What Is Money?

The foundation of economics is money. It is the economic water in which we live our lives. We even call it currency; it flows around us, carries us in ebb and flows, but drowns those who are not careful. We use it everyday in nearly every transaction we conduct. We spend our lives worrying, working, saving, and spending it. It compromises our morals and defines our social status. People are willing to cheat, lie, steal, fight, kill and die for it. Undeniably, money is an integral part of life, but what is it? Where does it come from? How is it created? What determines its value? Who controls it? What is hyperinflation? It is remarkable how very few people can answer these basic questions about money. You would think we would be taught these important facts in school. But no, and there’s a reason for that. If everyone knew, we would all be buying gold. The dollars we use are actually just a tool guaranteed to enslave us. Commoners buying gold is exactly what the Federal Reserve Bank does not want happening.

The Federal Reserve and our Government

The New York Fed private gold vault. No, this is not America’s gold. Sure they have some gold, and you? (photo credit: Federal Reserve Bank of New York)

The Federal Reserve is not part of our ‘federal’ government and there are no ‘reserves’ for “we the people”, it is a private, for profit bank. From the name, to the deepest inner workings, the Federal Reserve Bank misleads us. The working principle of this bank is actually simple. Once you understand the foundation of the system you can positively conclude with mathematical certainty that dollars are destined to fail by way of hyperinflation. Fiat monetary systems are nothing new. They have been used dozens of times all though history. Fiat means ‘let it be done’in Latin. We use the word to describe the nonconvertible paper money made legal tender by  government decree. Historically, fiat monetary systems have failed every-single-time. Some argue that gold has failed us too. They are wrong. Gold is abandoned to save over-spending governments from going bankrupt and falling from power. After all, you can’t just print more gold to pay your debts. Make no mistake, every government does eventually fall from power. We are on the same path as those historical fallen countries. The establishment motto might as well be: “This time is different”. But you should know better – it’s not different this time. The Federal Reserve has failed to predict every single recession. They want you to believe the system is perfect. How often do governments, politicians or banks admit they are wrong? When something does goes wrong, they’ll find a black swan – something they conveniently could have never predicted. They will blame the illness on the symptoms, not the cause – typical politics.