a $10,000,000 reduction of
currency in the local economy when fractional reserve
rules are observed.
controls the amount of currency in circulation in two ways.
way the Federal Reserve controls the amount of currency in circulation is
through the purchase and sale of marketable
The second way the Federal Reserve controls the amount
of currency in circulation is through the interest rate it charges its member
But the Federal Reserve also controls the interest rate on the
marketable securities through the
purchase and sale of marketable
When the US Treasury offers
securities than the rate of demand of those
then the Federal Reserve can step in and purchase the excess capacity to
keep interest rates low or the Federal
Reserve can refuse to purchase those marketable
securities and the interest rate on those marketable securities will increase to draw
in needed capital.
rates go up less currency is loaned out and less currency in the system creates
contraction - recession or depression.
Monetary policy, set by the
privately owned and operated Federal Reserve, is highly independent of
effective political control.
Federal Reserve is subservient only to
Bank of International Settlements.
This web site is not a commercial web site and
is presented for educational purposes only.
This website defines a
new perspective with which to engage reality to which its author adheres. The
author feels that the falsification of reality outside personal experience has
forged a populace unable to discern propaganda from reality and that this has
been done purposefully by an international corporate cartel through their
agents who wish to foist a corrupt version of reality on the human race.
Religious intolerance occurs when any group refuses to tolerate religious
practices, religious beliefs or persons due to their philosophical ideology.
This web site marks the founding of a system of philosophy named The Truth of
the Way of the Lumière Infinie - a rational gnostic mystery religion based on reason which
requires no leap of faith, accepts no tithes, has no supreme leader, no church
buildings and in which each and every individual is encouraged to develop a
personal relation with the Creator and Sustainer through the pursuit of the
knowledge of reality in the hope of curing the spiritual corruption that has
enveloped the human spirit. The tenets of The Truth of the Way of the Lumière Infinie are
spelled out in detail on this web site by the author. Violent acts against
individuals due to their religious beliefs in America is considered a "hate
This web site in no way condones violence. To the contrary the
intent here is to reduce the violence that is already occurring due to the
international corporate cartels desire to control the human race. The
international corporate cartel already controls the world central banking
system, corporate media worldwide, the global industrial military entertainment
complex and is responsible for the collapse of morals, the elevation of
self-centered behavior and the destruction of global ecosystems. Civilization
is based on coöperation. Coöperation does not occur at the point of a
American social mores and values have declined precipitously over
the last century as the corrupt international cartel has garnered more and more
power. This power rests in the ability to deceive the populace in general
through corporate media by pressing emotional buttons which have been
preprogrammed into the population through prior corporate media psychological
operations. The results have been the destruction of the family and the
destruction of social structures that do not adhere to the corrupt
international elites vision of a perfect world. Through distraction and
coercion the direction of thought of the bulk of the population has been
directed toward solutions proposed by the corrupt international elite that
further consolidates their power and which further their purposes.
views and opinions presented on this web site are the views and opinions of
individual human men and women that, through their writings, showed the
capacity for intelligent, reasonable, rational, insightful and unpopular
thought. All factual information presented on this web site is believed to be
true and accurate and is presented as originally presented in print media which
may or may not have originally presented the facts truthfully. Opinion and
thoughts have been adapted, edited, corrected, redacted, combined, added to,
re-edited and re-corrected as nearly all opinion and thought has been
throughout time but has been done so in the spirit of the original writer with
the intent of making his or her thoughts and opinions clearer and relevant to
the reader in the present time.
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