The Mandrake Mechanism: Everyone should know how the Federal Reserve Works

While everyone should know, most do not and most do not even care. They are comfortably numb or better stated, comfortably dumb...There is a cure for this. Just start reading here and then wake up and dig in and study it for yourself.

The title of this post may best be read as "...how the Federal Reserve does not work for your best interest..."  At all...

I have said it before that this system is usury as per the Bible's definition of usury. It is ungodly and needs to be abolished. But for some reason people are addicted to debt and the temporary satisfaction that it brings them and they do not want to give this up...

G. Edward Griffin in his book The Creature from Jekyll Island gives a detailed look at how the Federal Reserve actually makes money out of thin air. He called this technique "the Mandrake Mechanism" after Mandrake the Magician from the comics going back to the 1930s.

"The entire function of this machine is to convert debt into money.

It's just that simple.

First, the Fed takes all the government bonds which the public does not buy and writes a check to Congress in exchange for them. (It acquires other debt obligations as well, but government bonds comprise most of its inventory.) There is no money to back up this check.

These fiat dollars are created on the spot for that purpose.

By calling those bonds "reserves," the Fed then uses them as the base for creating 9 additional dollars for every dollar created for the bonds themselves.

The money created for the bonds is spent by the government, whereas the money created on top of those bonds is the source of all the bank loans made to the nation's businesses and individuals.

The result of this process is the same as creating money on a printing press, but the illusion is based on an accounting trick rather than a printing trick.

The bottom line is that Congress and the banking cartel have entered into a partnership in which the cartel has the privilege of collecting interest on money whi~h it creates out of nothing, a perpetual override on every American dollar that exists in the world.

Congress, on the other hand, has access to unlimited funding without having to tell the voters their taxes are being raised through the process of inflation.

If you understand this paragraph, you understand the Federal Reserve System."

Here is a simple visual analogy that should help people understand this at a very elementary level how this actually works and why it is not good at all...

Duck Tales Inflation Lesson: https://www.youtube.com/watch?v=t_LWQQrpSc4