The American Banking Crisis & The Faustian Bargain to Come
Unless one was asleep, for a couple of days to three years, the United States had yet another crisis brewing to a froth over the past weekend. The results of Slaughterhouse Ten, those banks declining by -10% on the Casino Stock Exchange, will be ongoing amid the septuagenarian-led responses at the Federal Reserve, the Treasury and by the Commander-in-Chief. This assured crisis is left to the tired and inflexible bones of three persons never known to be particularly creative, gifted with crisis management, or messaging to guide a country through the assured hardships that lay ahead. Unlike others, I will not continue to lay blame at their doorstep (in totality, this time) however. The overt wasting of our Founders’ inheritance, the rights and liberties that came at a dear price (not always perfectly shared across The People), is actively and maliciously attributable to forces within and international actors that grip us like a boa constrictor.
Slavery & National Banks
The wasting began early on – within the fight for all people to be free. Often, certain people, leaders we call them, negotiate to get a bargain that will progress a conversation, or in this case, establish a new country after more than two decades of rising conflict (1763-1775) and eventual war (1775-1783). A victim of that bargain was the ongoing practice of slavery, reducing persons (blacks predominately) to chattel. The practice of enslavement long preceded any inclination, promotion or deeply-held, uniform desires to keep this practice ongoing in America; as many in Northern colonies were disinclined to continue the practice; and the South was more nuanced than historians give due. (Such was the practice (pg.73-75) in France of 1762.)
The conversation, then, was based on a host of predispositions, stereotypes, and utter disdain for people based on the hue of their skin. This was not an exception; it was more the rule even into the late 18th century. But as a result of Men not being all angels, a moral problem was engrained and enshrined within the U.S. Constitution – the 3/5 compromise and the allowance of slavery to persist.
Since our country was a breakaway colony of Britain, or the United Kingdom (notice that nomenclature), the United States created both a rival to the U.K.’s absolute power over much of the planet then, but also an ongoing trade partner that could be more easily controlled through a banking system. Chattel and goods transported required cooperation and contracts that acknowledged debts and the financing of the day without the miracles of even 20th century technology or an instant ability to have recourse in the courts for failure to pay; complete service of contracts; or outright fraud. Force Majeure did not exist as a common legal argument until an English Court made such available in 1863 in Taylor v Caldwell. Many ways, including violence, were the de facto means to get a contracts’ satisfaction by criminals and marks alike.
Arguments about the shape of a financial system, by Hamilton (a proto-Globalist) and his counterpoint (Jefferson’s acquiring of the Louisiana Purchase) would be a very long discussion. Hamilton won the first round of this argument with the establishment of charter bank based off The Bank of England. The Bank of the United States came into being on December 12, 1791, just two years after the U.S. Constitution was made the law of the land.
Notable on the Federal Reserve’s website is this statement about the bank:
The Bank of the United States started with capitalization of $10 million, $2 million of which was owned by the government and the remaining $8 million by private investors. The size of its capitalization made the Bank not only the largest financial institution, but the largest corporation of any type in the new nation. The bank’s sale of shares was the largest initial public offering (IPO) in the country to date. Many of the initial investors were foreign, a fact that did not sit well with many Americans, even though the foreign shareholders could not vote.
The bank also managed the U.S. Treasury’s interest payments to European investors in U.S. government securities. Although the U.S. government, the largest shareholder, did not directly manage the bank, it did garner a portion of the bank’s profits. The Treasury secretary had the authority to inspect the bank’s books, require statements of the bank’s condition as frequently as once each week, and remove the government’s deposits at any time for any reason. To avoid inflation and the appearance of impropriety, the Bank was forbidden from buying U.S. government bonds.
One should see why leaders such as Jefferson, and more notably, Andrew Jackson, despised the nature of this arrangement. Nevertheless, the banking arrangement, persisted until Jackson’s Presidency. Once ended under Jackson, a banking crisis ensued – intentional? – that of course hampered folks, both common, and the enslaved, still.
What is common here: People dislike disruptions and rarely have a good analysis of the root cause of such things. People are self-interested, first and foremost, ignoring any errors of their own accord, or their contributions to the allowance of the problem at hand. Of course, as well, the outside interests (those bankers) were not going to let these common people free to their own devices – as those internationalists saw the untapped continent, as well, as a GOLD MINE to be exploited (for their own rewards).
Thus, the land, water, citizens of the U.S., and the natives (many tribes were heavily in the slave trade since before the colonies were even a sparkle in any New Englander’s eyes) were to be controlled by debts, cons and schemes that imperialistic or mercantile bankers always have used. The U.S. government, as it grew in power militarily and size, became a threat to the entire World Order, in particular, those British Cousins.
What if other people realized they should be free to travel, explore, and make good on their lives in a country with better ideals (and closer to the practice of them) than wherever these people were at in 1800s? Many visitors, like Tocqueville, marveled at these prospects, well prior to the U.S. Civil War’s outbreak.
That Civil War, that saw contracts and constitutions nullified over the course the war, would end the abominable de jure slavery in the United States. To do so though, violations of due process, habeas corpus, were endured by saints and sinners alike. Thereafter, the responses to the defeats, financial losses, and legal rights brought about slavery de facto in the Jim Crow South for a century. Again, the imperfections of Men leave some, and more often than not, international ones to pick at the moral ideas and imperfect compromises involved in FREEDOM and LIBERTY.
The Progressive Spoiling of the United States
While never seen as the key issue, fiat currency is the root of all destruction. No empire has ever survived based off this monetary concept. The Chinese, as ancient as their culture is, has ebbed and flowed based on their ruler-ships or dynasties. Often, their telling of their declines are based in reigns of evil rulers or outside forces (both real and invented), but at the heart of all: the people grew lax, lazy, and spoiled, and complacent towards taking positive and creative actions, not rooted in violence, deceit, and power. The Judaic Culture, also of great consequence in many discussions, both uniquely relevant and scurrilously irrelevant, has survived for that substantial span of time, equaling, or surpassing that of the Han Chinese. Both cultures substantially know that such fiat currency controls the world; and understand how The Great Game was played before it was even called that: the conflict of empires and the erasing and reconfiguring of maps throughout human existence.
By the end of the Civil War, the United States was a rising power, even if it didn’t know it, at the common citizenry level. Both Britain and Russia had intervened in the War, the Brits, ever the Hamiltonian Globalist actor, while the Russians were friendly to the authoritarian Lincoln administration. In late March of 1867, the U.S. purchased 586,000 square miles of Alaska territory from Russia for $7.2 million. Reflecting on the deflation of prices, 64 years earlier, Jefferson’s administration bought the Louisiana Purchase for $15 million for 827,000 square miles of land from France. ($12.28/sq-mi., Alaska; $18.13 sq-mi., Louisiana)
Many folks today make criticisms of these purchases, coming from empires that were doing these sorts of deals for centuries prior, with zero regard for the populations inherited; while, at the very least, the United States provided a fairly robust system of law to redress Native’s grievances and slaves alike (the Dred Scott decision). These decisions often were horrible – as judicial precedent, and personal whims (had for a price), both do occur.
But name a culture or country that has not that flaw?
(Note: I am 1/8 Cherokee Indian. My grandmother was a ½ breed and was born in Winchester, Tennessee in 1911. My background consists of Scots-Irish relatives such as Sam Houston (9th cousin, 2X removed) and Nathan Bedford Forrest via marriage along with the Bushes (10th cousin, 7X) removed from Herbert Walker. The Cherokee owned black slaves through the Civil War and were the last to surrender (Stand Watie) to Union forces.))
While the ingenious and innovative citizens of the United States of the late 19th century is often overshadowed by the deceits and banking forays of the Robber Barons, those persevering souls had long impacts as well. Boom and bust cycles, driven by speculation, and the huckstering of fast money for fool’s gold, did not stop the more hardy, Free Enterprise folks from achieving great gains from easy business formation (with lax regulations) as the U.S. became the workshop to the world. This however rankled persons with axes to grind and their new Marxist weapons to achieve them, first by class, then by race.
Those without political power, and the losers of the war, needed new issues to put in play. One, was voting rights for women. Another was centralized control of monetary policy – as the Bank Panic Era became a cause to exploit once again. (Local currencies existed – and fraud was routine in them as well.) The regulations lattice, an outgrowth of judicial decisions and a growing need to add a managerial class, reached a tipping point in the early 20th century.
The decade of pre-decadence, not the 1870s, but the 1910s, provided a host of snakes that squelched slowly the massive largesse of liberty, of ingenuity, of real progress in the United States. The voting of women may be seen as the most toxic, or the most important stalwart of recognizing equality of all adults (as defined by contract law, generally 18 years old) in the United States history.
One can argue that each woman, provided the liberty to vote, has to do this with some inkling that her choices impact all of society, even those men she despises for their toxic word choices or behaviors otherwise. Biologically, as we are different souls and we notice these immediately, there has always been conflict over the roles in society one can best fulfill and maintain awareness of the lurking dangers as well of subverting ideas and values from the unhappy and the deceitful.
One makes this noticeable here – because a Constitutional Amendment (19th) was added in August of 1920. Just as the Constitution changed under the Civil War’s outcome. Prior to this time, women voting existed in the colonial times, but was rescinded almost uniformly under each individual state by 1807. Thereafter, reestablishment efforts were made, generally in the Western territories, to induce population growth required to garner Statehood. (An Appeal by Rights.)
When one fosters equality of rights, therein lay a counterbalance, responsibility for the judicious and rational usage of them. This again reflects that Men Be No Angels, and neither are women. When political leaders seek to bribe people through their money (taxes, tariffs), “rights” or “something for nothing” there is always a DEBT to be PAID from this.
Many cultural critiques by academics, banking and political men, or mid-19th century writers, have utilized the backward glance at a country’s sins to justify the relevancy of their current policy or agenda proposed. (Revenge or reparations narratives are all based out of this pivot.) Others as well have advanced racial policies (under Eugenics) while promoting their own groups’ bettering position, such as Margaret Sanger did with her fervent beliefs for women’s rights and racially-targeted abortion practices. The overlay here is offering something needed, the voting for one’s leadership, but poisoning it, if subtlety so, with destructive policies for others along the way (anyone deemed inferior). This is a Faustian bargain driven by nefarious forces, at home and abroad.
The 16th and 17th Amendments grew likewise as destructive of the diffusion of powers of the government. First, the 17th amendment moved voting of Senators to a popular vote instead of by the State Legislatures. One can argue this was more “democratic”; or rather, it became easier to buy off one politician to run for Senate (saying all the right things to the people) than enough state legislators to shoehorn the right candidate into power. One can add that, a foreign interloper could come in an steal a Senate position with enough advertising and corporate backing, as we see at present with $200 million backstopping Senate candidates.
More consequentially to our current crisis, the Federal Reserve was further privatized into a banking cartel, as shown above (this was not revoked), controlled by a selected group of powerful and hidden men (and women now as well), that could decide far more consequentially on the fate of the United States than any President had to that moment, sans Lincoln or Washington, most notably.
Since the Federal Reserve’s inception, the rash of boom and busts cycles has not abated with wise old men (or women) at its head. Economists and managerial classes have never adequately explained their failures. Instead their efforts are to reinforce their omnipotence and deflect their shortcomings to nebulous ideas like “the market”, or “invisible hand”, which is actually THEIR HAND, choosing winners and losers alike.
When people complain about Capitalism they are complaining about Corporatism, Cronyism, Cartel Behavior, and Fascism, each with their evils increasing in gradual progression. We are in that last stage, and it is not hard to see the Fascism of Technology, Agencies, Education, Medical Guilds, and Judicial Bodies in a coordinating operation in the United States to chain us ALL forever.
As Antony C. Sutton noted, humanity should desire Free Enterprise systems and diffusion of government power to its minimum existence and impacts. This however is rarely achievable, or long lasting, if one gets it. Sutton illuminated the hustle well in Wall Street and FDR, Chapter 5:
Old John D. Rockefeller and his 19th century fellow-capitalists were convinced of one absolute truth: that no great monetary wealth could be accumulated under the impartial rules of a competitive laissez faire society. The only sure road to the acquisition of massive wealth was monopoly: drive out your competitors, reduce competition, eliminate laissez-faire, and above all get state protection for your industry through compliant politicians and government regulation. This last avenue yields a legal monopoly, and a legal monopoly always leads to wealth.
This robber baron schema is also, under different labels, the socialist plan. The difference between a corporate state monopoly and a socialist state monopoly is essentially only the identity of the group controlling the power structure. The essence of socialism is monopoly control by the state using hired planners and academic sponges.
On the other hand, Rockefeller, Morgan, and their corporate friends aimed to acquire and control their monopoly and to maximize its profits through influence in the state political apparatus; this, while it still needs hired planners and academic sponges, is a discreet and far more subtle process than outright state ownership under socialism. Success for the Rockefeller gambit has depended particularly upon focusing public attention upon largely irrelevant and superficial historical creations, such as the myth of a struggle between capitalists and communists, and careful cultivation of political forces by big business. We call this phenomenon of corporate legal monopoly—market control acquired by using political influence—by the name of corporate socialism.
Sutton’s analysis of cultivation leads us to subverting forces by use of Rights – divide-n-rule tactics – by Fiat Currency – to con people into lax values and debt entrapment – and by Free Stuff – as reparations steals taxes from those most closely situated (by income or geography) to those selected as winners (by the State/FED) of someone’s life, liberty and property, in order to: disintegrate cohesive countries into bickering sects based on class, religion, race, sex, and now, gender orientation. This is what Biden’s administration, if one is to pin blame currently, is doing to the entirety of the United States under the guise of progress.
What this means: the FORCES at hand have keyed on the fearful, the selfish and the resentful people to destruction of everyone else’s rights and liberties. The year 2020 was the United State’s Fascist-Communist Revolution led at the top by political power players, and forces international, in breath and scope. The C-19 virus was a weapon, of the spirit, more than the body.
(Proving this is easy: What has improved since March 13, 2020? Did all the Federal Reserve money, CARES Act PPP loans, and hyper-focus on Racism by the media and medical field, while neglecting other dis-eases, garner any social or economic benefit outside of the top 10% of U.S. citizens by income? What of liberty for law-abiding citizens? What justice has been improved? Who is most vocal for lockdowns – Bill Gates aka Rockefeller 2.0.)
A Battle of Final Solutions
No one cares to sacrifice if others do not. No one willingly gives up power when they are guilty of enormous crimes either. No one is capable of unilateral action against the 21st Century most advanced and coordinated political and military powers on this Earth.
Leaders of countries are so amoral, authoritarian, and devoid of any desire to help their citizens. In spite of peaceful protests (not the 2020 kind), these leaders do not budge one bit or feel an ounce of demonstrable guilt. Instead, saboteurs (Agent Provocateurs) are being recruited to setup falsehoods (Sutton’s myths) while the law enforcement was demonized to get the good ones to quit, leaving open positions for the violent and sociopathic LEOs to thrive. Tax collecting increased in Colonial times right after the Seven Years’ War (an 18th century World War); Biden’s administration desires tens of thousands more IRS Agents and tax increases into an assured recession. (The rich will just offshore their assets.)
Proxy wars initiated and maintained with open-ended funneling of monies, topping $100 billion so far. Central Banks, with real-time data hitherto unknown to their 18th-20th century brethren, are flummoxed to respond.
But that’s the point too. The central banks don’t want to respond morally or acceptably. They are controlling the collapse to offer the final solution.
What that final solution is: Is not one anyone with causal acquaintance with history should want. But one knows a FAUSTIAN BARGAIN is coming for all of us.
Central Bank Digital Currency to manage your entire human existence but without any escape. If one takes that bargain, it shows nothing was learnt about human history.
Resist it. Inform others. And build into united groups that understands this well.
Edit: 3/14/23 at 11 pm EST.
Lastly, keep cash around ALWAYS. Create barter systems. Trade locally and build networks to that end. Decentralize your life from the political, legal and financial powers that be.