Code giving our asset to the FRB

Hi guys, I need to know where it says that our assets were guaranteed as the backing of the Federal Reserve Note.



Thanks,

Sara-Jane

[Jerseee]

Montana,



I doubt that this will be openly stated by them but, I'll do some research.

[TheBlackTruth]

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I agree. I highly doubt you'll find anywhere its openly stated as government public policy, however it can be logically inferred through a study of our monetary system. In reading the works of other econmic and FRS spe******ts they seem to attribute this conclusion to this one very fact: we are charged interest on loans of fiat money.



Here's a scenario:



Let's say the economy is comprised of 10 individuals who all work for the 1 corporation on the planet. The Federal Reserve System is established and it loans its first Notes to the 10 people. You see, the ONLY WAY notes can get into circulation is via a loan of some sort. The FRB loans $100 of notes to each person for a grand total of $1000 worth of notes in circulation in this economy. The catch is, they are all going to be charged 5% interest to repay this loan! Remember there is only $1000 in circulation, so where are they supposed to get the additional 5%? Well, the one corporation is going to want to expand so it goes and gets a corporate expansion loan and uses a portion for payroll. It gets a loan for $5,000. Because these 10 employees have these debts to service, they must labor (primary asset) to service the interest on the loan with notes now worth one fifth of their initial value. The cycle continues so that there is no way the debt can ever be paid off so the people must labor indefinitely.



The monetary system is backed by the labor (sweat equity) of the people. The banks also en***ber our Real estate through mortgages, etc. so we labor even harder not to lose our real property to the banks as well!

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[KaosTheory]

The way I understand it is:



The state holds the title so they can use it as collateral to borrow anything from anyone I would imagine. I don't think there needs to be something in writing somewhere that allows this. The title holder is owner and can do what he/it wants with his/it's property.