December 4 – 10

DECEMBER 4

1975 – DEATH OF GRAHAM TOWERS, GOVERNOR, BANK OF CANADA, 1934-54

“Each and every time a bank makes a loan, new bank credit is created – new deposits – brand new money.”

2003 – THE LOST SCIENCE OF MONEY – A SOLUTION TO THE STATES’ FISCAL CRISES Speech by Stephen Zarlenga, Director of the American Monetary Institute, at the U.S. Treasury

“The supreme importance of the concept of money now becomes evident: For if money is primarily a commodity, convenient for making trades, which obtains its value out of ‘intrinsic’ qualities, then it could be viewed more as a creature of merchants and bankers than of governments.

“But if the true nature of money is an abstract social institution embodied in law – obtaining its value largely through legal sanctions, then its more a creature of governments, and the Constitution had better deal with it adequately. Describing how a uniform currency is to be provided, controlled and kept reasonably stable, in a just manner. It was on this crucial question that the Constitutional Convention faltered.”

https://www.monetary.org/research-articles/59-stephen-zarlenga-s-speech-at-the-u-s-treasury-dec-4-2003

2013 – INTERVIEW OF RODNEY SHAKESPEARE, PROFESSOR OF ECONOMICS

Q: Do you share this optimism about Iceland’s financial recovery?

Rodney Shakespeare: “Iceland is quite right to make an upright challenge to the global financial system. Unless you say that you are going to throw it out the window, they will always succeed in creating money out of nothing, lending to you with administration cost and interest, lending it for anything except the real economy. Lending it for anything except the spreading of the real economy and putting you into debt. And the debt becomes repayable.

You must rely on your own national bank for your own uses, for your own real economy and for the spreading of it. And if you don’t do that, you’ll be trapped in debt in the same way that…. well, you’ve got Greece, you’ve got Iceland, you’ve got every country in the world trapped in increasing debt and all that happens is that they increase the levels of the debt and smash the populations down.”

2019 – PUBLISHED “STATEMENT BY THE ALLIANCE FOR JUST MONEY ON THE OPEN LETTER ‘RETHINKING THE ROLE OF BANKS IN ECONOMICS EDUCATION’”

“In February 2019 economics students at the University in Maastricht in the Netherlands penned an open letter in which they challenged their economics professors and their textbooks on the money and banking theories they teach…

“At the Alliance For Just Money, we agree with these students’ assessment and support their initiative. We encourage students to challenge their teachers and examine their textbooks and curricula for outdated theories of banking. We would also point out that some textbooks might be actually correct (for example, McConnel & Brue’s Macroeconomics which addresses “Money-Creating Transactions of a Commercial Bank”) but may lack any discussion of the systemic adverse impacts of such money-creating transactions on such things as the formation of asset bubbles, resulting financial crises and economic inequality. We encourage students to press for such assessments and explore possible alternative solutions…

“And we would encourage these economics students not just to get their theories right, but also to look at existing proposals to fundamentally reform the current monetary system. We think banks should be intermediaries, like most people, including economists and politicians, incorrectly assume them to be. To that effect here in the USA the Alliance For Just Money (AFJM) and the American Monetary Institute (AMI) pursue identical policy objectives.”

DECEMBER 5

1782 – BIRTH OF MARTIN VAN BUREN, 8TH PRESIDENT OF THE UNITED STATES

“The MONEY POWER…when firmly established, was destined to become the only kind of an Aristocracy that could exist in our political system.” (Note: Van Buren always capitalized “MONEY POWER” when using the term.)

Van Buren was Vice President when President Jackson refused to support the re-chartering of the private, misnamed “Second Bank of the United States” – the nation’s central bank at the time (equivalent in some ways to the Federal Reserve Bank of today). The Bank had originally been chartered for 20 years in 1816. A corporate charter was considered then a democratic tool, a means for the public to define the actions of a corporation to ensure it remained subordinate to meeting public needs (something We the People have forgotten today). After the Bank charter was dissolved (which meant the Bank could no longer create money as debt), Jackson and Van Buren sought to replace the money system with coinage or bank notes convertible to gold/silver. But this was an insufficient amount of currency needed to supply the growing the US economy. Currency contracted. The nation experienced the worst depression up to that time beginning in 1837.

2019 — “AGAINST ECONOMICS” PUBLISHED ARTICLE BY DAVID GRAEBER

“There is a growing feeling, among those who have the responsibility of managing large economies, that the discipline of economics is no longer fit for purpose. It is beginning to look like a science designed to solve problems that no longer exist.

“A good example is the obsession with inflation…

“We now live in a different economic universe than we did before the crash. Falling unemployment no longer drives up wages. Printing money does not cause inflation. Yet the language of public debate, and the wisdom conveyed in economic textbooks, remain almost entirely unchanged.”

DECEMBER 6

1921 – THOMAS EDISON QUOTE IN THE NEW YORK TIMES

“If our nation can issue a dollar bond, it can issue a dollar bill. The element that makes the bond good makes the bill good… If the Government issues bonds, the brokers will sell them. The bonds will be negotiable; they will be considered as gilt edged paper. Why? Because the government is behind them, but who is behind the Government? The people. Therefore it is the people who constitute the basis of Government credit. Why then cannot the people have the benefit of their own gilt-edged credit by receiving non-interest bearing currency… instead of the bankers receiving the benefit of the people’s credit in interest-bearing bonds?” 

DECEMBER 7

2010 –  “CHINA FALLS INTO THE SAME TRAP” BLOG POST BY POSITIVE MONEY

“This won’t be a surprise for anyone familiar with the mechanisms of fractional reserve banking. As soon as we allow commercial banks to take control of the creation of money, all we have to look forward to is unaffordable housing, significant inflation, excessive debt, and shortly after, a wave of bank collapses, which are in turn followed by taxpayer-funded bailouts, austerity measures, and potentially an IMF bailout of the government. It seems that China is falling into the same trap that has caught the US, UK, Ireland, Spain and many other Western countries.” http://positivemoney.org/2010/12/china-falls-into-the-same-trap/

2012 – “THE BIRTH OF THE DOLLAR BILL” AIRING ON NPR “PLANET MONEY” PROGRAM

“Before the Civil War, there were 8,000 different kinds of money in the United States.

“Banks printed their own paper money. And, unlike today, a $1 bill wasn’t always worth $1. Sometimes people took the bills at face value. Sometimes they accepted them at a discount (a $1 bill might only be worth 90 cents, say.) Sometimes people rejected certain bills altogether.

“On today’s show, we figure out how this world worked. And explain how the Civil War — and the Union’s need for money — changed everything.”

https://www.npr.org/sections/money/2012/12/07/166747693/episode-421-the-birth-of-the-dollar-bill

DECEMBER 8

1931 – PRESIDENT HOOVER CALLS FOR BANKING REFORM IN MESSAGE TO CONGRESS

“Our people have a right to a banking system in which their deposits shall be safeguarded and the flow of credit less subject to storms.”

“Congress should investigate the need for separation between different kinds of banking, an enlargement of branch banking under proper restrictions, and the methods by which enlarged membership in the Federal Reserve System may be brought about.” 

[Note: While Hoover was correct in pointing out that reforms were needed to the banking system to safeguard deposits and to separate different types of banking, he and FDR who followed him in the Oval Office failed to truly understand the root of the monetary problem – the authority of banks to create our money as debt and to issue such debt money multiple times in excess of their actual deposits (called “fractional reserve” lending). Yes, FDIC insurance to protect bank deposits and the Glass-Steagall Act to separate commercial and investment banks were fine banking reforms. Neither, however, were monetary reforms – changes to the basic structure of our monetary system that empowers economically and politically banking corporations in the creation and distribution of money.]

DECEMBER 9

1946 – BIRTH OF SONIA GANDHI, PRESIDENT, HEAD OF CONGRESS PARTY, INDIA

“Let me take you back to Indira Gandhi’s bank nationalization of 40 years ago. Every passing day bears out the wisdom of that decision. Public sector financial institutions have given our economy the stability and resilience we are now witnessing in the face of the economic slowdown.”

DECEMBER 10

1690 – PAPER MONEY ISSUED BY MASSACHUSETTS

Faced with a pressing need to fund military action against Canada during King William’s War, the Massachusetts colonial government authorized the issuing of £7,000 in public paper currency. This was the first public paper money issued in the colonies. The paper money possessed no intrinsic value. Its only value was that it was backed by the colony, accepted for tax payments. The notes could be redeemed for hard currency if such currency was available.

http://www.coins.nd.edu/ColCurrency/CurrencyText/MA-1690-1750.html

1896 – DEATH OF ALFRED NOBEL, INVENTOR AND BENEFACTOR OF THE NOBEL PRIZES

Annual international awards are bestowed on this day to honor great scientific and cultural advances in humanity in chemistry, literature, peace, physics and physiology or medicine, but not in economics. There has never been a Nobel Prize in economics. An annual Economic Science award is presented by Sweden’s Central Bank “in memory of Alfred Nobel” against the wishes of the Nobel family.

“The Economics Prize has nestled itself in and is awarded as if it were a Nobel Prize. But it’s a PR coup by economists to improve their reputation,” Nobel’s great, great nephew Peter Nobel stated in 2005. “It’s most often warded to stock market speculators…There is nothing to indicate that [Alfred Nobel] would have wanted such a prize.”

http://www.alternet.org/economy/there-no-nobel-prize-economics

2019 – “CHRISTOPHER SHAW AND THE AMERICAN STRUGGLE TO MAKE BANKING MORE DEMOCRATIC,” POSTED ONLINE INTERVIEW

“Your book tracks the ebb and flow of these voices challenging the banking institutions. When was the height of the call for public control over financial institutions?…

“’There are two moments. The most intense was in the early portion of the Great Depression. The banks were failing and crashing. The entire economy was in meltdown mode. Thousands of banks were suspended during that time. The banks were making the depression much worse than it was. Unemployment was at least 25 percent. That was probably the most intense.’

“’But also during the progressive era – from the Panic of 1907 up until the start of World War I –  there was a lot of civic engagement with these questions. Banking reform was on the table.’”…

“Your book ends during the Obama administration. Do you see a rise in banking politics since?

“’Yes. It has come out of the blue. It’s not what it was. But people are talking about it again. You are seeing it with the candidacies of Bernie Sanders and Elizabeth Warren for President. You saw it with the Occupy Wall Street movement. Some in the Republican Party are complaining about too big to fail banks. Banking is being discussed again in a way that it really hasn’t been for decades.’”

2019 – PUBLICATION OF THE ALLIANCE FOR JUST MONEY PAMPHLET

“The US Constitution gives the power to create money to the Congress, for reasons stated in the Preamble.

“The money creation power was purposely not given to a private, profit driven banking system such as we have today.

“New Threats to our habitat and our republic challenge us to bring the money system back under public control now.

It doesn’t have to be this way…

“The Alliance For Just Money is working to change the system so money can be created debt-free….

“THREE CRITICAL REFORMS

“Achieving Just Money requires three reforms of our money and banking system to be implemented together.

“1. Require Congress to a) exercise its Constitutional responsibility to be the sole creator of all U.S. money, issued debt-free, b) to establish a transparent and independent, public monetary authority to determine the amount of new money Congress should create to maintain purchasing power.

“2. End the privilege of commercial banks to create and issue what we use as money.

“3. Transfer ownership of the 12 Federal Reserve Banks, and all remaining operations of the Federal Reserve System, to the U.S. Treasury.

“Legislation is written already, introduced to Congress in 2011 as HR 2990. It creates a Public Money System in which anything physically possible, ecologically wise, and socially desirable is financially feasible.”

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November 27 – December 3

NOVEMBER 27

2008 – “HUMAN CAUSES OF THE ECONOMIC CRISIS AND SPIRITUAL SOLUTIONS” POSTED ARTICLE BY STEVE LARSON

“In the ideal, spiritual economy, there is essentially a one-on-one relationship between the amount of money and the amount of something that has real actual value, be it goods or services. Or even, in the case of gold money, that the gold itself has a certain value. So the point here is there should always be a direct relationship between money and something that has real value. 

“And when people actually multiply their talents, they can, as a result of that multiplication, accumulate a certain amount of money which they can then choose to store for times when they may not be able to make the money. Even this is legitimate, as long as the money was created as a result of providing a real service to life, be it an invention, taking the initiative, or performing physical labor. There is nothing wrong with storing that money. Even so, it is only when it is put to use in investing will it will help the economy grow. And thus, savings should really only be a temporary thing and should not mean that the money is permanently taken out of circulation.”

http://www.alpheus.org/human-causes-of-the-economic-crisis-and-spiritual-solutions/?fbclid=IwAR3bAVoTfi5TVhm8SQb45jwjT4KGdeWQlO-Q9qlhcXb9tnlW1HasEpAPKlg

2012 — PAPERBACK PUBLICATION OF “DEBT: THE FIRST 5000 YEARS” BY DAVID GRAEBER

“A major argument of the book is that the imprecise, informal, community-building indebtedness of “human economies” is only replaced by mathematically precise, firmly enforced debts through the introduction of violence, usually state-sponsored violence in some form of military or police.

“A second major argument of the book is that, contrary to standard accounts of the history of money, debt is probably the oldest means of trade, with cash and barter transactions being later developments.

“Debt, the book argues, has typically retained its primacy, with cash and barter usually limited to situations of low trust involving strangers or those not considered credit-worthy. Graeber proposes that the second argument follows from the first; that, in his words, “markets are founded and usually maintained by systematic state violence”, though he goes on to show how ‘in the absence of such violence, they… can even come to be seen as the very basis of freedom and autonomy’.”

https://en.wikipedia.org/wiki/Debt:_The_First_5000_Years

2013 – RELEASE ON THE COMMUNITY CURRENCY KNOWLEDGE GATEWAY WEBSITE THE FIRST OF 10 PART  “OPEN MONEY” SHORT VIDEO SERIES

The short videos feature Michael Linton, developer of the Local Exchange Trading System (LETS), a form of community currency. The videos describe multiple aspects of money. Each video is only 2-4 minutes in length. Part 1 is at http://community-currency.info/en/featured/open-money-part-1/. The entire series is at http://community-currency.info/en/videos/introduction-to-ccs/open-money-series-michael-linton/

NOVEMBER 28

2014 – “DEBATE OVER MONETARY SYSTEM GROWS” ARTICLE PUBLISHED ON DEUTSCHE WELLE (GERMANY’S INTERNATIONAL BROADCAST WEBSITE)

“Nearly all money is created by commercial banks in the act of lending. They also decide whom to lend it to, and for what purposes. Is this good for the economy? A growing movement is arguing for an alternative.” http://www.dw.com/en/debate-over-monetary-system-grows/a-18100679

NOVEMBER 29

1820 – DEATH OF WILLIAM RICHARDSON DAVIS, GOVERNOR OF N. CAROLINA AND DELEGATE TO THE 1787 US CONSTITUTIONAL CONVENTION

“So low and hopeless are the finances of the United States, that, the year before last Congress was obliged to borrow money even, to pay the interest of the principal which we had borrowed before. This wretched resource of turning interest into principal, is the most humiliating and disgraceful measure that a nation could take, and approximates with rapidity to absolute ruin: Yet it is the inevitable and certain consequence of such a system as the existing Confederation.”

NOVEMBER 30

1835 – BIRTH OF MARK TWAIN

“Beautiful credit! The foundation of modern society. Who shall say that this is not the golden age of mutual trust, of unlimited reliance upon human promises? That is a peculiar condition of society which enables a whole nation to instantly recognize point and meaning in the familiar newspaper anecdote, which puts into the mouth of the speculator in lands and mines this remark: — ‘I wasn’t worth a cent two years ago, and now I owe two million dollars.’ “

Another classic: “It ain’t what you know that gets you into trouble. It’s what you know for sure that just ain’t so.”

2006 – STATEMENT THIS MONTH BY REED SIMPSON, BANKER, GRADUATE OF AMERICAN BANKERS ASSOCIATION GRADUATE SCHOOL OF BANKING AND THE LONDON SCHOOL OF ECONOMICS

“The process by which money comes into existence is thoroughly misunderstood, and for good reason: it has been the focus of a highly sophisticated and long-term disinformation campaign that permeates academia, media, and publishing. The complexity of the subject has been intentionally exploited to keep its mysteries hidden. Henry Ford said it best: ‘It is well that the people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.’…

“In my experience, in fact, the chief source of bank robbery is not masked men looting tellers’ cash tills but the blatant abuse of the extension of credit by white collar criminals. A common practice is for loan officers to ignore the long-term risk of loans and approve those loan transactions with the highest fees and interest paid immediately – income which can be distributed to the principal executives of the bank.”

DECEMBER 1

1135 – DEATH OF KING HENRY I OF ENGLAND

About 1100, King Henry, short on gold money, created a unique form of government issued money – Tally Sticks. These sticks were just that – polished pieces or sticks of wood with notches of a certain size to indicated the value of the wood. They were declared by the King as money and issued for purchases. They were accepted by the King for payment of taxes. Tally Sticks was an accepted debt-free government-issued money system of England for over 700 years, including the period of the rise of the British Empire.

1896 – PRELIMINARY MEETING OF INDIANAPOLIS MONETARY CONVENTION

Organized by those connected to J.P. Morgan and John D. Rockefeller (the two most powerful bankers, if not businessmen, in the US at the time), a gathering was organized one month after William McKinley defeated William Jennings Bryan for President to address monetary issues. The economic power elite, which had backed McKinley and his support for money backed by gold, realized a pure gold standard prevented the issuance of new money when needed to meet a growing economy. Rather than directly proposing a more “elastic” monetary system or the creation of a banker controlled central bank themselves, the bankers deliberately organized a gathering of businessmen, economists, and other academics, as well as bankers, in the nation’s heartland.

            A preliminary meeting was held on December 1 with a larger gathering on January 12, 1897. The effort was to camouflage the interests of the major banking interests and convince the public and Congress of the existence of a grassroots movement for real monetary reform. The Indianapolis Monetary Convention urged President McKinley to continue the gold standard, and create a new system of “elastic” bank credit. To that end, the convention urged the president to appoint a new monetary commission to prepare legislation for a new revised monetary system.

            A more in-depth report from what became the Indianapolis Monetary Commission was first published on December 1 of the following year in Sound Money magazine. This provided the political cover for the introduction in Congress of a bill to create what eventually became the US. Federal Reserve Act, creating the Federal Reserve System.

DECEMBER 2

1968 – US PRESIDENT NIXON NAMES HENRY KISSINGER SECURITY ADVISOR

Attributed quote to Kissinger, connected to the powerful Rockefeller circle: “If you control the oil, you control entire nations; if you control the food, you control the people; if you control the money, you control the entire world.” 

2020 – “THE PROBLEM WITH MONEY” BY HOWARD SWITZER POSTED ARTICLE

“The nascent monetary reform movement understands that the real cause of the extreme wealth inequality as well as the destruction of our resource base, is the monetary system. It is a systemic problem that affects human behavior as well as our planet. The movement understands, as did Aristotle, that money for most of civilization’s history, has played two roles:

1. An exchange medium for facilitating economic activity (it is just money)

2. An instrument of power capable of dominating the market (the hidden hand)”

https://howardswitzer.medium.com/the-problem-with-money-7fc3e1b3490b

DECEMBER 3

2010 – QUOTE OF BEN BERNANKE, FEDERAL RESERVE CHAIR

“I wish I’d been omniscient and seen the crisis coming.” [The crisis was the financial implosion of 2007-2008, triggered by unscrupulous financial shenanigans of banking corporations and other lenders, which led to a massive housing debt that the Federal Reserve did nothing to address]. 

November 20 – 26

NOVEMBER 20

2014 – UK PARLIAMENT DEBATES MONEY CREATION FOR FIRST TIME IN 170 YEARS 

From a press release from the UK group, Positive Money                         

 “Parliament places huge scrutiny on how taxpayers’ money is spent. But for the last 170 years, parliament has ignored the question of how money is created in the first place. This will change on Thursday 20th November when MPs will attend a debate on money creation and society.

Money creation affects almost every aspect of our lives and is directly connected to almost all public policy, including public and private debt levels, house prices, and rising inequality, but it’s very poorly understood. A recent poll found that 7 out of 10 MPs believed that only the government could create money, when in fact banks create 97% of money when they make loans, as recently confirmed by the Bank of England.

There is cross party support calling for a debate on money creation. The problems resulting from private money creation have not been debated in Parliament since 1844, when Sir Robert Peel brought in the Bank Charter Act, forbidding the private banks from printing paper money. In light of the financial crisis, we welcome this debate to discuss the foundations of the economy: the monetary system.”

[NOTE: Lack of basic understanding of money creation is no doubt as much a reality of U.S. Senators and Representatives as English MP’s. Needed is a similar debate in the U.S. Congress to increase their monetary literacy and raise the issue for public discussion.]

2019 – THE FEDERAL RESERVE IS LOOKING INTO DEVELOPING A DIGITAL CURRENCY IN THE US, POWELL CONFIRMS

“A digital currency backed by the central bank in the largest economy would be unprecedented and raise a host of legal and operational questions. Powell said it would be closely considered by policymakers but added that the US could be in some ways better positioned than other countries that have looked into such a proposal.”

https://markets.businessinsider.com/news/stocks/the-federal-reserve-is-looking-into-developing-digital-currency-us-2019-11-1028705211?fbclid=iwar2w7bdoo27_pjzxnv8loj6vkogvx0rwxpuid9arf-oqgsqdsl00j_5sn4m

[NOTE: A Fed-backed national digital currency would not change the fact that the Fed would continue to create money out of thin air as debt.]

2019 – MEMBER SUCCESS STORIES: THE AMERICAN ALLIANCE FOR JUST MONEY, ONLINE REPORT

“Over the last few months the Alliance has been supporting two of our members How We Pay Campaign.  Board member Virginia Hammon (Author of US Money: What is it? Why we must change. How we can) and AFJM member Mark Pash (Author of Creating a Win-Win Economy: Solutions for the Robotic Age) collaborated to publish their joint work entitled How We Pay For A Better World.  The campaign is a multifaceted effort to bring awareness about monetary reform to U.S. citizens. It involves not only a book but also a country wide tour visiting various conferences, fairs and gatherings to spread an understanding of how Just Money can pay for a better world.  Below is a link to a video narrated by Virginia Hammon promoting the campaign.”

Watch video at https://www.youtube.com/watch?v=F7QK7Yy9jwQ&feature=youtu.be

NOVEMBER 21

1933 – PRESIDENT FRANKLIN D. ROOSEVELT  — FINANCIAL ELEMENTS OWN THE GOVERNMENT

“The real truth of the matter is, as you and I know, that a financial element in the larger centers has owned the Government ever since the days of Andrew Jackson — and I am not wholly excepting the Administration of W.W. (Woodrow Wilson). The country is going through a repetition of Jackson’s fight with the Bank of the United States — only on a far bigger and broader basis.” – Franklin Roosevelt, letter to Presidential advisor Col. Edward Mandell House

1939 – BIRTH OF MARGRIT KENNEDY, AUTHOR OF “OCCUPY MONEY”

“But we humans, not God, created our monetary system. And we are the ones who can change it. We must go beyond blaming the greedy bankers and investors whom we hold responsible for the ongoing financial disaster. Our own ignorance, comfort, and insecurity are part of the problem. To awaken from our slumber, we must expand our knowledge and shake off our fears.”

1944 – BIRTH OF DICK DURBIN, US SENATOR, ILLINOIS

“And the banks — hard to believe in a time when we’re facing a banking crisis that many of the banks created — are still the most powerful lobby on Capitol Hill. And they frankly own the place.”

Interview on WJJG 1530 AM’s “Mornings with Ray Hanania,” April 2009

[NOTE: The FIRE sector — Finance, Insurance, and Real Estate — is the #1 sector of political campaign investments (mistakenly called “contributions” or “donations”) to federal political candidates. They also employ hundreds of lobbyists who often write the laws and regulations on financial issues.]

NOVEMBER 22

1879 – BIRTH OF RALPH HAWTREY, FORMER SECRETARY OF TREASURY, ENGLAND.

“Banks lend by creating credit. They create the means of payment out of nothing.”

2012 – WHERE DOES MONEY COME FROM? video

Short 2 minute video of Michael Kumhof, IMF Economist and Dirk Bezemer, Associate Professor, University of Groningen explaining where money comes from.

NOVEMBER 23

1910 – JEKYLL ISLAND MEETING TO PLAN FOR US PRIVATE CENTRAL BANK

Attending this secret meeting were US Senator Nelson Aldrich; A. Piatt Andrew, Assistant Secretary of the Treasury; Frank Vanderlip, president of the National City Bank of New York; Henry P. Davison, senior partner of J.P. Morgan Company; D. Norton, president of the Morgan-dominated First National Bank of New York; Benjamin Strong (a lieutenant of J.P. Morgan); and Paul Warburg, connected to the banking house of Kuhn, Loeb. The meeting would lead to the Aldrich bill, which eventually led to the Federal Reserve Act, passed in 1913.

2000 – WRITTEN ANSWER TO LORD BEAUMONT OF WHITLEY, HOUSE OF LORDS, BY JAMES ROBERTSON, CO-AUTHOR OF “MONETARY REFORM – MAKING IT HAPPEN”

“Many people, even in government and parliament, don’t know how new money is now created, and what the consequences are. Most people find it hard to believe, if they think about it at all, that almost all the money in circulation has been created by commercial banks at profit to themselves. In reply to questions, a government spokesman may say that the funds which banks lend to customers ‘must either be obtained from depositors or the sterling money market, both of which usually require the payment of interest’ – thus appearing to deny that banks are allowed to create new money and to profit from doing so.”

NOVEMBER 24

1911 – AMERICAN BANKERS’ ASSOCIATION ENDORSES SO-CALLED “MONETARY REFORM” PLAN

The ABA at their annual conference in New Orleans endorsed a “monetary reform” plan by U.S. Senator Nelson Aldrich. The plan was actually to deform the ability of citizens to create and distribute their/own own money (see above November 23, 1910 entry).

2018 – CONFERENCE ON THE FUTURE OF MONEY, FRANKFURT, GERMANY

“How does the digitalization change the monetary system? Which problems are ocurring in the current money system? Will central banks introduce digital cash? How would this new form of money change the structure of the money system? Will it evolve into a sovereign money system (Vollgeld)? And what part will blockchain technology play? Will private cryptocurrencies create a new stable monetary system? All these questions will be discussed at the Conference”

http://conference2018.monetative.de/

NOVEMBER 25

1874 – GREENBACK PARTY FOUNDED

The Greenback Party was founded on this day at a convention in Indianapolis. Many of its members were farmers hurt by the financial Panic of 1873 (also known as the “Crime of ‘73”). The party supported “Greenback” paper money (U.S. Notes) issued and spent into circulation by the Lincoln administration. They opposed all money systems backed by any precious metal, believing that those who owned gold or silver (banks and corporations) would possess the power to define the value of products and labor. Government control of the US money system would also ensure sufficient quantity of money was in circulation to help small businesses and farmers. Twenty independent congressmen, mostly Greenbackers, were elected in 1878.

2008 – QUANTITATIVE EASING (QE) PROGRAM ANNOUNCED BY THE FEDERAL RESERVE

The Fed announced that on December 1 it would create money and use it to purchase $500 billion in toxic mortgage backed securities from Fannie Mae and Freddie Mac and an additional $100 billion of debt from both entities. This phase of QE (called QE1) extended until March 2010. Two additional rounds, QE2 and QE3, followed it. A total of $4.4 trillion from the Fed was issued. It went disproportionately to financial corporations (Wall Street), not “Main Street” (for small businesses) or to “Side Streets” (to bail out homeowners facing foreclosures). QE money was also spent to purchase US Treasury bonds (debt) following the decline of purchases by other nations as a means to stimulate the economy. At its peak, $85 billion per month in Treasury debt and mortgage backed securities was purchased. Many within the financial industry have since admitted that QE contributed to the rising gap between rich and poor and the rise and size of too-big-to-fail banking corporations.

NOVEMBER 26

1865 –  “ALICE IN WONDERLAND” BY LEWIS CARROLL PUBLISHED IN THE US

The establishment of a European Monetary Union in 1993 was a bold experiment. It created a single monetary system overlaying individual nation states with their own political systems. William Buiter, member of the Bank of England’s Monetary Policy Committee, said ‘It’s a bold step into the unknown. Not unlike Alice [in Wonderland]’s leap down the rabbit hole.”

November 13 – 19

NOVEMBER 13

1856  – BIRTH OF LOUIS BRANDEIS, US SUPREME COURT JUSTICE (1916-1939)

“The goose that lays golden eggs has been considered a most valuable possession. But even more profitable is the privilege of taking the golden eggs laid by somebody else’s goose. The investment bankers and their associates now enjoy that privilege. They control the people through the people’s own money.” Louis Brandeis, Other People’s Money and How the Bankers Use It (1913)

NOVEMBER 14

2008 – US GOVERNMENT BAILS OUT US BANKS

The U.S. Treasury Department purchases a total of $33.5 billion in preferred stock in 21 U.S. banks under the Capital Purchase Program.

2020 – “BANKING ON A DEMOCRACY MOVEMENT FOR SOCIAL CHANGE” BY GREG COLERIDGE, OUTREACH DIRECTOR, NATIONAL MOVE TO AMEND

Video presentation at the 16th annual American Monetary Institute (AMI) conference.

NOVEMBER 15

1637 – WAMPUM ACCEPTED AS CURRENCY

On November 15, 1637 the Massachusetts General Court stated that wampum beads would pass at 6 to a penny and were to be legal as payment in sums fewer than 12 pence.  http://www.coins.nd.edu/ColCoin/ColCoinIntros/Wampum.intro.html

2005 – QUOTE BY BEN BERNANKE ON DERIVATIVES

“With respect to their safety, derivatives, for the most part, are traded among very sophisticated financial institutions and individuals who have considerable incentive to understand them and to use them properly.”

NOVEMBER 16

1914 – US FEDERAL RESERVE OPENS FOR BUSINESS

“Commercial banks create checkbook money whenever they grant a loan, simply by adding new deposit dollars in accounts on their books in exchange for a borrower’s IOU.” From I Bet You Thought, Federal Reserve Bank of New York

1914 –  FEDERAL RESERVE BANK OF BOSTON OPENS FOR BUSINESS

“When you or I write a check there must be sufficient funds in our account to cover the check, but when the Federal Reserve writes a check there is no bank deposit on which that check is drawn. When the Federal Reserve writes a check, it is creating money.”

Federal Reserve Bank of Boston, Putting It Simply (1984)

2006 – DEATH OF MILTON FRIEDMAN, US ECONOMIST

“The Federal Reserve definitely caused the Great Depression by contracting the amount of currency in circulation by one-third from 1929 to 1933.”

2022 – WORLD PHILOSOPHY DAY [3rd Thursday in November every year]

“Are you not ashamed of heaping up the greatest amount of money and honour and reputation, and caring so little about wisdom and truth and the greatest improvement of the soul?” – Socrates (469-399 B.C.) Greek philosopher

 “The trade of the petty usurer is hated with most reason:  it makes a profit from currency itself, instead of making it from the process which currency was meant to serve.  Their common characteristic is obviously their sordid avarice.” — Aristotle (384-322 BC) Greek philosopher

NOVEMBER 17

2008 – FEDERAL RESERVE BAILS OUT BANKS

The US Treasury gives out $33.6 billion to 21 banks in the second round of disbursements from the $700 billion bailout fund. This payout brings the total to $158.56 billion to date.

NOVEMBER 18

1898 – BANKRUPTCY ACT IS ANNOUNCED

“For fifteen years prior to 1898 the Bankruptcy Act lay pending in the Congress. On November 18, 1898, the rules of the act were finally announced to the American people by Justice Gray of the United States Supreme Court. It was asserted that all rules of the act would take effect as of January 2, 1898. The act replaced the previous Bankruptcy Act of 1867.

“The Bankruptcy Act was first advocated by Supreme Justice Torrey, and was supported by the majority of United States lawyers. The Act, which included a total of 38 rules, was the first Act of its kind to protect corporations from creditors. If a corporation felt that it was slipping into debt the Act presented the option of “equity receivership’ to protect their assets. Corporations also had the option of complete liquidation of assets to avoid bankruptcy. The act further established a bankruptcy referee to be appointed by the state judge. The responsibilities of the referee included attended all hearings and making decisions on any contested evidence. The referees worked to alleviate the work load of circuit judges so that they may attend to other matters.”

https://historyengine.richmond.edu/episodes/view/693

2014 – “HOW THE CURRENT PROCESS OF MONEY CREATION IS CAUSING A RISE IN POVERTY, INSTABILITY AND INEQUALITY” TALK BY BEN DYSON, FOUNDER OF POSITIVE MONEY (VIDEO)

Ben Dyson, founder of Positive Money presenting at Meaning Conference 2014 on 18th November in Brighton, UK. He got into the nitty gritty of how the current process for money creation is causing a rise in poverty, instability and inequality. And challenged the audience to imagine what a modern and sustainable system could look like.

http://positivemoney.org/2014/12/current-process-money-creation-causing-rise-poverty-instability-inequality-video/

NOVEMBER 19

1831 – BIRTH OF JAMES GARFIELD, PRESIDENT OF THE UNITED STATES

“Whosoever controls the volume of money in any country is absolute master of all industry and commerce, and when you realize that the entire system is very easily controlled, one way or another, by a few powerful men at the top, you will not have to be told how periods of inflation and depression originate.” (attributed quote)

2021 – CAN MMT AND JUST MONEY BE FRIENDS? WITH VIRGINIA HAMMON

Alliance for Just Money Coffeehouse video

Building Bridges: Is MMT a solution, a step in the right direction, or a swizzle? Can MMT and Just Money be friends? Virginia Hammon, author of US Money: What is it? Why we must change, How we can (2018), and (with Mark Pash), How We Pay for a Better World (2019) will explore the similarities and differences in the goals, values, definitions, and worldview of Modern Money Theory and Just Money.

November 6 -12

NOVEMBER 6

1841 – BIRTH OF NELSON ALDRICH, US SENATOR (R.I.), LEADER OF REPUBLICAN PARTY IN THE SENATE

Aldrich was the major Senate proponent of the Federal Reserve Act. He railroaded the bill through both houses of Congress in the fall and winter of 1913. Alfred Crozier, an Ohio attorney and author of the book US Money vs Corporation Currency, testified before Congress against the Aldrich bill. He said, “The… bill grants just what Wall Street and the big banks for 25 years have been striving for, namely, private instead of public control of currency. [The bill] robs the Government and the people of all effective control over the public money supply and vest in the banks exclusively the dangerous power to make money among the people scarce or plenty.”

NOVEMBER 7

1775 – QUAKERS OF PHILADELPHIA REFUSE TO ACCEPT “CONTINENTALS”

The Continental Congress issued their own money, “continentals,” to facilitate economic transactions during the time of the American Revolution. The money was used in large part to pay for the war, since British and Spanish money was in short supply. Continentals helped the colonists win the war. As pacifists, however, Quakers of Philadelphia argued beginning on this day they couldn’t touch money created to fight a war.

1846 – AMENDMENT TO ARKANSAS CONSTITUTION ADOPTED

Among the first acts of the new state was chartering two private banking corporations. A depression, lasting from approximately 1834 to 1844, was in progress at the time, including the famous panic of 1837, causing inflation, speculation and “wildcat banking.”  As a result of these failures, the first amendment to the Constitution of Arkansas of 1836, ratified by the state legislature on November 17, 1846 read: “No bank or banking institution shall be hereafter incorporated or established in this State,” which lasted until after the Civil War.

1931 – PUBLISHED LETTER TO THE EDITOR OF ALBERT EINSTEIN IN BERLINER TAGEBLATT

“The gold standard has, in my opinion, the serious disadvantage that a shortage in the supply of gold automatically leads to a contraction of credit and also of the amount of currency in circulation… The natural remedies to our troubles are, in my opinion…Control of the amount of money in circulation and of the volume of credit in such a way as to keep the price level steady, abolishing any monetary standard.”

2000 – DEATH OF ROBERT DE FREMERY, AUTHOR, RIGHTS VS PRIVILEGES

“There are some people who look with distrust upon ‘printing press’ or ‘fiat’ money. But they overlook one of the basic facts about money. It is true that we need a ‘hard’ money. But we should not make the mistake of associated ‘hardness’ with convertibility into gold. The essence of hard money is not determined by the material of which it is composed — or the material into which it is convertible. The essence of a hard money is that its supply is fairly stable and there are precise limits to it…a purely paper or ‘fiat’ money can be a hard money if we set precise limits to its supply, or it can be a soft money if we set no precise limits to its supply.”

NOVEMBER 8

2013 –  “THE CRISIS AS A CLASSIC FINANCIAL PANIC,” TALK BY BEN BERNANKE, CHAIR OF THE FEDERAL RESERVE

“The recent crisis echoed many aspects of the 1907 panic. Like most crises, the recent episode had an identifiable trigger–in this case, the growing realization by market participants that subprime mortgages and certain other credits were seriously deficient in their underwriting and disclosures. ” [No, Ben. The crisis was due to banking corporations being handed the authority to create the vast majority of money in our economy…and deciding where it should go. Too much of went into risky speculation – many times the amount they had in reserves to cover defaults. Add to this the reality that if those speculations went bust, banks would be bailed out by U.S. taxpayers – which added to their risk taking.

2019 – BOOK REVIEW OF “THE END OF BANKING” BY JOHN HOWELL POSTED ONLINE

“McMillan does an excellent job of describing the current system and making a case for the elimination of money creation by banks. This leaves the question of how new money is to be created. Like other monetary reform proposals, including the NEED Act, McMillan puts money creation in the public sphere, namely in government. He proposes a Monetary Authority (MA) to manage this, which is similar to what is proposed in the NEED Act. What is different is that McMillan proposes that the MA use only two tools, one for injecting money into circulation and one for removing it. For injecting money into circulation, he proposes a citizens’ dividend, a direct deposit into the digital currency account of every person. For removing money from circulation, McMillan proposes a liquidity fee on held money. Details aren’t given on how the liquidity fund would work. Its purpose would be to enable the MA to withdraw money from circulation in case inflation threatens. It is not likely to be necessary if populations and economies continue to grow and the money supply only needs to be increased.”

https://www.monetaryalliance.org/review-the-end-of-banking/?fbclid=IwAR3-V2yTu9DVowcf0bkeoTnzvUdCEpetbqmYQj7FwMnqBp4MeJ17km2NMF4

NOVEMBER 9

1910 – BIRTH OF CARROLL QUIGLEY, AMERICAN HISTORIAN AND THEORIST OF THE EVOLUTION OF CIVILIZATIONS

“The powers of financial capitalism had another far reaching aim, nothing less than to create a world system of financial control in private hands able to dominate the political system of each country and the economy of the world as a whole. This system was to be controlled in a feudalist fashion by the central banks of the world acting in concert, by secret agreements, arrived at in frequent private meetings and conferences. The apex of the system was the Bank for International Settlements in Basel, Switzerland, a private bank owned and controlled by the worlds’ central banks which were themselves private corporations. The growth of financial capitalism made possible a centralization of world economic control and use of this power for the direct benefit of financiers and the indirect injury of all other economic groups.”

Tragedy and Hope: A History of The World in Our Time (Macmillan Company, 1966) Professor Carroll Quigley of Georgetown University, highly esteemed by his former student, former US President, Bill Clinton

2011- FEDERAL RESERVE AWARENESS DAY

Sponsored by the US Occupy movement, teach-ins and forums took place in several locations across the country to expose the true nature of the largely private misnamed Federal Reserve System. Federal Reserve Awareness Days are still needed since the myths, lore, untruths and lack of understanding of the origin, purposes, consequences and alternatives to the Federal Reserve.

NOVEMBER 10

1483 – BIRTH OF MARTIN LUTHER, MONK, PRIEST, KEY FIGURE IN PROTESTANT REFORMATION

He condemned anyone who charged usury (interest): “A thief, robber and murderer. Money is an unfruitful commodity which I cannot sell in such a way as to entitle me to a profit.”

1936 – LETTER TO PRESIDENT FRANKLIN D ROOSEVELT CALLING FOR CREATING U.S. DEBT-FREE MONEY TO END THE GREAT DEPRESSION

Economist Irving Fisher wrote FDR asking that he adopt the “Chicago Plan,” developed by Irving and several other prominent economists.

“It is, I believe, the only practicable plan proposed for transferring completely all control over our chief circulating medium from the banks to the Government, where it belongs. This plan has been gaining converts rapidly. Its adoption, as part of a managed currency plan, would, I am sure, go down in history with the emancipation of the slaves.”

One hundred and fifty academic economists signed the Plan; another 40 approved it with reservations. Main features: 1. Only the government would create money. 2. The Plan separated the loan-making function, which can belong in private banks, from the money-creation function, which belongs in government. 3. The proposal recognized the distinction between money and credit. Senator Bronson Cutting (R, NM) introduced The Plan in Congress (S. 3744). In several respects, it was the precursor to the National Emergency Employment Act (HR 6550) introduced by Rep. Dennis Kucinich in 2010, and reintroduced as HR 2990 in 2011.

1796 – BIRTH OF WILLIAM GOUGE, EDITOR AND WRITER

Gouge edited the ” Philadelphia Gazette” and other journals, and for thirty years contributed articles on banking to various periodicals. He was for thirty years connected with the treasury department at Washington. He published “History of the American Banking System” (1835); ” Expediency of Dispensing with Bank Paper” (1837); and a “Fiscal History of Texas” (1852)

“As it is public credit that supports the Banks, and not the Banks that support public credit, as the deposits of the Banks are the property of the community generally and the profits derived from circulation come from the community generally they ought to go to the community generally and be used to lighten the burden of taxation.”

“The banking system is the principal cause of social evil in the United States.”

NOVEMBER 11

2013 – STATEMENT BY ANDREW HUSZAR, “CONFESSIONS OF A QUANTITATIVE EASER” IN THE WALL STREET JOURNAL

“I can only say: I’m sorry, America. As a former Federal Reserve official, I was responsible for executing the centerpiece program of the Fed’s first plunge into the bond-buying experiment known as quantitative easing. The central bank continues to spin QE as a tool for helping Main Street. But I’ve come to recognize the program for what it really is: the greatest backdoor Wall Street bailout of all time.”

2021 – MONETARY CONFERENCE CALL COP26’S ATTENTION TO THE CONNECTION BETWEEN MONETARY SYSTEM AND CLIMATE CHANGE

“AMI Press Release on Letter to COP26…”

“The concise statement released to the participants of the UN Climate Conference’s COP26 is as follows:

“We acknowledge there exists a strong correlation between the current, debt-based monetary system and climate change. It acts through multiple paths of transmission, which have to be taken into account to find just and sustainable solutions.

“On top of that, we strongly believe that a sovereign monetary system will allow substantial public investments which are required to steer global civilisation from a brown, carbon-based system to a green, equitable, post-fossil fuel age with a balanced carbon cycle.”

https://www.monetary.org/Conferences/114-ami-press-release-on-letter-to-cop26

[Note: The 27th Conference of the Parties to the United Nations Framework Convention on Climate Change (COP27) began on November 6th this year and today runs through November 18 in Egypt. The issues raised by AMI in last year’s press release are more pressing than ever with the need for sovereign money systems more necessary than ever.]

NOVEMBER 12

1958 – DEATH OF JAMES MICHAEL CURLEY, MAYOR OF BOSTON – WHO THREATENED BANKS

 “James Michael Curley was a long time political boss in Boston. He served in the U.S. Congress. He was Governor of Massachusetts. He was mayor of Boston repeatedly – on and off from 1914 to the early 1940s. He thought the bankers had too much say in how the city of Boston was run. He was willing to threaten the banks when they withheld credit or when they wouldn’t grant loans. One time he threatened to flood their vaults by opening the city water main.”

1999 – ENACTMENT OF FINANCIAL SERVICES MODERNIZATION ACT (ALSO KNOWN AS GRAMM-LEACH-BLILEY ACT)

The act removed many barriers contained in the Glass-Steagall Act of 1933, including those that separated banking, securities and insurance corporations. The result was massive combination and consolidation within the financial sector – creating enormously powerful institutions. A leading Republican in Congress, Senator Phil Gramm, proposed the bill. President Bill Clinton, a Democrat, signed it.

2013 – VIDEO PRESENTATION, “THE CHICAGO PLAN REVISITED, The Chicago Plan Revisited

“Michael Kumhof will discuss his 2012 paper on the Chicago Plan, a radical reform plan for the banking industry that would eliminate banks’ power to create money. Based on proposals developed by members of the Chicago School in the US in the 1930s, Kumhof’s plan represents the most far-reaching and decisive proposal to eliminate the risks associated with fractional reserve banking.”

Michael Kumhof is deputy division chief of the Modelling Division at the IMF Research Department.

October 30 – November 5

OCTOBER 30

1735 – BIRTH OF JOHN ADAMS, 2nd PRESIDENT OF THE UNITED STATES

“There are two ways to conquer and enslave a nation.  One is by the sword, the other is by debt.”

“All the perplexities, confusion and distress in America arise, not from the defects of the Constitution or confederation, not from the want of honor or virtues, so much as from the downright ignorance of the nation, of coin, credit and circulation.”

1840 – BIRTH OF WILLIAM GRAHAM SUMNER, PROFESSOR, YALE UNIVERSITY AND MONETARY THEORIST

“For as the currency question is of first importance and we cannot solve it or escape it by ignoring it.  We have got to face it and the best way to begin is not by wrangling about speculative opinions as to untried schemes but to go back to history and try to get hold of some firmly established principles.”

2019 – PROPOSAL FOR A POLITICAL PROGRAM AROUND MONETARY REFORM

“Introduction by the Editor. 

“In the crucial and readable study Debt as Power the authors Tim Di Muzio and Richard Robbins not only give a historical overview of how debt in the modern capitalist society originated and became a tool of power, but also propose a political platform they argue is feasible to counter and even reform the current system. It is clear that they recognize that we operate under the credit creation mechanism of money and banking, i.e. private banks create our money as deposits when originating loans.

“They embrace a version of the 1930s Chicago Plan which would transfer that privilege of money creation to a government agency. The now proverbial 1% is the main beneficiary of our debt-money regime. In response, the authors propose a platform for a hypothetical party, the Party of the 99%.

“At the Alliance For Just Money, we prioritize full monetary reform in order to have stable prices, full employment and for the government to spend debt-free money into circulation on projects democratically decided by congress. Given that last prerogative we would do well to think about possibilities and debate the ones proposed by the Party of the 99%, not only for the USA but also on a global scale.

“The following text is an excerpt from the chapter “Solutions: A Party of the 99% and the Power of Debt” from their book Debt as Power.”

https://www.monetaryalliance.org/proposal-for-a-political-program-around-monetary-reform/?fbclid=IwAR0P3kHCvEbuE3zQYQ4nZjZS639YWOFCT1X5IPa_snr6gg3uBfQ18YOkhEc

OCTOBER 31

1874 – PUBLICATION OF OCTOBER ISSUE OF INDUSTRIAL AGE MAGAZINE

“The religious press has almost without exception been the allies of the bondholders and bankers in their endless schemes to fleece the public, and the mouthpiece of the monopolists and the defender of the soulless corporations that fill their pockets by robbing the toiling people.”

NOVEMBER 1

1972 – DEATH OF EZRA POUND, US POET AND CRITIC

Some of his poetry deals with the destructive moral and social effects of usury.

“The usurers act through fraud, falsification, superstitions, habits and, when these methods do not function, they let loose a war. Everything hinges on monopoly, and the particular monopolies hinge around the great illusionistic monetary monopoly.”  

1991 – LAUNCH THIS MONTH OF “ITHACA HOURS” LOCAL PAPER CURRENCY SCRIPT SYSTEM

Ithaca Hour is paper scrip that reads on the back: “This is money. This note entitles the bearer to receive one hour of labor or its negotiated value in goods and services…. Ithaca Hours are backed by real capital: our skills, our muscles, our tools, forests, fields and rivers.” http://www.ithacahours.com/

2016 – “HOW ECONOMIC GOBBLEDYGOOK DIVIDES US,” PUBLISHED ARTICLE IN NEW YORK TIMES MAGAZINE

“When you’ve just invented something,” a banker once told me, “you need a name that’s not obvious, because the longer it’s a proprietary technique, the more money you make…

“It would be a disaster for democracy if this divide were to become permanently entrenched. Democracy depends on an informed electorate; it depends on argument, and that in turn depends on having enough in common to be able to argue. Bankers and the financial elite can’t just talk to each other as if nothing has changed; as if the little people are just going to accept that they can’t follow the big words, so the rich should just keep running things in their own interest. The experts need to set terms for the debate that everyone can understand. So yes, when it comes to economics, language matters.”

http://www.nytimes.com/2016/11/06/magazine/how-economic-gobbledygook-divides-us.html?_r=0

2020 – LETTER TO REPRESENTATIVE RASHIDA TLAIB FROM THE ALLIANCE FOR JUST MONEY REGARDING THE “BOOST ACT”

“Dear Representative Tlaib,

“The Alliance For Just Money thanks you for sponsoring the very creative HR 6553, the Automatic BOOST to Communities Act. It seems clear that an intention of the bill is to help real people survive the serious economic effects of the pandemic, a much-needed step at this time. We are eager to discuss the bill’s potential and its problems with you, especially the important Constitutional principle it contains, that government can and should create money in significant amounts without incurring debt…

“One way to do that would be to reintroduce a bill, or the essential elements of a bill, that was introduced in 2011, during the last economic downturn, called at that time the National Emergency Employment Defense Act (HR 2990). It would have transferred all national money creation from the private banks to the government.

“Short of or before that, Congress could establish a National Commission of Inquiry into the monetary system, to look into the way our existing system of money creation contributes to the inability of government to respond adequately to the acute needs we face.”

Entire letter at

https://www.monetaryalliance.org/letter-to-representative-rashida-tlaib-regarding-the-boost-act/?fbclid=IwAR1FaXT4pTHPKiqt6KgF0VRh9eGqWOrZEksqTiumHD9hFmuLKhhS0B2nYpc

2021 – INTERVIEW OF JEFF ELDER ON MONETARY REFORM

Jeff Eder from Progressive Money Canada on The American Council for Truth in Journalism discussing the finer points of the monetary reform that The Resistance Company will be fighting for live in front of the Federal Reserve Bank of NY with RT this coming Friday, 5pm EST.

NOVEMBER 2

1832 – RE-ELECTION OF ANDREW JACKSON, 7TH PRESIDENT OF THE UNITED STATES

This was the first presidential election focused on the issue of money creation. Jackson was opposed to re-chartering the private Second National Bank of the United States (misnamed to give the impression it was public by calling it “National” in much the same way the current largely private Federal Reserve System is misnamed). A few Jackson quotes:

“The bold effort the present (central) bank had made to control the government … are but premonitions of the fate that await the American people should they be deluded into a perpetuation of this institution or the establishment of another like it.” “If Congress has the right under the Constitution to issue paper money, it was given to be used by themselves, not to be delegated to individuals or corporations.” “I have no hesitation to say if they can re-charter the bank, with this hydra of corruption, they will rule the nation and its charter will be perpetual and its corrupting influence destroy the liberty of our country.”

2019 – “CHALLENGING THE ECONOMICS PROFESSION” BY NICK EGNATZ ARTICLE PUBLISHED

“If you believe that our society should be based on ethics, justice, law and being able to deliver a decent successful life for all our citizens, the present debt-money system may be extremely difficult to grasp. Do not let this deter you.  It is the duty of the economics profession to provide us with a money system that the public can understand or work to change the present system so that it is understandable. It is also the duty of the economics profession to provide us with a money system that is ethical, moral, Constitutional and “promotes the general Welfare” of society. If the present system is unable to do so, the economics profession has a duty to fight for change.

“This paper is being written to specifically beseech the economics profession to explain to the American people how the present debt-money system actually functions in understandable language and then fight for change when the rottenness of the present system is exposed. Non academics are urged to proceed forward and not be intimidated by the inability of the apologists for the debt-money system to explain their dysfunctional system to us.”

https://www.monetaryalliance.org/challenging-the-economics-profession/?fbclid=IwAR2P96k_wdGNW8BgYdgMa3hXd_twziCt8UjXKl7aBSNy0iyghxgSaOwQm_A

2021 – ELECTION DAY IN THE UNITED STATES

It may be impossible to believe in our corporate-dominated elections — where corporations and the wealthy few decide which candidates are “electable,” what issues are discussed and what constitutes “news” — that there were a few federal elections in our nation’s history where the nature of money and/or democratic control over the issuing and circulation of our nation’s money were among THE, major issues in the campaign [i.e. 1832 election of Andrew Jackson and 1896 election of William McKinley over William Jennings Bryan]. 

NOVEMBER 3

1940 – DEATH OF CHARLES MACUNE, HEAD OF SOUTHERN FARMERS’ ALLIANCE AND ORIGINATOR OF THE POPULIST “SUB-TREASURY PLAN”

The “Sub-Treasury Plan,” developed by the southern Populist Macune, was an ingenious proposal to circumvent banking corporations, merchants and landlords by farmers to avoid debt at high interest, which often resulted in the loss of their farms. The proposal called for farmers to store their harvest in federal warehouses when prices for their commodities were low. Farmers would leverage those commodities for loans (up to 80% of the market value in federal notes) to support themselves until prices rose. The proposal was especially useful to southern farmers with non-perishable crops (i.e. cotton). The farmer had one year to sell the crop and then pay back the note and 1% interest.

1948 – BIRTH OF EARL OF CAITHNESS (MALCOLM IAN SINCLAIR), MEMBER OF THE UK HOUSE OF LORDS

“The next government must grasp the nettle, accept their responsibility for controlling the money supply and change from our debt-based monetary system.  My Lords, will they?  If they do not, our monetary system will break us and the sorry legacy we are already leaving our children will be a disaster.” (March 1977)

2017 –  PUBLICATION OF “SOVEREIGN OF THE MARKET: THE MONEY QUESTION IN EARLY AMERICA” BY JEFFREY SKLANSKY

The book is highly relevant to the current struggles involving poverty, rural depopulation, class warfare, business hegemony (previously known as “mercantilism”) as well as our collective confusion about money and banking. The introduction touches on all of these, plus the invention of “political economy”, fractional reserve lending, public-private partnership (paper money and hard metallic standard being the “twin offspring of the union of bank and state”), etc.

The term “The Money Question” is a very useful term for the general public (better than “monetary reform” in my opinion). The fact that “The Money Question” was an accepted and known topic of civic discourse (not to mention violence) in “early America” suggests a good way to introduce the whole complicated topic to U.S. voters. It should be a more common subject on streetcorners and barbershops, not to mention city council and school board meetings, etc.

Sklansky’s own description of his book:: “This book builds on recent work that considers money as a creature of law and culture as much as commerce, but it highlights more basically the ways in which the monetary order was the outcome of protracted class conflict.”

https://press.uchicago.edu/ucp/books/book/chicago/S/bo26773932.html

Introduction and beginning of Chapter 1

NOVEMBER 4

1650 – BIRTH OF WILLIAM III, KING OF ENGLAND, SCOTLAND AND IRELAND (1689-1702)

A weakened monarchy due, in part, to the economic aftereffects of war, William III agreed to give up his sovereign money power to a new corporation, the Bank of England, which was chartered in 1694. Wars have resulted throughout history in debt and dependency on lenders, which in modern times are banking corporations.

1948 – BIRTH OF JOSEPH HUBER, PROFESSOR EMERITUS, ECONOMIC AND ENVIRONMENTAL SOCIOLOGY AT MARTIN LUTER UNIVERSITY IN GERMANY

Huber is one of the leading academicians in the world in calling for the creation of “sovereign money” – debt-free money issued democratically by governments.

“We definitely know through quite a number of channels that our critical monetary system analysis has gained decisive influence across Europe in revising outdated doctrines on the monetary system. There are official publications by the Bank of England and the German Bundesbank in fact explaining that our analyses are correct and most of the present textbook wisdom on money and credit creation is wrong. In the last one to two years, a number of our people, including myself, have been invited as speakers to conferences and workshops of central banks and other financial institutions. This, of course, does not mean they are changing sides on a broad front, but it certainly indicates that a growing in-group in central banking and finance has begun listening to what we have to say, including our monetary reform perspectives.”

https://www.monetary.org/a-celebration-of-the-life-and-work-of-stephen-zarlenga

2013 – “PRINCES OF THE YEN” | DOCUMENTARY FILM ONLINE POSTING

“Michael Oswald’s film “Princes of the Yen: Central Banks and the Transformation of the Economy,” reveals how Japanese society was transformed to suit the agenda and desire of powerful interest groups, and how citizens were kept entirely in the dark about this. Based on the book of the same title by Professor Richard Werner, a visiting researcher at the Bank of Japan during the 90s crash, during which the stock market dropped by 80% and house prices by up to 84%. The film uncovers the real cause of this extraordinary period in recent Japanese history.”

NOVEMBER 5

1818 – BIRTH OF BENJAMIN BUTLER, UNION ARMY CIVIL WAR GENERAL AND MEMBER OF THE U.S. HOUSE OF REPRESENTATIVE

“I stand here, therefore, for inconvertible paper money, the greenback, which has fought our battles and saved our country, which has been held by us as a just equivalent for the blood of our soldiers, the lives of our sons, the widowhood of our daughters, and the orphanage of their children. I stand here for a currency by which the business transactions of forty million people are safely and successfully done, which, founded on the faith, the wealth, and property of the nation, is at once the exemplar and engine of its industries and power—that money which saved the country in war and has given it prosperity and happiness in peace. To it four million men owe their emancipation from slavery; to it labor is indebted for elevation from that thrall of degradation in which it has been enveloped for ages. I stand for that money, therefore, which is by far the better agent and instrument of exchanged of an enlightened and free people than gold and silver the money alike of the barbarian and the despot.” [Speech on House floor, January 12, 1869 on national currency]

2015 – SWISS CITIZENS’ INITIATIVE COLLECTS 105,000 SIGNATURES, TRIGGERS REFERENDUM ON MONEY CREATION

“The Swiss population will be the first in the world to vote on their banking and monetary system, thanks to the tireless efforts of a pro-Sovereign Money campaign.

“The ‘Vollgeld Initiative’ (Sovereign Money Initiative) has successfully managed to collect 100,000 signatures –  the number required to trigger a nationwide referendum on the issue.

‘In a nutshell, the proposal extends the Swiss Federation’s existing exclusive right to create coins and notes, to also include deposits. With the full power of new money creation exclusively in the hands of the Swiss National Bank, the commercial banks would no longer have the power to create money through lending. The Swiss National Bank’s primary role becomes the management of the money supply relative to the productive economy, while the decision concerning how new money is introduced debt free into the economy would reside with the government’, reads the official website of the initiative.”

http://positivemoney.org/2015/11/swiss-citizens-initiative-collects-105000-signatures-triggers-referendum-on-money-creation/

2016 – ”TO DEAL WITH CLIMATE CHANGE WE NEED A NEW FINANCIAL SYSTEM,” BY JASON HICKEL IN THE GUARDIAN

“When it comes to global warming, we know that the real problem is not just fossil fuels – it is the logic of endless growth that is built into our economic system…

“But there’s an even more exciting solution we might consider. We could abolish debt-based currency altogether and invent a new money system completely free of intrinsic debt. Instead of letting commercial banks create money by lending it into existence, we could have the state create the money and then spend it into existence. New money would get pumped into the real economy instead of just going straight into financial speculation where it inflates huge asset bubbles that only benefit the mega-rich…

“What they didn’t notice is that abolishing debt-based currency also holds the secret to getting our system off its addiction to growth, and therefore to arresting climate change. As it turns out, reinventing our money system is crucial to our survival in the Anthropocene – at least as important as getting off fossil fuels.”https://www.theguardian.com/global-development-professionals-network/2016/nov/05/how-a-new-money-system-could-help-stop-climate-change

October 23 – 29

OCTOBER 23

2008 – TESTIMONY OF ALAN GREENSPAN, FEDERAL RESERVE CHAIRMAN, BEFORE HOUSE COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM (NEW YORK TIMES ARTICLE)

Question to Greenspan: “Do you feel that your ideology pushed you to make decisions that you wish you had not made?”
Mr. Greenspan conceded: “Yes, I’ve found a flaw. I don’t know how significant or permanent it is. But I’ve been very distressed by that fact.” “Those of us who have looked to the self-interest of lending institutions to protect shareholders’ equity, myself included, are in a state of shocked disbelief.”

2009 – PUBLICATION OF ARTICLE, “PRICELESS: HOW THE FEDERAL RESERVE BOUGHT THE ECONOMICS PROFESSION” PUBLISHED BY RYAN GRIM

“The Federal Reserve, through its extensive network of consultants, visiting scholars, alumni and staff economists, so thoroughly dominates the field of economics that real criticism of the central bank has become a career liability for members of the profession, an investigation by the Huffington Post has found. This dominance helps explain how, even after the Fed failed to foresee the greatest economic collapse since the Great Depression, the central bank has largely escaped criticism from academic economists. In the Fed’s thrall, the economists missed it, too.

‘The Fed has a lock on the economics world,’ says Joshua Rosner, a Wall Street analyst who correctly called the meltdown. ‘There is no room for other views, which I guess is why economists got it so wrong.’”   

http://www.huffingtonpost.com/2009/09/07/priceless-how-the-federal_n_278805.html

OCTOBER 24

2008 – PNC FINANCIAL SERVICES CORPORATION PURCHASES NATIONAL CITY CORPORATION

Using bank bailout funds under the federal TARP program, PNC, headquartered in Pittsburgh, purchases National City Corporation, a major Cleveland based bank. The transaction created the 5th largest U.S. banking corporation. TARP funds were intended to assist struggling banks. The funds ended up in many cases, like PNC, enlarging “too-big-to-fail” banking corporations.

2019 — “AND THE NOT-THE-NOBEL-PRIZE IN ECONOMICS GOES TO…” POSTED ARTICLE

“Alfred Nobel never created a prize for economists. He was seventy-three years in his grave when the Central Bank of Sweden got the idea that they could elevate the prestige of economists by awarding a Nobel Prize in Economic Sciences “in memory of Alfred Nobel”. Today, the Nobel Foundation admits that the prize is not a Nobel Prize, but it still gives it status equal to the real prizes. Even Alfred Nobel’s descendants want it scrapped. Call it the Riksbank Prize, they said, but not the Nobel Prize, with the luminary status this implies.

“The prize has three big problems…”

OCTOBER 25

2010 – SPEECH BY SIR MERVYN KING, FORMER GOVERNOR OF THE BANK OF ENGLAND

“Of all the many ways of organizing banking, the worst is the one we have today.

“Change is, I believe, inevitable. The question is only whether we can think our way through to a better outcome before the next generation is damaged by a future and bigger crisis. This crisis has already left a legacy of debt to the next generation. We must not leave them the legacy of a fragile banking system too.”

From speech, “Banking: From Bagehot to Basel, and Back Again” To read a summary and analysis of the talk, go to http://positivemoney.org/2010/10/mervyn-king-of-all-the-many-ways-of-organising-banking-the-worst-is-the-one-we-have-today/

2016 – FINLAND: PARLIAMENT EVENT ON MONETARY REFORM PAVES WAY FOR CITIZENS’ INITIATIVE

“A successful event on monetary reform was held in the Finnish Parliament, featuring valuable expert analysis of sovereign money and two endorsements from Finnish politicians for the QE4People initiative. After pushing the debate in the political scene, the Finnish movement wants to launch a citizens’ initiative.”

http://internationalmoneyreform.org/blog/2016/10/monetary-reform-finnish-parliament/

OCTOBER 26

899 – REIGN OF KING ALFRED OF ENGLAND ENDS

Alfred the Great implemented a law that moneylenders who accepted usury would forfeit all their possessions to the King

2017 – “THE NEW ABOLITIONISM — MONETARY REFORM AND THE FUTURE OF SOCIAL JUSTICE” BY REV. DELMAN COATES

“What is desperately needed in the social justice and civil rights communities is a theory of change that addresses the foundational mechanisms of our monetary system that cause social and economic injustice…

“This paper advances an alternative theory of change for ending poverty, unemployment, mass incarceration, violence, income inequality and wealth concentration, providing universal healthcare, investing in the environment, improving public education, etc. Rather than the almost exclusive focus on fiscal policy among progressives, this paper is based upon the following foundational claim: “all of our social and economic ills in society are a function of the nation’s debt-based monetary system. Therefore, if we hope to address today’s social and economic ills, we must bring an end to the debt-based monetary system.” Attempts to address the issues raised above that leave the debt-based money system in place may be well-intentioned, but will ultimately fail to eradicate society of these social and economic ills. We must, therefore, fix the root cause of the problem if we want to have a more just and equitable society. This leads us to the following fundamental principle for justice seeking people; “in order to have a just society, we must have a just money system.”

OCTOBER 27

1945 – BIRTH OF LULA DE SILVA, FORMER PRESIDENT OF BRAZIL (2003-2010)

“The Third World War has already started. The war is tearing down Brazil, Latin America, and practically all the Third World. Instead of soldiers dying, there are children. It is a war over the Third World debt, one which has as its main weapon, interest, a weapon more deadly than the atom bomb, more shattering than a laser beam.”

OCTOBER 28

1704 – DEATH OF JOHN LOCKE, ENGLISH PHILOSOPHER

“Observe well these rules: It is a very common mistake to say that money is a commodity…Bullion is valued by its weight…money is valued by its stamp.”

2020 – VIDEO, ALLIANCE FOR JUST MONEY PANEL ON MONETARY REFORM

Panel hosted by the Carolina Meadows retirement community. AFJM Board members, Paul Lebow, Howard Switzer, John Howell present. Ellen Jones attended and lead a later discussion

OCTOBER 29

1897 – DEATH OF HENRY GEORGE, AUTHOR OF “POVERTY AND PROGRESS,” POLITICIAN AND ECONOMIST

“On the other hand it is the business of government to issue money. This is why the issuance of this money should be made a government function become still stronger. The evils entailed by wildcat banking in the United States are too well remembered to need reference. The loss and inconvenience, the swindling and corruption that flowed from the assumption by each State of the Union of the power to license banks of issue ended with the war, and no one would now go back to them. Yet instead of doing what every public consideration impels us to, and assuming wholly and fully as the exclusive function of the General Government the power to issue money, the private interests of bankers have, up to this, compelled us to the use of a hybrid currency, of which a large part, though guaranteed by the General Government, is issued and made profitable to corporations. The legitimate business of banking – the safekeeping and loaning of money, and the making and exchange of credits, is properly left to individuals and associations; but by leaving to them, even in part and under restrictions and guarantees, the issuance of money, the people of the United States suffer an annual loss of millions of dollars, and sensible increase the influences which exert a corrupting effect upon their government.”

1929 – US STOCK MARKET CRASH

Known as “Black Tuesday,” October 29 was the worst day in stock market history. Since everyone was selling and no one was buying, stock prices collapsed. The crash was due to policies of the Federal Reserve, which had made money cheap to borrow. Too much money was concentrated in too few hands. Cheap money resulted in wild speculation (booms or bubbles) in financial instruments, the stock market and office buildings rather than useful and necessary goods and services. Speculation was rampant. Understanding what was happening, but not admitting it to the public, the Fed significantly contracted the US money supply by raising interest rates to borrow money. Not enough money was available to meet economic needs. The speculative bubbles burst; triggering what became the Great Depression. 

2014 – FEDERAL RESERVE ENDS ITS QUANTITATIVE EASING PROGRAM

Quantitative Easing (QE) was the Fed program, which created and injected roughly $4 trillion into the economy to assist in its recovery. Much of the money went to banks — to invest in further speculations — not to assist non-wealthy consumers. Funds also ended up in the stock market — artificially inflated prices. The Fed ended the program by citing the economy’s “underlying strength.”

October 16 – 22

OCTOBER 16

1962 – BIRTH OF MICHAEL KUMHOF, GERMAN ECONOMIST AND CO-AUTHOR OF “THE CHICAGO PLAN REVISITED,”

From the paper:

“At the height of the Great Depression a number of leading U.S. economists advanced a proposal for monetary reform that became known as the Chicago Plan. It envisaged the separation of the monetary and credit functions of the banking system, by requiring 100% reserve backing for deposits. Irving Fisher (1936) claimed the following advantages for this plan: (1) Much better control of a major source of business cycle fluctuations, sudden increases and contractions of bank credit and of the supply of bank-created money. (2) Complete elimination of bank runs. (3) Dramatic reduction of the (net) public debt. (4) Dramatic reduction of private debt, as money creation no longer requires simultaneous debt creation. We study these claims by embedding a comprehensive and carefully calibrated model of the banking system in a DSGE model of the U.S. economy. We find support for all four of Fisher’s claims. Furthermore, output gains approach 10 percent, and steady state inflation can drop to zero without posing problems for the conduct of monetary policy.”

2018 – VIDEO, MARTIN WOLF (FINANCIAL TIMES WRITER) ON RADICAL REFORMS FOR FINANCIAL SECTOR

Keynote speech by Martin Wolf, economic commentator of the Financial Times, about the state of the financial sector.

Wolf concludes that radical reforms are needed in which money creation comes into public hands.

OCTOBER 17

1785 – FIRST GATHERING OF DELEGATES OF THE COMMONWEALTH OF VIRGINIA

Private bank notes are barred from circulation following the passage of a law by the General Assembly of the Commonwealth of Virginia. It was unlawful “for any person to offer in payment a private bank bill or note for money.”

1991 – ITHACA HOURS FOUNDED BY PAUL GLOVER

Ithaca HOURS was a community paper money system. The currency was backed by the skills and time of local people. The system was based on time – one HOUR of labor could be based on any combination of HOUR notes, time or Federal Reserve notes. One HOUR was valued at $10. By 1998, over 65 systems existed across the U.S. as a means of democratizing and localizing money creation and distribution.

2014 – TALK BY YVES MERSCH, MEMBER OF THE EXECUTIVE BOARD OF THE EUROPEAN CENTRAL BANK AT CORPORATE CREDIT CONFERENCE ON MONETARY POLICY AND ECONOMIC INEQUALITY

“More generally, inequality is of interest to central banking discussions because monetary policy itself has distributional consequences which in turn influence the monetary transmission mechanism…For example, by boosting – first – aggregate demand and – second – employment, monetary easing could reduce economic disparities; at the same time, if low interest rates boost the prices of financial assets while punishing savings deposits, they could lead to widening inequality.

Note: US monetary policy has produced the later – which has contributed to the substantial widening of inequality.”

2017 – WHERE DID MONEY REALLY COME FROM? – video posting

“Professor David Graeber, anthropologist and author of “Debt: The First 5,000 Years,” discussing the history of money and credit. The economics profession tends to teach that money arose from barter. However, anthropologists have been searching for 200 years and found absolutely no evidence for this.

“Instead, it seems that early human societies had reciprocal gift exchange, whereby one person would gift something to their neighbor, and that person would be tacitly indebted for something of similar quality.

“Barter has only been observed between groups that didn’t frequently come into contact, and sometimes between outright enemies, or among people that are already used to money but for some reason have no access to it. “

OCTOBER 18

1790 – BIRTH OF EDWARD KELLOGG, BUSINESSMAN AND ECONOMIST. HIS IDEAS INFLUENCED THE POLICIES OF THE POPULIST AND GREENBACK PARTIES

“Legal value belongs to anything which represents actual value, or capital. Its existence depends upon actual value. The worth of things of legal value depends upon their capability to be exchanged for things of actual value.” Since money is our monetary system is created as debt, the “legal value” of money includes both the principal debt and interest — which exceeds the “actual value” of a nation’s real wealth or claims on collateral at any point in time. The only means to close this gap and cover interest payments is to create additional collateral (goods and services) via economic growth. Of course, this additional debt-based money used to pay the previous interest has its own interest. Thus the downward debt cycle never ends until it collapses.”

1931 – DEATH OF THOMAS EDISON, U.S. INVENTOR

This is one of the best statements ever on the ease and legitimacy of the government creating its own money.

“If our nation can issue a dollar bond, it can issue a dollar bill. The element that makes the bond good makes the bill good… If the Government issues bonds, the brokers will sell them. The bonds will be negotiable; they will be considered as gilt edged paper. Why? Because the government is behind them, but who is behind the Government? The people. Therefore it is the people who constitute the basis of Government credit. Why then cannot the people have the benefit of their own gilt-edged credit by receiving non-interest bearing currency… instead of the bankers receiving the benefit of the people’s credit in interest-bearing bonds?” 

2019 – OCCUPY THE NEED ACT MEETING IN NYC

“This is a meeting of #OccupyTheNeedAct at Famiglia Pizza 83 Maiden Lane, NYC that then moved outside to Louise Nevelson Plaza a Private/Public Park across the street from the New York Federal Reserve Building. This meeting was led by Harrison Tesoura Schultz with Sue Peters from Alliance For Just Money Group https://www.facebook.com/groups/99328… and http://www.greensformonetaryreform.org. Mark Apolloa videoed the meeting making comments.

“#TheNeedAct Nationalizes The Federal Reserve, Ends the ability of the Commercial Banks to create our money and Spends money into the economy for the thing we the people decide we want like Universal Health Care, Universal Education, Universal Housing, Universal Transportation, GuaranteedAnnualincome, Renewable Energy.

“The #NeedAct ends…the ability of bankers to create money for their friends and puts that ability back into Congress where the Constitution put it before Hamilton and Washington got that power given to their friends who became our first bankers. These men capitalized The First Bank Of The United States with money they got by defrauding the workmen, merchants and farmers of the colonies. #Bankers have no better qualities, they are 100% liars and some of them know it. The Officers of The Big Wall Street Banks know what they are in fact doing.”

OCTOBER 19

1841 – BIRTH OF NELSON A. DUNNING, JOURNALIST AND AUTHOR FOR THE NATIONAL FARMERS ALLIANCE

His book The Philosophy of Price and Its Relation to Domestic Currency, published in 1887, was one of several recommended for inclusion in the circulating libraries of local National Farmer Alliance’s sub-alliances. Here is an excerpt:

“The truth is, the most enormous power known to man, or that can ever be his, lies in money – in the increase and decrease of its quantity. It is the tide of human affairs upon which all things must rise or sink. It is inevitable and cannot be resisted. This power has been obtained through the carelessness of the people, who have been and are now held in ignorance for that very purpose. So early as 1577 we find the keen and piercing intellect of Bodin saying the following: ‘For men have so well obscured the facts about money that the great part of the people do not see them at all. The money era do as the doctors do, who talk Latin before women, and use Greek characters, Arab words, and Latin abbreviations, fearing that if people understood their receipts they would not have much opinion of them.’”

1987 – U.S. STOCK MARKET CRASH

Known as Black Monday, stock markets around the world crashed. The Dow Jones average dropped by 508 points. It was the largest one-day percentage decline in Dow Jones history.

2004 – QUOTE BY ALAN GREENSPAN, CHAIRMAN OF THE FEDERAL RESERVE

His comments on subprime lending…

“Improvements in lending practices driven by information technology have enabled lenders to reach out to households with previously unrecognized borrowing capacities.”

Lenders began lending to those who they knew would be unable to pay back mortgages. They engaged in riskier and riskier loans. The entire system eventually collapsed. US taxpayers bailed these lending financial corporations out. Homeowners who were duped into signing contracts with hidden fees and adjustable rate mortgage loans received little federal assistance.

2019 – US FEDERAL RESERVE STARTS “QUANTITATIVE EASING FOREVER”

“Together with the Fed’s decisions to twice cut interest rates, with the prospect of another cut at the end of this month, these moves make clear that, in conditions characterised by the International Monetary Fund as a ‘synchronised’ global slowdown, any efforts to “normalize” monetary policy are well and truly over.

“The European Central Bank has reversed its plan to end financial asset purchases and lowered its base interest rate further into negative territory, while the Bank of Japan continues to be the virtual sole purchaser of government debt and a major buyer of corporate shares.

In other words, the policy of the world’s major central banks, acting on behalf of a global financial oligarchy, is quantitative easing ad infinitum.”

https://www.wsws.org/en/articles/2019/10/19/pers-o19.html?fbclid=IwAR2q0AGJSfeXpDQKVgBbZTMxZzgSRYxgsdzf7ip1ibLxJkRRsxw_KMASr18

OCTOBER 20

2005 – QUOTE OF BEN BERNANKE, CHAIRMAN OF THE US FEDERAL RESERVE

“House prices have risen by nearly 25% over the past two years. Although speculative activity has increased in some areas, at a national level these price increases largely reflect strong economic fundamentals.”

Less than 3 years later, the housing market collapsed.

OCTOBER 21

1808 – BIRTH OF SAMUEL FRANCES SMITH, MINISTER, JOURNALIST AND AUTHOR

Smith was also a songwriter. He is best known for writing the lyrics to “My Country Tis of Thee,” which he entitled “America.” Using the same tune, Greenbackers (those who advocated issuing and circulating debt-free US public money) in the 1880’s came up with their own rendition:                                                                                                         

Thou, Greenback, ‘tis of thee,

Fair money of the free,

Of thee we sing.

And through all coming time

Great bards in every clime

Will sing with joyful rhyme,

Gold is not king.

Then smash old Shylock’s bonds,

With all his gold coupons,

The banks and rings.

Monopolies must fail,

Rich paupers work in jail,

The ring will then prevail,

Not money kings.

OCTOBER 22

2014 – RELEASE OF THE VIDEO, “THE MONEY FIX: A DOCUMENTARY FOR MONETARY REFORM”

The video provides a good analysis of the problem. Its major solution, however, is limited to organizing community currencies – not addressing macro real monetary reform (e.g. changing laws).

http://www.neverontv.com/the-money-fix-a-documentary-for-monetary-reform/

October 9 – 15

OCTOBER 9

1899 – BIRTH OF HENRY SIMONS, PROFESSOR OF ECONOMICS, UNIVERSITY OF CHICAGO

“The mistake lies in fearing money and trusting debt.”

1936 – BIRTH OF THOMAS GRECO, MONETARY REFORMER, AUTHOR OF “THE END OF MONEY AND THE FUTURE OF CIVILIZATION”

“The money problem can be summarized thusly: the way in which money is created by the banking system today causes a debt imperative which drives a growth imperative — this forces destructive competition for the available supply of money, which is never sufficient to enable all debtors to pay what they owe….

“The evils that have been spawned by the collusion between political power and financial power are far worse even than those that arose from the collusion between political power and religious power…

“When the realization of the inherent money power in all of us comes to man he will…push down the walls of his prison. Finance which is the creature of the unholy wedlock between banker and state cannot be solved by either power dominating the other. The only solution lies in the people denying the power of both over industry and their assertion of their own money power…

2002 – LOW POINT OF THE DOT.COM CRASH

The explosive rise of the Internet resulted in the explosive rise of speculative financial investments in Internet corporations (the “dot.com” industry). A huge bubble ensued when the financial industry seeking quick and massive profits blindly invested in these dot-com start-ups without carefully reviewing their business plans. The euphoria turned to depression when many of these start-ups failed to make a profit. When they collapsed, the market collapsed. The full mania mode of the financial industry imploded The NASDAQ Composite lost 78% of its value as it fell from 5046.86 to 1114.11 on October 9, 2002.

OCTOBER 10

1895 – DEATH OF SARAH E.V. EMERY, AUTHOR OF “SEVEN FINANCIAL CONSPIRACIES, WHICH HAVE ENSLAVED THE AMERICAN PEOPLE”

Published in 1888, it was a devastating indictment of the “money power” addressed to the farmer and laborer. It reportedly sold 400,000 copies through the Farmers’ Alliance circles, significantly contributing to monetary literacy nationwide. Its impact was so threatening that former U.S. Secretary of Treasury John Sherman (of Ohio) responded to it via a letter in the Cincinnati Enquirer. Emery also lectured nationally on monetary issues and the People’s Party

OCTOBER 11

2013 – “SEQUESTERS, SHUTDOWNS AND DEFAULTS” BY STEPHEN ZARLENGA PUBLISHED

“What citizens should know is that our country can pay off its debt as it comes due; can put millions of people back to work rebuilding our crumbling infrastructure; can provide debt-free federal support for cash-strapped State governments, and end the so called great recession by putting cash in the hands of all our citizens through a citizens dividend. This gives small businesses what they need most – customers with cash to spend on their goods and services. All these things are made possible by the HR 2990 bill introduced by Dennis Kucinich and co-sponsored by John Conyers.

“The bill accomplishes this by adjusting our money system from one of “debt money created by banks” when they make loans, to one of “money by law” created as money, not as debt, by our government. That power is already vested in Congress by the Constitution; ‘The Congress shall have the Power To… coin Money, regulate the Value thereof…’” (Article 1, Section 8).

OCTOBER 12

1977 – PASSAGE OF THE COMMUNITY REINVESTMENT ACT

Advocated by a movement of neighborhood activists across the nation, Congress passed the Act that outlawed “redlining” or ”blackballing,” the common practice by banking corporations to discriminate by race and income in loans to individuals and small businesses.

2016 –  “THE NEW ABOLITIONISM: MONEY REFORM AND THE STRUGGLE FOR CIVIL RIGHTS,” TALK BY REVEREND DELMAN COATES

Talk at the American Monetary Institute annual conference

“Coates delivers a very powerful speech on the need to break free from the modern form of slavery: debt slavery, at the 12th Annual AMI Monetary Reform Conference, University Center, Downtown Chicago, Saturday October 1, 2016. Reverend Coates is Senior Pastor at Mt. Ennon Baptist Church, Leader of the Black Church Center for Justice and Equality, Board member of the Parents Television Council and the National Action Network, member of the Society of Biblical Literature, the Morehouse College Board of Preachers (home of the alumnus Dr. Martin Luther King’s International Chapel), and the NAACP. His talk is entitled “The New Abolitionism: Money Reform and the Struggle for Civil Rights.”

2018 – VIDEO, “CONVERSATION WITH PROF. RICHARD WERNER”

“This is an extraordinarily clear exposition of Werner’s thinking on banking and central banks by Werner himself.

“Banking and money theories, empirical research, bank money creation, asset bubbles, banking crises, regulations, central bank policies, credit guidance, local banking, and much more are clearly laid out.

“But then at 1:12 it gets highly intriguing when he analyzes what he thinks is the central banks’ Plan B to deal with a now better informed public about money creation. He thinks that the proposal of digital money and people having their own account at a central bank is a huge power grab by the central banking community and thinks some monetary reformers have been captured by that idea.

His argument is a bit of a straw man argument because he thinks that monetary reformers not only want to abolish bank money creation, but want to abolish banks altogether”

OCTOBER 13

1879 – DEATH OF HENRY CAREY, CHIEF ECONOMIC ADVISOR TO PRESIDENT ABRAHAM LINCOLN

Carey was the major proponent in the Lincoln Administration of issuing debt-free US money, Greenbacks. In referencing the US economy under the Greenback system, he said, …”for the first time, too, in the history of the world, there has been presented a community in which nearly all business was done for cash, and in which debt has scarcely an existence…there has been a large and general diminution of the rate of interest…traders have therefore become more independent of the capitalist, while the country at large has become more independent of the ‘wealthy capitalists’ of Europe.”

2009 – POSTED VIDEO, “DENNIS KUCINICH ADDRESSES AMI CONFERENCE PARTICPANTS”

Leading monetary reformer Congressman Dennis Kucinich (Ohio 10th District) describes his commitment to monetary reform at the American Monetary Institute’s Fifth Annual Conference at Roosevelt University in Chicago, September 27, 2009.

2010 – VIDEO, “STEPHEN ZARLENGA – AMI’S PURPOSE, OBJECTIVES AND METHODOLOGY”

Stephen Zarlenga, Director of the American Monetary Institute, at the 2010 AMI Monetary Reform Conference. 

OCTOBER 14

1644 – BIRTH OF WILLIAM PENN, EARLY QUAKER, FOUNDER OF THE PROVINCE OF PENNSYLVANIA – THE ENGLISH NORTH AMERICAN COLONY (FUTURE COMMONWEALTH OF PENNSYLVANIA)

Penn’s colony becomes one of the first to issue its own currency in 1723 as a means to become more economically independent from the British crown. The money backed by peoples’ land assets, not by gold or silver. Benjamin Franklin, who in 1731 secured the contract to print Pennsylvania’s money, noted that after the colonial legislature first issued paper money, economic conditions in the colony improved – as measured by internal trade, employment, new construction and number of inhabitants.

2008 – US TAXPAYERS BAILS OUT NINE US BANKS

The U.S. injects $250 billion of $700 billion available in public money from the Emergency Economic Stabilization Act into the US banking system. The US takes an equity position in banks that choose to participate in the program in exchange for certain restrictions such as executive compensation. Nine banks agreed to participate in the program: 1) Bank of America, 2) JPMorgan Chase, 3) Wells Fargo, 4) Citigroup, 5) Merrill Lynch, 6) Goldman Sachs, 7) Morgan Stanley, 8) Bank of New York Mellon and 9) State Street.

2010 – VIDEO, “THE CASE FOR MONETARY REFORM”

Presentation by Robert Poteat, American Monetary Institute Senior Advisor, at the 2010 AMI Conference

2014 – “STOP BANKS FROM CREATING MONEY,” POSTED VIDEO OF MARTIN WOLF

Martin Wolf, Chief Economics Commentator of Financial Times speaks at the event “Does Money Grow on Trees?” at the hall of the Institute for Chartered Accountants in England.

OCTOBER 15

1908 – BIRTH OF JOHN KENNETH GALBRAITH, U.S. ECONOMIST

“The study of money, above all other fields in economics, is one in which complexity is used to disguise truth or to evade truth, not to reveal it. The process by which banks create money is so simple the mind is repelled. With something so important, a deeper mystery seems only decent.”

Source: ‘Money: Whence it came, where it went’ (1975)

1982 – U.S. CONGRESS PASSES GARN – ST. GERMAIN DEPOSITORY INSTITUTIONS ACT

The act deregulated savings and loan associations and allowed banks to provide adjustable rate mortgage loans. Many believe it contributed to the savings and loan crisis of the late 1980s.

2007 – PUBLICATION OF “LYCURGUS: LAWGIVER OF SPARTA” BY LLOYD DULHAIME

Lycurgus was a monetary reformer and leader of the military city-state of Sparta around 700 BC. He banned gold or silver money, replacing it, instead, with money made of iron dipped in vinegar to make it brittle and useless as iron. Lycurgus understood the nature of money — not as a source of wealth (which can be gold, silver, land, diamonds, etc.) but rather anything affirmed by government as currency to exchange for good and services of a society. Its value was not as a commodity.     http://www.duhaime.org/LawMuseum/LawArticle-189/700-BC–Lycurgus-Lawgiver-of-Sparta.aspx

2015 – PUBLIC HEARING ON MONETARY REFORM IN HOLLAND

The Dutch lower house’s permanent commission on financial affairs of the (Tweede Kamer) conducts a public hearing on the money system.

The hearing is a result of a citizen’s initiative that gathered about 100,000 signatures, much more than the required 40,000 to mandate the public action.

The initiative and hearing triggered a debate in Parliament in 2016 that ended up with a majority in the Dutch parliament voting in favor of further investigation, to be carried out by the Scientific Council for Government Policy (WRR).

On January 17, 2019, those efforts finally bear fruit, with the publication of the WRR’s report entitled “Money and debt: the public role of banks”. According to the WRR, a financial system should fulfill 4 core values: service, stability, justice and legitimacy.

2020 – “DEMONSTRATION AT THE FEDERAL RESERVE BANK OF NEW YORK” POSTED ARTICLE BY HARRISON “TESOURA” SCHULTZ

“Our latest grassroots demonstration at the Federal Reserve Building of New York to raise awareness for how the NEED Act can fund a Green New Deal for the 99% on the nine-year anniversary of Occupy Wall Street (OWS) was a smashing success!…

“My ultimate goal is to inspire more and more of my fellow occupiers to use their grassroots direct action, street theater and social media skills to help me to gradually organize a new occupation, a 24 hour a day, 7 days a week monetary reform teach-in, and to lead a nation-wide call-a-thon of millions of phone calls to Congress with demands to pass the NEED Act into law, from the Federal Reserve Building of New York.”

https://www.monetaryalliance.org/demonstration-at-the-federal-reserve/?fbclid=IwAR3od6jl6WuokdpBmnws234Gtw68qdKRCzTj4PMW37PB_TtiIAUlM6OUeR4

October 2 – 8

OCTOBER 2

1869 – BIRTH OF MOHANDAS GANDHI

‘Earth provides enough to satisfy every man’s need, but not every man’s greed.”

One of his “7 Deadly Sins” was “wealth without work.”

He also said “First they ignore you. Then they ridicule you. The they fight you. Then you win.”

2008 – US REPRESENTATIVE BRAD SHERMAN ON HOUSE FLOOR CONCERNING BANK BAILOUT LEGISLATION

“But why are we bailing out the Bank of China? Why are we bailing out the Saudi royal family?… The only way they can pass this bill is by creating and by sustaining a panic atmosphere… A few Members were even told that there would be martial law in America if we voted “no.”

2014 – MORTGAGE REFINANCE APPLICATION OF FORMER FEDERAL CHAIRMAN BEN BERNANKE IS DENIED

More money injected into the banking sector by the Federal Reserve was to make more money available for loans — especially to moderate-income people. Yet, banks were hesitant to increase the pool of housing loans — funneling funds to Wall Streets and speculative investments rather than to homeowners…including to former Fed honcho Ben Bernanke!

OCTOBER 3

2008 – US CONGRESS APPROVES $700 BILLION BAILOUT FOR BANKS

Congress passes and President Bush signs into law the Emergency Economic Stabilization Act of 2008 (Public Law 110-343), which establishes the $700 billion Troubled Asset Relief Program (TARP). US taxpayers bailed out the largest US banks since they were considered “too big to fail.” Main Street businesses and side street homeowners facing foreclosures (due in large part to the speculative practices of major financial institutions) received no such support. Many of these major banks were major political campaign contributors/investors in the 2008 political campaign. The final bailout legislation was a revised and slightly better version of an original bill proposed by Sec. of Treasury Hank Paulson that was literally only a few pages in length. Massive public anger resulted in a flood of calls, emails and visits to congressional offices. Congress defeated the original proposal.

OCTOBER 4

1923 – BIRTH OF CHARLTON HESTON, ACTOR

You shall not charge interest to your countrymen…” A quote from Moses from the Bible, [Deuteronomy 23: 19-20]. Moses was born sometime in 1527 BC. Since the exact date is unknown, why not use the birth date of the guy who played him in films!

OCTOBER 5

1941 – DEATH OF LOUIS BRANDEIS, US SUPREME COURT JUSTICE (1916-1939)

“The development of our financial oligarchy followed, in this respect, lines with which the history of political despotism has familiarized us: usurpation, proceeding by gradual encroachment rather than by violent acts; subtle and often long-concealed concentration of distinct functions, which are beneficent when separately administered, and dangerous only when combined in the same persons. It was by processes such as these that Cæsar Augustus became master of Rome. The makers of our own Constitution had in mind like dangers to our political liberty when they provided so carefully for the separation of governmental powers. . . .

“The goose that lays golden eggs has been considered a most valuable possession. But even more profitable is the privilege of taking the golden eggs laid by somebody else’s goose. The investment bankers and their associates now enjoy that privilege. They control the people through the people’s own money.”

1998 – “OUR MONEY” by James Robertson online posting

“Should the creation of new money – ‘credit creation’ – continue to be delegated by governments to banks? This allows banks to profit from issuing money as debt in the form of interest-bearing loans to their customers, and requires governments themselves to pay interest on public borrowing. Why can’t governments themselves issue new money directly, as payments for public spending programmes or as part of a Citizen’s Income?”

https://newint.org/features/1998/10/05/alternatives/

2020 – “’WHAT’S WRONG WITH MODERN MONEY THEORY?: A SUMMARY” by Govert Schuller posted online

A review of:  Epstein, Gerald A. 2019. What’s Wrong with Modern Money Theory? A Policy Critique. Cham, Switzerland: Palgrave.

“This last point brings me to the idea that MMT might have a not so hidden agenda which leaves regular and shadow banks, hedge funds and the rich off the hook as they do not have to be regulated, reformed or taxed per MMT. They can continue their financialization schemes, reaping huge profits, creating financial crises and then getting bailed out. A fair question might be to ponder if this was the business plan of Warren Mosler–the originator and generous promoter of MMT–from the beginning so he could imagine himself to be a progressive without having to limit or regulate his financial schemes as a hedge fund manager. Epstein put the lie to that and provided the MR community with a sophisticated analysis of MMT, both its good policy goals, mixed bag of analyses and counter-productive means, and also moving the discussion into an international dimension.”

https://www.monetaryalliance.org/whats-wrong-with-modern-money-theory-a-summary/?fbclid=IwAR2ChUHbVYa3G_ugVmfYWAFSowni5tMGFGhRLQiVVLmABVDI-wHXOLkwkYE

OCTOBER 6

1979 – HISTORIC ANTI-INFLATION MEASURES ANNOUNCED BY FED CHAIR PAUL VOLKER

The Fed made “a short-term change in the method used to conduct monetary policy, from making adjustments in the federal funds rate to …controlling the amount of reserves provided to the banking system.” Alan Greenspan, who would follow Volker as Fed chair, called the decision, “A defining moment may shape the direction of an institution for decades to come. In the modern history of the Federal Reserve, the action it took on October 6, 1979, stands out as such a milestone and arguably as a turning point in our nation’s economic history.” The Fed has since shifted back to focusing on federal funds rates (the rate banks charge each other). Volcker’s decision would he hoped rein in inflation. The goal today by the Fed (and most of the other private central banks) is to increase inflation to 2% via money printing. That was the purpose of the Fed’s multiple Quantitative Easing (QE) programs. https://www.minneapolisfed.org/publications/the-region/reflections-on-monetary-policy-25-years-after-october-1979

2005 – PRESS RELEASE BY AMERICAN MONETARY INSTITUTE, “MONETARY REFORM PLAN WOULD SAVE $ BILLIONS IN KATRINA CLEANUP”

Money Reform Plan Would Save Taxpayers $ Billions Per Year in Katrina Cleanup
“An alteration in the way money is introduced into our economy would save at least $10 billion dollars per year in the cleanup and rebuilding aftermath of Hurricanes Katrina and Rita. If the clean-up loans last the normal 30 years, the savings will be over $250 billion,” says Stephen Zarlenga, Director of the Institute. 

http://www.monetary.org/american-money-scene-3-january-2006/2006/01

2020 – AS 98,000 BUSINSSES PERMANTLY CLOSED, THE FED AND TREASURY SAT ON $340 BILLION OF UNTAPPED MONEY FROM THE CARES ACT” posted online

“When both parties in Congress came together in March to pass the CARES Act, which was signed into law by President Trump on March 27, the clear intention of the legislation was for the U.S. Treasury to hand over $454 billion of taxpayers’ money to the Federal Reserve. The Fed, in turn, was to leverage the money by 10 times to approximately $4.54 trillion to deploy to keep the economy moving, credit flowing, workers employed and businesses alive until the pandemic had been brought under control…

“But according to the latest H.4.1 release from the Federal Reserve (and backed up by recent Senate Testimony), six months after the CARES Act was signed into law, U.S. Treasury Secretary Steve Mnuchin has handed only $114 billion of the $454 billion over to the Fed. That leaves $340 billion allocated by Congress unaccounted for. “

2021 – “TOKEN OF ALL TOKENS: COULD A $1T COIN FIX THE DEBT LIMIT” POSTED ARTICLE

 “But despite all the jokes about who should go on the face of the coin — Chuck E. Cheese? Donald Trump, to tempt or taunt the GOP? — there’s scholarship behind it, too. However improbable, it is conceivable the government could turn $1 trillion into a coin of the realm without lawmakers having a say…

“The Treasury can’t introduce new currency into circulation, only the Fed can do that. In theory, the coin would be minted and deposited with the Fed and its value would make its way into Treasury’s general account and used to pay a whole lot of bills.”

https://apnews.com/article/donald-trump-business-congress-85d495defe92b42915c19f3fc2d0176d

2021 – “THE MONEY MATRIX, PART 1: THE PRIVATE MONEY SYSTEM” BY SUE PETERS POSTED ARTICLE

“U.S. history can be viewed as a power struggle between public control and private control of money (1). Beginning with the signing into law of the U.S. Constitution, Congress used its constitutional power to issue money, but, at the same time, states chartered private commercial banks to issue bank credit (‘bankmoney’). Congress created the money for public needs. Banks created bankmoney for private profit and power…

 “Say this 15,000 times: “The bank makes a loan and CREATES the deposit in the borrower’s account…

“If you have the power to create what everyone uses as money, you will eventually own the world…and the 1% is almost there (3). Obscene economic inequality. Starving of the real economy where we all live, and shamelessly inflating the speculative financial markets.”

https://www.monetaryalliance.org/the-money-matrix-part-1-the-private-money-system/

OCTOBER 7

1849 – DEATH OF EDGAR ALLEN POE, US WRITER, POET AND CRITIC, AUTHOR OF “THE GOLD BUG”

“But what makes ‘The Gold Bug’ highly valuable (a literary work of art), rather than merely entertaining (a humbug) is the fact that encrypted within it is a very sophisticated set of meditations on the subject of money. Specifically, ‘The Gold Bug’ concerns the transition from gold coins to paper money (the piece of parchment). In America, which was the first country to make widespread use of paper money, these very controversial developments took place in the 1830s and ’40s, that is, precisely when Poe was alive and writing all the works for which he would become famous, if not extravagantly wealthy….And so, everything that might be said about the power of paper money can also be said about coined money: both of them produce dissociative, illogical and unnatural effects. What’s so special about gold? As King Midas learned so tragically, you can’t eat it. Provided that they are inscribed with the right words, images and symbols, even bullets can be used as legal tender. Though the advent of paper money made visible a certain crisis, that crisis didn’t begin or wasn’t caused by paper money; it began or was caused by the advent of money itself, thousands of years ago.” http://www.notbored.org/gold-bug.html

OCTOBER 8

1946 – BIRTH OF DENNIS KUCINICH, FORMER CONGRESSMAN, OHIO

Author of the National Emergency Employment Defense [NEED] Act, introduced in 2010 and 2011. Among the bill’s provisions are:  (a) make the Federal Reserve System more accountable by placing the Fed under the US Department of Treasury, (b) create government issued money to hire people to repair the nation’s physical and human infrastructure, and (c) eliminate fractional reserve lending – the practice that permits banks to lend many times more funds that they actually possess.

2008 – QUOTE BY ALAN GREENSPAN, CHAIRMAN OF THE FEDERAL RESERVE

Here’s what he said just after the Glass Steagall Act was repealed in 1999 (just before the market crashed), of the rapid growth of money center banks… “I believe the general growth in large [financial] institutions have occurred in the context of an underlying structure of markets in which many of the larger risks are dramatically — I should say, fully — hedged” -NYtimes.com, October 8, 2008