Currency fluctuations cause human misery

The subject of money is one of universal interest, but what is money? Money can be defined as a medium of exchange or as a store of value.

Many things have been used as money, but for thousands of years, gold and silver have been universally accepted as money. Our Constitution states: “No state may make anything but gold or silver coin a tender in payment of debt.”

When our Constitution was honored, prosperity was real, and people’s savings were the source of funding for business expansion. Unfortunately, the Federal Reserve Bank dollar does not qualify as sound, honest money. It is fiat money, meaning it is money only by government decree.

The Federal Reserve Bank dollar is an inflatable, unredeemable paper dollar created out of nothing but thin air. When currency inflation starts, more “money” is in circulation, and the business owners are tricked into thinking that the times are prosperous. It is only an illusion, and when the business owners borrow to expand their businesses, they soon find out that they have been conned.

Currency inflation is precisely the same as counterfeiting and should carry the same penalty – time in prison. It is the greatest grand larceny in the history of the world.

Recessions and depressions are part of the business cycles that bankers create by first making money plentiful and later making money scarce. When money is scarce, business falls off, and then some weak borrowers are unable to repay their loans and lose their collateral. Bankruptcies, foreclosures and unemployment all increase. The misnamed “business cycle” is really a “bankers cycle.”

Wild fluctuations in the purchasing power of money have been the direct cause of more human misery and suffering than any other single force in the experience of civilized peoples. Think real estate bubbles, stock market bubbles.

Said Vladimir Lenin of the Soviet Union: “There is no subtler, no surer means of overthrowing the existing basis of society than to debauch the currency.”