DownsizeDC.org
September 15, 2009
Legalized Counterfeiting Update
By Jim Babka

Quote of the Day: "In the general course of human nature, a power over a man's subsistence amounts to a power over his will." -- Alexander Hamilton (1757-1804) Source: Federalist Paper 79

Subject: Legalized Counterfeiting Update

We see no moral or practical difference between new dollars created by counterfeiting rings and new dollars created by the Federal Reserve System (the FED). Both are forms of stealing. The only differences are . . .

* One form of counterfeiting is technically legal, and the other illegal
* The local counterfeiting ring steals from local merchants, whereas the Federal Reserve steals from everyone, for the benefit of those who get the new dollars first

Whenever the FED creates new dollars the value of every dollar you hold diminishes. It may take a while for this loss to be felt, but the longer the new dollars circulate the more likely it is that you will feel the loss, and the more likely it is that bubbles will result . . . 

. . . followed by recessions.

Apologists for the FED assert that legalized counterfeiting is the cure for recessions. We assert that it is the cause of them.

Last Fall the FED began implementing its supposed legalized counterfeiting cure on a massive scale. Here are the numbers (in billions) showing the massive rise in the quantity of dollars . . .

2008-08-01   847.472
2008-09-01   908.020
2008-10-01  1,132.509
2008-11-01  1,441.067
2008-12-01  1,663.932
2009-01-01  1,712.081
2009-02-01  1,562.251
2009-03-01  1,646.934
2009-04-01  1,752.744
2009-05-01  1,774.892
2009-06-01  1,684.038
2009-07-01  1,673.100
2009-08-01  1,706.099

We want to call your attention to the numbers for May through August. The FED has promised that it will withdraw the new dollars it has created just as soon as the economy recovers. There were signs that they were attempting to do that at the end of May, and the downward trend continued through July. But now August has come and gone and the money supply has grown again. 

Please also notice that the price of gold has spiked above $1,000 an ounce. We've always been skeptical that the FED would be able to reverse its counterfeiting binge. It appears the gold market is skeptical too. If our worst fears are realized then we are all in big trouble.

Look at that list of numbers again. The money supply has basically doubled over the past year. If this money remains in circulation then the value of your savings will tend to be cut in half, as will the purchasing power of your paycheck. Can you afford that?

It gets worse. If we're correct that legalized counterfeiting causes recessions, we may yet face an economic downturn equal to the increase in the money supply.

Worse still, we know from the example of the 1970s that it's possible to have both recession and price inflation at the same time. This too could be in your future.

What can you do about it? Some think we need to end the Fed's ability to counterfeit. We agree. But there's an easy way to do that, and a hard way. We prefer the easy way.

That's why we continue to focus our efforts on three crucial bills NOT YET RE-introduced by Congressman Ron Paul . . .

* The 15-word "Honest Money Act" that would repeal the 41-word legal tender law.
* The 104-word "Free Competition in Currency Act" that would repeal the government monopoly over the creation of coins for use as currency.
* The 193-word "Tax-Free Gold Act" that would prohibit federal and state taxes on precious metal coins and bullion.

These three simple bills would allow you to hold your wealth and conduct your business in forms of money other than Federal Reserve Notes. This would create a free market money system and pave the way for the end of the FED.

We want to point out to you that every new fact we provide to you is another opportunity for you to write a letter to your Congressional employees, and ask for what you want. Please take advantage of this opportunity.

Please use DownsizeDC.org's Educate the Powerful System to ask your representatives to introduce the "Honest Money" bills.

Use your personal comments to tell your Congressional employees that you don't want to be forced to hold your wealth in dollars that are constantly devalued by the FED's relentless legalized counterfeiting. We recommend that you cut and paste the numbers from above showing the explosion in the size of the monetary base.

You can send your letter at DownsizeDC.org.

And you can spread the word about this campaign with the new music video, "Brother Can You Spare a F.R.A.U.D.?"

Thank you for being a part of the growing Downsize DC Army. To see how fast your Army is growing please check out the Keeping Score report below my signature.

Jim Babka, President
DownsizeDC.org, Inc.  

KEEPING SCORE REPORT

Your Downsize DC Army grew by 16 net new members yesterday. This brings our total growth for the year to 3,818. The Downsize DC Army now stands at 28,164, 16% of the way between 28,000 and 29,000. 

YOU can make the army KEEP GROWING by following our quick and easy instructions for personalized recruiting.

We can also grow faster by spreading the word through the media. Please help us do this by starting a monthly credit card pledge -- it can be as low as $5 a month (which is just 17 cents per day). You can start your pledge using our secure online contribution form.

Please let us know if its okay to advertise your support here:

NEW MONTHLY PLEDGERS IN SEPTEMBER: Poul Petersen, Mark Wilczek, Mann Page Ciesemier, Leslie Thomas-Rieser, Jim Lorenz, Chelsea Moller, 3 unlisted -- (9 new pledgers total) PLEDGERS FROM AUGUST: Glen Ihrig, Gary J Leidy, David Bergland, Gary T Gorski, Don J Crites, 8 unlisted -- (13 new pledgers total)

Or, you could make a one-time donation. Please let us know on DownsizeDC.org's secure contribution form if its okay to advertise your support here:

NEW ONE TIME DONORS IN SEPTEMBER: A.J. Stukenborg, Nathan Bailey, 3 unlisted -- (5 new donations total) DONORS FROM AUGUST: Sharon Mears, John Matthews, Patricia Barnum, Brian Travis, Sarah Franke, Dirk Doebereiner, James Wahler, Meredith Weaver, Stephen Moffett, Matthew Whitlock, Dan Litwin, Russell Kominski, Veronica Arnold, Michael Bayback, Ann & Todd Secoy (in memory of Julia Bitner), James Marranca, Kay Samalin, David Hyatt, Douglas Steinschneider, Lily Riker, Nicholas C. Beason, Mr. Marlin, Edward J. Krieger, Lynnette Thompson, 17 unlisted -- (41 total)

If a tax deduction is important you can get one by contributing to the educational outreach efforts of the Downsize DC Foundation. Contribute at the Foundation's secure contribution form.

Filed under
Blog commenting is currently under construction. In the meantime, you can send an email if there's something you'd like to tell us.

What Can We Do For You?

We can help you downsize the federal government, if you want that. All you have to do is join. It's free! In return...

We'll give you an army.

We're recruiting a huge army of supporters to work for what you want.

We'll give you influence.

The Downsize DC Army will exert relentless, resistance-numbing pressure on Congress.

We'll make your voice heard.

We'll use our growing army to make your beliefs heard by everyone, everywhere, every day.

We'll give you winning strategies.

Ideas like our "Read the Bills Act" and the "One Subject at a Time Act" will give you the leverage to win the public debate, control Congress, and Downsize DC!

We'll give you powerful tools.

  • Your free membership includes a subscription to our free email newsletter, the Consent Chronicle, which national talk show host Jerry Hughes calls by far the best newsletter he receives.
  • You'll be able to use our Educate the Powerful SystemSM to pressure Congress. It's easy. All it takes is a few mouse clicks and keyboard strokes. You can do it in your bathrobe while you're drinking your morning coffee, or during a break at work.
  • You'll also gain access to our 16-page strategy document, "The Downsize DC Vision." You'll learn about important insights like "ignoring an axiom," and powerful strategies like "picking off the herd." One reader called this document "the unified field theory" of political change.

To gain these benefits, just enter your email address in the box below and hit Subscribe!

Subscribe to the Consent Chronicle
Enter your email address twice: