This practice which is referred to as fractional reserve banking is supposedly regulated by the Federal Reserve an institution which just happens to be only controlled by a conglomerate of banks, and no agency or branch of government regulates the Federal Reserve. ItвЂ™s like writing hot checks, except itвЂ™s legal, for banks. The rest is created by the Federal Reserve which loans out money that they donвЂ™t have, mostly to government. Approximately 70% of the money in circulation is created by ordinary banks which are allowed to loan out more money than they actually have in their accounts. With debt based currencies money is literally loaned into existence. I have directed Secretary Connally to suspend temporarily the convertibility of the dollar in the gold or other reserve assets, except in amounts and conditions determined to be in the interest on monetary stability and in the best interest of the United StatesвЂќДЄt this point the dollar became appear debt based currency. Quoting Nixon, вЂњI have directed the Secretary of the Treasury to take the action necessary to defend the dollar against the speculators. In 1971 in what later came to be called the вЂњNixon ShockвЂќ, President Nixon removed the dollar from the gold standard completely. The result was Rampant InflationВ and a general flight from the dollar. Translation: Federal Reserve is printing more money than it can actually back. dollars, however the United States only had $3.2 billion in gold allocated to cover foreign holdings. According to the IMF, by 1966, foreign central banks held $14 billion in U.S. dollar was bound to the gold standard, at least officially. What makes the dollar unique is the fact that since the early 1970s it has been with a few notable exceptions- the only currency used to buy and sell oil on the global market. Many currencies have held the reserve status off and on over the centuries. Though it has been the world reserve currency since 1945, this is not what makes it unique. The US dollar is a truly unique currency, in fact itвЂ™s current design and its relationship to geopolitics is unlike any other in history.

Once you understand why, events unfolding in the world right now will make much more sense. Americans would be brought to their knees, begging for big government to save them.ДЇor some time now Russia, China, Iran and Syria have been in the cross hairs. Then, under the weight of the debt, the system would implode and the economy collapse, bankrupting business owners (i.e. So the plan was to make a majority of Americans dependent on welfare, food stamps, disability, unemployment, and entitlements of all kinds. history combined.Д¬loward and PivenВ taught that America could only be destroyed from within.В Only by overwhelming the system with debt, welfare, and entitlements could capitalism and the America economy be destroyed. By the time ObamaвЂ™s second term is over, we will have accumulated about as much new debt under his leadership than we did under all of the other U.S.

national debt has increased by more than 7 trillion dollarsВ since Barack Obama has been in the White House. This is the greatest government debt bubble in the history of the world, yet very few people seem to have any desire to do anything about this. national debt has actually grown by more than a trillion dollars in less than 12 months. This stimulus program is called Quantitative Easing, or as itвЂ™s more commonly known, QE. As such when you see the mouthpieces of the ruling class begin to demonize a foreign country, the first question on your mind should always be- вЂњwhat is actually at stake here?вЂќДЇor the last six yearsВ the Federal Reserve has pumped over $110 million dollars into the U.S. Rather by a shadowy cocktail of money-geopolitics. Contrary to popular belief, conduct of nationвЂ™s on the international stage is almost never driven by moral considerations.

The geopolitics of world war iii