Have you ever wondered why our national debt keeps climbing higher and higher? Or why, no matter how much money is printed, wages and savings seem to buy less every year? It’s not just your imagination — our financial system is built on a house of cards, and the real problem lies in the hands of a powerful, yet largely invisible, institution: the Federal Reserve.
If you’re like most Americans, you might not even know who really controls the money supply, but the implications are huge for your everyday life. From rising inflation to crippling national debt, the current monetary system is unsustainable — and if we don’t address it soon, we could find ourselves in a situation similar to Venezuela, where the currency loses all value. Let’s break it down, take a look at history, and explore what we can do to fix this mess.
A Brief History of Money and the Federal Reserve
In the early days of America, money creation was a straightforward process. According to the U.S. Constitution, Congress had the power to coin money and regulate its value. This was a system that allowed the government to control the currency, ensuring it was tied to something tangible, like gold or silver.
But, over time, this changed. In 1913, in response to banking crises and economic instability, the Federal Reserve was created. The idea was to establish a central bank that would manage the money supply and stabilize the economy. However, there’s a catch: The Federal Reserve is not fully a government institution. It’s a private entity controlled by major banks, and although it operates under some government oversight, it primarily serves the interests of private bankers rather than the public.
The Creature from Jekyll Island: The Roots of the Problem
If you want to understand just how deep the problem runs, look no further than G. Edward Griffin’s landmark book, The Creature from Jekyll Island. In this eye-opening work, Griffin reveals the hidden history behind the creation of the Federal Reserve. The book argues that the central bank was designed by a group of wealthy bankers to consolidate their power over the U.S. economy, ensuring that they, not the government, controlled the nation’s money supply.
The crux of Griffin’s argument is that the Federal Reserve allows these bankers to create money out of thin air, lend it to the government and private banks, and charge interest — interest that taxpayers must pay back. This system, according to Griffin, is not only unconstitutional but fundamentally unfair, as it forces citizens into a perpetual cycle of debt and inflation.
The Problem: Perpetual Debt and the Erosion of the Dollar
Here’s where things get ugly. The United States is currently facing an astronomical national debt that has surpassed $33 trillion — and counting. To put that number in perspective, it’s almost impossible to imagine fully paying it off in any realistic timeframe. The problem isn’t just that we’re borrowing money; it’s that we’re borrowing money from the very system that creates it.
watch Live US Debt clock
Because the Federal Reserve can simply print more money and lend it to the government, we continue to build debt without actually generating any real wealth to back it up. This creates a debt spiral, where the U.S. government borrows more money to pay off existing debt, which increases the amount of interest it has to pay — and the cycle repeats itself. At some point, this system collapses under its own weight, and all we’re left with is a dollar that’s worth less and less every day.
Inflation: The Silent Thief of Your Savings
As the Federal Reserve prints more money, it dilutes the value of what’s already in circulation. This means the cost of living rises — your groceries, gas, and even rent become more expensive. This is inflation, and it’s the silent killer of your purchasing power.
You may have noticed that the price of everything seems to keep going up, but your paycheck isn’t getting any bigger. This is the result of the Federal Reserve’s policies of monetary expansion, which essentially makes your money worth less and less as the money supply increases.
The Solution: Return to Sound Money and Eliminate the Federal Reserve
What can we do to stop this madness? The solution might be simpler than we think, but it would require major reform.
- End the Federal Reserve: As Griffin argues in his book, the Federal Reserve has become a tool of private bankers rather than the government. We need to return control of the money supply to Congress, as the Constitution originally intended. By eliminating the Fed, we can stop the endless cycle of debt and interest payments that benefit the wealthy while burdening the taxpayer.
- A Government-Controlled Central Bank: Rather than relying on a private institution, we need a central bank that is fully accountable to the people. A government-run bank would be able to manage the money supply without the need for profit-driven motives. This would also ensure that inflation is controlled and that the value of the dollar is preserved for future generations.
- Return to the Gold Standard: In order to prevent the government from printing money out of control, we should consider returning to a gold standard. This means that money would be tied to a tangible asset (gold), limiting the ability of the government to inflate the currency. A gold-backed dollar would restore confidence in our money, and help protect us from the kind of hyperinflation seen in countries like Venezuela, where the currency became worthless due to reckless money printing.
- Restore the Value of the Dollar: By eliminating the Federal Reserve and returning to sound money principles, we could restore the purchasing power of the dollar, stabilize the economy, and avoid the looming threat of hyperinflation.
The Bottom Line: The Dollar Is at a Crossroads
If we continue down the current path, we could very well find ourselves in a situation where the dollar becomes just as worthless as the currency in Venezuela or Zimbabwe. The system is not sustainable. The Federal Reserve, by printing money and lending it with interest, is ensuring that our national debt will never end. Inflation will continue to erode the value of the dollar, leaving us with less and less purchasing power.
It’s time for change. It’s time for a monetary system that works for the people, not just the bankers. A government-run central bank, a return to the gold standard, and the elimination of the Federal Reserve would put us back on the path to sound money and economic stability.
The choice is ours: We can continue down the road of inflation and perpetual debt, or we can demand a return to a financial system that benefits the American people and preserves the value of our dollar for generations to come.