Abolish the Federal Reserve

Today most Americans have accepted the devaluation of the U.S. dollar as commonplace. They believe it is just a consequence of having paper currency. However, this is far from the case. Devaluation only occurs when fiat currency, money which is only backed by a government, is used. The first national currency was created in 1861 under the Lincoln administration. While this was the first step towards the out of control fiat currency we have today the 1861 currency was still backed by a gold standard. It wasn’t until 1971, 110 years later, that our currency became in essence worthless.

Just to give a few examples of the devaluation of the U.S. dollar:

$23.61 (in 2006 dollars) is equal to $1.00 (in 1861 dollars)

$4.55 (in 1970 dollars) is equal to $1.00 (in 1861 dollars)

$5.19 (in 2006 dollars) is equal to $1.00 (in 1970 dollars)

These statistics are quite upsetting. Considering for the 110 years that U.S. currency was backed by the gold standard the purchasing power of the dollar changed by $4.55 - or a decrease of $.045 per year. However, from 1970 (the last full year the U.S. had the gold standard) to 2006 the purchasing power of the dollar changed by $5.19 - or a decrease of $0.144 per year.

Basically we have increased the devaluation of U.S. currency by 3 fold. In the 1st 110 years of our national currency our purchasing power decreased at roughly the same rate it did in the last 30 years. The worst part of this is that the decrease in U.S. currency is being controlled by a private bank, the Federal Reserve. They have a de facto power to destroy U.S. currency if they so wished.

To conclude here are some quotes from our Founding Fathers on national banks:

“If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around them (around the banks), will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered.” - Thomas Jefferson

“History records that the money changers have used every form of abuse, intrigue, deceit, and violent means possible to maintain their control over governments by controlling the money and its issuance.” - James Madison

“Most Americans have no real understanding of the operation of the international money lenders. The accounts of the Federal Reserve System have never been audited. It operates outside the control of Congress and manipulates the credit of the United States” - Sen. Barry Goldwater (Rep. AR)

Okay, so the last one wasn’t from a Founding Father, but it is enlightening nonetheless.