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What is the Federal Reserve? And why
do some say we should use Constitutional money, such as silver and gold?
I'm hearing that most Americans,
even in the Tea Party, don't know who the Fed is, or why we
need to use silver and
gold as money. This article is for them.
If you
have USA paper money in your
wallet, or if you have
money in the bank, then you have been ripped off.
Paper money in the USA used
to be called "silver certificates", as recently as 1964, which was 47 years ago.
They were called silver certificates, because each "note" stated:
"This certifies that there
have/has been deposited in the Treasury
of the United States of America (number) silver dollar(s)
payable to the bearer on demand."
This turned
out to be a great big lie. It was fraud. Current paper money is the evidence of the theft.
I used
to call paper money an "unjust
weight and measure",
but paper money today is no weight and measure of anything at all. It's a broken promise to pay a devalued amount and an unjust weight of silver!
Who cares? Well,
you used to be able to get a silver dollar coin for a paper silver certificate. They were equal
in value, as one was a promise to deliver the silver.
Today, the price of
that same silver dollar coin, containing
.76/oz. of silver, costs
about $30 from a coin dealer, with
silver prices at $36/oz.
The paper
money buys much less silver, it buys less
gas, it buys less of everything today compared with prices in 1964, and about 99% less of everything than 100 years ago in 1911.
The Federal
Reserve was created in 1913. They got a 100 year charter that expires in 2012! Congressmen and Tea Party activists ought to seriously reconsider the Fed's charter very carefully right now!
Right after
1913, the USA had funding
to fight in World War
One, and then suffered
the false bubble economy
of the "roaring 20s" bull market in stocks which, when it popped,
led to the great depression in the 1930s, followed
by World War Two in the 40s.
After WWII, the US paper
dollar became the world reserve
currency, which helped to effectively loot the productivity of the rest of the world. Well, we did win
the "world" war, and the world became the spoils of the war. The rest of the world's central banks began accumulating paper dollars, instead of gold.
This theft
of the world's assets was both good and bad for the USA. Good, because
the USA can simply print the money to send to the other nations in return for real assets
such as oil, machines, food, clothing, or whatever. But it's bad, because our nation got addicted to the benefits of the
false and inflated values of free paper money, and grew lazy, and we forgot that the benefits and bounty of freedom are greater than the benefits of a free
lunch paid for by slaves.
Today, we are still free to go into the market and buy physical silver, and let me
tell of this wonderful opportunity in silver.
To create
this paper money world in
which we live, the world's bankers launched a propaganda and education war against silver first, and then gold, to prevent their use as money. This war
dates back to the late 1860's. They succeeded, as no nation on
earth uses silver as
money. Reduced monetary
demand has reduced the
value for silver, making it an attractive and cheap investment.
Then, by the end of WWII, the age of electronics began, and the use of silver as
a conductor of electricity
in all sorts of electrical devices
simply exploded, about ten times as much as previously. Modern nations use about 3/4 of an ounce of silver, per person, per year, in industrial applications.
Today, world industry
consumes about 600 million ounces of silver per year. Industry consumes nearly all of
world mine supply, leaving
only recycled silver, only about 200 million ounces, available for investment demand. This scarcity of silver makes it an even
more attractive investment.
The bankers
of the world have not cornered the market on silver. The
exact opposite happened. They
tried to make silver as cheap as possible, by not buying
it themselves, and trying to divert investment demand away from the metal where ever
and when ever they could.
For example,
any time any of the
clients of any of the major western LBMA (London Bullion Market Association) banks wanted to buy silver, the banks said, "sure",
and opened up silver and
gold accounts for their
clients, without going
out to buy and store the actual
metal, yet they charged their clients storage fees. This created, according to the BIS (the Bank of International Settlements) a "gold and silver"
liability that is up to about $600 billion in gold, and about $200
billion in silver. That's
about 6 years worth of
world mine annual production of gold, and about 10 year's worth of annual production of silver.
That's silver and gold that the major banks owe their clients, and never bought in the real market, to help suppress prices, and prop up paper money.
Another way that banks suppress
silver prices includes offering investment-grade sized silver certificates (not paper money), as they do in
Canada and Australia even
today.
But when
they offer bullion accounts, or certificates, those trade in a non-transparent way,
as they don't create price quotes, and it's difficult to find information
on how much bullion fraud has taken place.
The main way
that the banks manipulate the prices of silver and gold is through the futures markets that generate minute by minute price quotes that other industry
players such as refiners and miners and large bullion wholesalers must look
to in order to conduct
business to buy and sell silver and gold.
Futures markets
are price manipulative
and price suppressive because
the sellers offer far
more silver than they have, and they offer silver on the worst possible terms and
conditions.
They offer to sell up to 800 million ounces
of silver, on paper, over
a year, when they only have about 30 million
oz. of silver in their vaults ready for delivery. Why then, do people buy paper silver? The lure of greed through leverage. You can put only about 10-15% of
the money down to buy silver,
and thus, if silver prices double, you can earn 1000% on your investment, instead of 100%.
But what
honest industrial
participant needs silver
"a month or so from now" for delivery at some
vague time within a whopping
30 day time period, and
in the form of a bulky
1000 oz. bar that is particularly difficult to ship by mail or even melt down? I won't even bother ordering
any silver from any supplier who will take
even 21 days to ship it out. I expect my suppliers
to ship out silver the next day, like
we do, or maybe at the most, a week after I wire them the money.
The modern way
to keep people away from buying and taking delivery of real silver is to offer silver in the form of an "Exchange Traded
Fund" or ETF, such
as SLV, which can be bought or sold as easily as a share of a stock in a company like Microsoft. Recently,
it was pointed out that the modern forms of paper silver, such as the futures markets and ETF's traded an entire year's worth of silver production in a single day.
I don't think that would be
possible unless there was a massive amount of fraud taking place, instead of any real delivery of real silver taking place, but that's just my opinion, of course.
Real silver
is real freedom.
All forms
of paper silver are like slavery; the paper virtually enslaves the promising party,
the seller, to deliver and perform
for the promised party, the buyer.
But the promises are often broken,
especially when entities promise to deliver many more times worth of gold
and silver than flows in the world on an annual
basis.
The slavery
is bad. Defrauding others is bad.
But real silver
creates real freedom.
A real understanding
and commitment to own and
trade real silver also destroys the power of governments
to steal from the people through the Federal Reserve's monopoly power to print money, which devalues people's money.
The paper
money in your pocket (formerly silver certificates) is the best evidence and reminder that promises to deliver silver are always created to excess, for the purpose of fraud.
Think: What kind of business is it, if you
can take people's money, and never have
to deliver the underlying
product? That's what banking is.
Buying real physical
silver from a coin shop, like www.jhmint.com, helps to reveal the fraud of paper money, and thus end it. Buying silver, is a rejection of paper money which destroys the Fed, destroys taxation, and destroys tyrannical governments.
Jason Hommel
Silver Stock
Report
I strongly advise you
to take possession of real gold and silver, at anywhere near
today's price, while you still can. The fundamentals
indicate rising prices for decades to come.
Follow me on facebook I have 3500 friends, and I hear there is a limit
of 5000!
http://www.facebook.com/jason.hommel
Or Youtube!
http://www.youtube.com/user/bibleprophesy
JH MINT & Coin Shop, Grass Valley, CA
Minimum order $5000, USA shipping only.
Open 10AM to 5PM Pacific Time, Monday to Friday, closed weekends and bank
holidays. (Also Closed from Dec. 25th to Jan 1st)
www.jhmint.com
(530) 273-8175
Kerri handles internet phone orders:
kerri.jhmint@yahoo.com
(530) 273-8822
If we can't fill your
needs, or if our phone lines are too busy, try my mom's shop, located in
Sacramento, CA:
www.momssilvershop.com
(916) 481-5656
mom@momssilvershop.com
You can also buy and
sell silver at auction, online, for only a 1% fee, at:
www.oneoverspot.com
In Portland, Oregon, a new bullion shop opens up, and needs customers!
http://www.goldsilversupply.com/
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