Found this on another website and decided to repost it here for historical knowledge :
I don't want my friends or detracractors to be guilty of ingnorance for what is going on currently with inflation and the economy, so I give to you a gift from the late F. Tupper Saucey...
The Miracle On Main Street
Chapter 1
Blood running in the streets. Mobs of rioters and demonstrators threatening banks and legislatures. Looting of shop and home. Credit ruined. Strikes and unemployment. Trade and distribution paralyzed. Shortages of food. Bankruptcies everywhere. Court dockets overloaded. Kidnappings for heavy ransom. ###ual perversion, drunkenness, lawlessness rampant . . .
One distinguished politician writes to another: “The wheels of government are clogged, and we are descending into the vale of confusion and darkness. No day was ever more clouded than the present. We are fast verging to anarchy and confusion.”
Where, when and whom? Get ready for a shock: America, 1786, ten years after the signing of the Declaration of Independence. The correspondence was from George Washington to James Madison. On February 3, 1787, Washington wrote to Henry Knox: “If any person had told me that there would have been such formidable rebellion as exists, I would have thought him fit for a madhouse.” '
What went wrong? What forced this noble new country into conditions far worse than the tyranny against which it had declared its independence in the first place? The history books tell us it was a complicated variety of interrelated things, but reality tells us it was only one: the money issued by the Continental Congress and the state's banking houses was paper that could not be redeemed for gold or silver coin. Inflation, that was what had sunk George Washington to the depths of despair.
The paper currency of the Congress was printed in such exorbitant amounts (in relation to the precious metals they represented) that wages and prices skyrocketed, forcing the Legislature to enact harsh wage and price controls. When these failed, moral-sounding laws reeking of piety and patriotism were enacted in an attempt to chain the people under penalty of violence to the government's absurd money:
If any person shall hereafter be so lost to all virtue and regard for his Country as to refuse to accept its notes, such person shall be deemed an enemy of his Country.'
This amounts to a law protecting bad-check artists, and so the people naturally ignored it and others like it. The depreciation of paper currency relative to coin followed the same sickening course our paper currency follows today.(At this writing, the 1980 paper dollar is redeemable for a
silver dollar at about 15 or 16 to 1.)TODAY, in 2022 that exchange rate is about 45 to 1 The Miracle on Main Street was written in 1980.
DEPRECIATION OF CONTINENTAL CURRENCY
AGAINST THE SPANISH MILLED DOLLAR, 1779
January 14 ......................... 8 to l
February 3 ..........................l0 to l
April 2..............................17 to 1
May 5................................24 to l
June 4...............................20 to l
September 17........................ 24 to l
October 14 ......................... 30 to 1
November 17 .......... ............. 38 to l
In January, 1781, these notes were redeemable 100 to 1; in May, 1781, they ceased passing as currency and quietly died in the hands of their owners. Repeatedly, new series were issued, only to follow a similar pattern."
A contemporary of the Revolution, Peletiah Webster, records it this way:
It ceased to pass as currency (in May, 1781), but was afterwards bought and sold as an article of speculation, at very uncertain and desultory prices, from 500 to one thousand to one. ?
Yet another contemporary writer, Breck, gives us this ridiculous aspect of inflation’s ultimate achievement in the 1780's:
The annihilation was so complete that barber-shops were papered in jest with the bills; and the sailors, on returning from their cruises, being paid off in bundles of this worthless money, had suits of clothes made of it, and with characteristic lightheartedness turned their loss into a frolic by parading through the streets in decayed finery which in its better days had passed for thousands of dollars.
Again, Peletiah Webster writes:
Paper money polluted the equity of our laws, turned them into engines of oppression, corrupted the justice of our public administration, destroyed the fortunes of thousands who had confidence in it, enervated the trade, husbandry, and manufactures of our country, and went far to destroy the morality of our people. ‘ Describing inflation to someone who has never experienced it is like describing the pain of fire to someone who has never been burned. You really have to live it to know how terrible it is. More than one Biblical scholar who has felt inflation concludes that the Beast in Revelation is nothing less than inflation itself. The worst thing about inflation is that there are so many apparent causes of it. The long-winded debate over cause only gives inflation time to spread and destroy more. The debate over cause is usually conducted by the many people who benefit from inflation, those who are first in line from the printing press, able to buy goods at current prices with money that soon raises the price of everything as it goes into circulation, increasing the volume of the money supply. It doesn’t take much digging to know who the first-in-liners are: they’re the beneficiaries of government programs and, of course, the beneficiaries of our bank system. Which is a whole lot of people, very few of whom are going to want to put their heart and soul into an effort to stop inflation. Why should they, when inflation is the secret of their success? They’re not villains or conspirators. They’re ‘Friends of Paper Money.” There have always been ‘Friends of Paper Money,” and they really cannot be blamed for doing anything wrong or evil.
It is historically true that no order of society ever perishes
save by its own hand.” ~John Maynard Keynes, The Economic Consequences of The Peace, 1920
Want to read the rest of the book? It is in PDF form here:
http://bornagainclassics.co...
"...Keynes argues that inflation is a 'method of taxation' which the government uses to 'secure the command over real resources, resources just as real as those obtained by [ordinary] taxation'. 'What is raised by printing notes, ' he writes, is just as much taken from the public as is a beer duty or an income tax.' "
- 1980 Annual Report, Federal Reserve Bank of Richmond, pg 10
"All the paper money issued today is Federal Reserve notes. The real backing for the nation's money is faith in the strength, soundness and stability of the American economy."
~ The Hats the Federal Reserve Wears, Federal Reserve Bank of Philadelphia, pg 4
Faith is what backs our monetary system. YOUR faith. Do you still have faith?
"When plunder has become a way of life for a group of men living together in society, they create for themselves in the course of time a legal system that authorizes it and a moral code that glorifies it."
~ Frederic Bastiat in "The Law"
"Lenin is said to have declared that the best way to destroy the capitalist system was to debauch the currency. By a continuing process of inflation,
governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens."
~ 1980 Annual Report, Federal Reserve
Bank of Richmond, pg 6
Isn't confiscation of the wealth of the citizens a nice way of saying STEALING?
"The Federal Government, with the cooperation of the Federal Reserve, has the inherent power to create money--almost any amount of it."
~ The National Debt, Federal Reserve Bank of Philadelphia, p. 8
ALMOST? Why only ALMOST? What keeps them from creating ALL they want? You? Me? Your dog? A full moon?
Federal Reserve Notes are not federal, represent no monetary reserves and no longer conform to the definition of notes. Failing to state who, will pay what, when or to whom - they ceased to be legal tender notes, (offers of money) over 50 years ago. They are in fact instruments of legalized THEFT.
"Whenever the legislators endeavor to take away and destroy the property of the people, or to reduce them to slavery under arbitrary power, they put themselves into a state of war with the people, who are thereupon absolved from any further obedience." ~ John Locke (1690)
If the money you earn has no value and you are forced through fiat paper legislation to take it for your labor, are you not having your property (labor) destroyed and are you not being reduced to nothing but slavery? Is not the state at war with the people?