The 1913 Income Tax Form

ZPRC ^ | 4/15/24 | self

[clearcarbon]

"How do you like them apples folks?"

[pierrem15]

The Depression in part may have happened because the Federal Reserve provided a false sense of security. If you compare the pre-Fed rate of financial panics compare to the post-Fed rate, the Fed may have actually done some good when it acted simply as a reserve bank.

FDR's actions were simply theft and an attempt to recapitalize the economy by increasing the monetary supply (and Federal spending) by debasing the currency. That debasing was not the seizure of gold but the change in the exchange rate from $20/oz to $35/oz. All that gold in Ft. Knox was suddenly worth 75% more in dollars. Although the debasement was authorized by Congress, breaking the individual convertibility of dollars to gold was the first step towards a pure fiat currency.

The last step was Nixon's, and removing the silver convertibility. That put the Federal Reserve in charge of the value of the currency via interest rates and enabled the Fed to be lender of last resort, not only to the banks, but to the Federal government, vastly increasing the availability of deficit spending.

[Pontiac]

I am aware that the Chinese and Saudis are trying to supplant the Petro-dollar.

If they succeed the US dollar will suffer hyper inflation as all of those off shore dollars comeback to the States.

A world wide depression is also a very likely result.