Disinflation to Deflation

[Anonymouse]

The cause of the stock market and the result in Depression is only due to the Fed.

Nothing else and nothing more. There is no real money, and when the Fed controls the issuance and supply of it, and sets interests, it can manipulate the economy as it chooses.

[loseyourname]

There was one factor above and beyond all others that led to the stock market crash: speculation on credit. Millions of people owned stocks despite the fact that the stocks were not bought with their own money. The slightest drop in price left them with no choice but to sell, because they would not have had the money to pay back their creditors otherwise. This selling led to a further drop in prices and more selling until the problem was compounded into a market crash which destroyed banks that themselves did not have the money to pay back those who had made deposits. So yes, imaginary money is what destroyed the economy, but the Fed alone was not responsible. All banks took part in this, and every last man who made a profit off of money that did not exist was guilty.

[Anonymouse]

Originally posted by loseyourname There was one factor above and beyond all others that led to the stock market crash: speculation on credit. Millions of people owned stocks despite the fact that the stocks were not bought with their own money. The slightest drop in price left them with no choice but to sell, because they would not have had the money to pay back their creditors otherwise. This selling led to a further drop in prices and more selling until the problem was compounded into a market crash which destroyed banks that themselves did not have the money to pay back those who had made deposits. So yes, imaginary money is what destroyed the economy, but the Fed alone was not responsible. All banks took part in this, and every last man who made a profit off of money that did not exist was guilty.

Apparently you don't know about the Fed and how money works. I see you also subscribe to the textbook explanation of why the market crashed. To understand how that could be you must have a working knowledge of the Federal Reserve and the history behind it and how it came to be. This is akin to pre 911 mysterious stock transactions in which certain people profited billions because of prior knowledge.

The problem is precisely that, money that did not exist. The Federal Reserve prints money that doesn't exist, it is a promissary note, a Federal Reserve Note, akin to an IOU. I recommend William Geider's 1983 classic Secrets of the Temple: How the Federal Reserve Runs the Country, if I didnt mention that in my booklist. It was prior to the 30s that the paper bills could be redeemed for their gold or silver per Section 10 of the Constitution, as it verified gold and silver as the lawful tender, as a result of the stock market manipulation induced depression, you had people like FDR create more legislation and gain more power. This is how the government has grown bigger.

Even before the Fed came to be, as highlighted in the book The Creature from Jekyll Island there was a series of panics such as in 1909 by J.P. Morgan, since it was his island and he invited the most powerful banking families to plot a scheme on how to get the U.S. accept a central bank. Historically the struggle to establish a central bank in the U.S. has been going in since the days of the colonies. It is quite a rudimentary application of the Hegelian dialect. Today we are experiencing a different kind of depression, an inflationary depression in which the continued printing of worthless paper money makes it lose its value. In order for the Fed to gain complete control of the financial system, it had to gain complete control of the money, which meant replacing the redemption of gold. It was precisely the inflationary policies of the Fed that eventually led it to the crash.

[loseyourname]

It's cool, my brother. Down with bureaucracy.

[Anonymouse]

It is precisely the fear of a financial collapse, when one knows how much power is concentrated in the Federal Reserve.

They literally "run the country". It's not far fetched at all. In fact, conspiracy theorists can trace the assassinations of Lincoln and JFK, to the money masters. Essentially theres some occultic symbolism around this - the secret of money. The whole world is underthis usurious debt system of creating money out of thin air.