Uploaded on Tuesday 27 May, 2014 to the money trust
The catalyst for the Federal Reserve Act of 1913
At the dawn of the twentieth century, the money trust got back to the business of paving the way for a new, private central bank for America. Powerful bankers such as John Pierpont Morgan (J. P. Morgan) led the charge.
A major final panic would be necessary to focus the country's attention on the supposed need for a central bank. The thin rationale offered was that only a central bank can prevent widespread bank failures and stabilize the currency. The critically important feature of who would own and control it was an issue carefully avoided.
Morgan was the most powerful banker in America during his time, and, like his father, Junius Spencer Morgan, he worked as an agent for powerful overseas bankers, but also for his own interests. He helped finance the monopolization of various industries like Rockefeller's Standard Oil empire, consolidated big steel holdings into a monopoly by buying Andrew Carnegie's steel companies, and, he owned numerous industrial companies and banks.
The sitting president during the 1907 stock market crash, Theodore Roosevelt, had perhaps genuine intentions of breaking up industrial monopolies, using the Sherman Antitrust Act of 1890; but in real terms, his actions amounted to very little. Instead of curbing big corporations and creating new opportunity in the market place, all he ended up doing was dividing big corporations into several small sized ones which (a) were still functioning in tandem as though they were one contiguous unit; (b) were controlled by the same people at the top and; (c) were unaffected by the structural changes with regard to their market share.
It was clear that the money trust had the upper hand. So strong was their clout that they could dictate policy to Congress through the connections they had forged. But, not everyone in the District of Columbia was convinced that America needed a central bank. If the money trust were to have things their way, then coercion it would have to be. The Panic of 1907 was orchestrated by financiers to deceive Congress into thinking that, only financial institutions knew better and should therefore be in charge of the country's money supply. That is why J. P. Morgan stepped into the fray to rescue the economy. He ran the entire deception, breaking the news of the pending collapse of the Knickerbocker Trust Company.
Several years later on the 23rd of December, 1913, President Woodrow Wilson signed the Federal Reserve Act of 1913 into law, reinstating a central bank for America; the fourth such bank in existence since 1781. Economic textbooks would later explain that the creation of the Federal Reserve System was the direct result of the Panic of 1907.
Ellen Hodgson Brown, President & Founder of the Public Banking Institute (PBI) and author of such books as "The Web of Debt", The Public Bank Solution", addresses the PBI 2012 conference in Philadelphia.
Victoria Grant, seen here aged 12 years old, addresses the first annual Public Banking Conference in Philadelphia, PA. Her father and she discovered that the debt money system was what was wrong with the Canadian economy and decided to do something about it.
The Bank of North Dakota was established by legislative action in 1919 to promote agriculture, commerce and industry. North Dakota is the only state to have escaped the credit crisis. For every year since 2008, it has run a budget surplus and it has the lowest unemployment figures in the US, the lowest default rate on its loans and the lowest foreclosure rate.
Mike Krauss, Chairman of the Pennsylvania Project, puts forward his proposal, based on the success of the Bank of North Dakota, to create a Public Bank for the state of Pennsylvania. Such a move would free the state from the clutches of the Fed, reduce the debt burden, boost investments and serve the public interest.
Most people hold the view that their bank deposits are safe with the big commercial banks, however, this assumption is not based on the facts. This video features official government documents detailing information that should sound anyone's alarm bells [edited].