Feb. 22, 2014 - The Political Cesspool - James Edwards
50:15
20140222_Hour_3
|
Time
Text
You're listening to the Liberty News Radio Network, and this is the Political Cesspool.
The Political Cesspool, going across the South and worldwide, as the South's foremost populist conservative radio program.
And here to guide you through the murky waters of the Political Cesspool is your host, James Edwards.
All right, everybody, and welcome back to the third and final hour of tonight's broadcast.
And if it can be imagined, we may have saved the best for last this evening, at least in terms of the caliber of our guest.
I'm your host, James Edwards.
Eddie the Bombardier Miller joining me here tonight for the final installment of this evening's program.
You're listening to the Political Cesspool, the fifth most listened-to show in the country on the internet right now, according to TalkstreamLive.com, and a show that is firmly entrenched in the top 10 in our time slot.
Syndicated by the AM FM affiliate stations of the Liberty News Radio Network, and of course, originating from our flagship studio here in Memphis, Tennessee.
It's great to have you with us, ladies and gentlemen.
And with that being said, without further ado, I want to toss it over to my friend and compatriot, Eddie the Bombardier Miller, who is going to introduce our guest and the topic of conversation for this, our last hour.
Well, our guest, and I can tell you, folks, that I am relieved from the top of my head to the bottom of my feet because I thought the Big E was going to have to carry this show by myself.
I was afraid because I couldn't get in touch with Mark for a while.
But we're having a guest come on.
I've been following him on Facebook for quite some time.
He has really impressed me.
You know, I'm not an economist by trade.
You know, I'm a registered nurse.
Mark is really good.
I'm going to let Mark give a brief bio.
I know he has a B.S. and an MS in economics, and I know he's tall at the college level.
And I know that he is of the Austrian school.
And we will explain that to you later.
And one more thing.
Now, I don't know how much me and Mark could accomplish tonight.
I was hoping this would turn into a series that we could bring our economist on for two, three, maybe four segments, because what we're talking about is it really is the most vital thing that the show has ever covered.
It's about money and who controls the money.
With that, Mark, Mark, I want you to introduce yourself and give us a little bio, son.
Yeah, I'm Mark William.
I graduated down here in Florida from a really huge university.
I guess they're all huge down here.
And like you said, I got a bachelor's and master's in economics.
I worked in construction like 25 years.
I've been teaching at like the university level, anything from grad school down to elementary mathematics, off and on as an adjunct for 12 years.
I've taught at, I don't know, six or seven colleges, universities, technical schools.
So, you know, I've been around the block.
You know, I know a little bit about economics.
And I like working in construction until it took a nosedive, as we all know.
And I really enjoyed it, you know, especially, you know, when I was younger, people looked down on construction and they poo-hoo it.
But, you know, especially when I was younger, you know, I like, you know, I like the F-150 truck, and I like getting out there and actually doing something, actually creating something with my time.
And I worked as like an engineer inspector, like I said, 25 years.
Well, Mark, I appreciate that introduction.
A little outline I hear here tonight, tonight, Mark, and I'd like to remind the people if we can cover tonight, just a brief introduction of what we're going to talk about, because what we're going to talk about is even though it's simple, it's really vastly, it's huge and it's complex.
It's going to take a while for us to cover this subject.
So it's probably going to take several shows.
But what I've got here, people, for the night show, I want to focus a bright spotlight on economics.
And my goal of this is to prove how absolutely vital that the economic system is to our very survival, to prove that everything in life revolves around money or currency, to prove that whether you have a job, how much you make, if you have a house, what's your house note's going to be, the interest rate.
If you have a car, if your kids are going to get education, if you're going to have food in the refrigerator, clothes, it goes infinite.
Oh, no, no, no.
We also want to prove that our very government, everything is controlled by money, and the people who have control of the money.
I want to prove that our very government in Washington, D.C. is controlled by money.
The United States of Congress is totally controlled by money.
The state houses, the nation's police departments.
They're all controlled by money.
The university systems.
And also, we want to talk about, we want to focus our attention on who controls the financial system.
We want to talk about how they got control of our financial system.
We want to talk about whether or not they got control if they did it legally, if it was illegally.
And when I say legal or illegal, I mean is it constitutional or not constitutional?
And this is my little boy James would say, he'd call this a rhetorical question.
We want to talk about why the people that have the control of the money, why do they want to get control of the money?
And I'm talking about the bankers.
Also, in our discussions in this series, we want to cover if Americans can get, if we can get control of the money system, if we can do that, we want to talk about how we can end the welfare system, both corporate and non-corporate citizen welfare system.
If we can get control of the money, we can stem the tide of massive illegal immigration.
Really, it's some migrations like migratory birds coming into our country.
We can stop these endless wars that are controlled by the bankers and started by the bankers for the bankers.
We can end the federal takeover of our schools, our health care.
I mean, the federal government is in every area of our life.
Just witness Obamacare recently, the hell that Obamacare is.
We can end the police state that the federal government has putting in on us.
And you know what?
We can get control of that dictatorial IRS.
We can kick their tails out.
And also in this series, Mark, I thought we would tell the people, what is money?
What are the qualities possessed by real money?
We'll define what a bank is.
Maybe if we get time, we can define what a savings and loan system is.
We can talk about, I definitely want to define inflation.
I want to talk about who benefits from inflation, who suffers from inflation.
And we can give some examples like Germany's Where Am I Republic?
We can talk about the 1930s, the boom in the United States, and who caused that boom and who caused the inevitable crash in the 1930s, how that was engineered.
And I know Mark knows what I'm talking about.
We want to talk about not just inflation, but hyperinflation.
We want to talk about deflation, the deflation in the Americas in the 1930s.
And we want to get so forth and so on.
And we want to talk about also another thing dear to my heart is the tax-free foundations and the gigantic influence they have in our country, and especially on the university system.
And with that, Mark, I can go over.
We can start.
If you can, Mark, I don't know how well versed you are on this.
Explain to the people, and we're going to start in an elementary basis.
Explain to Mark, give the people a brief introduction on what separates real money from, for instance, like commodities.
In the past, people have used cattle, beans.
Wives have been money in the past.
But here in modern times, tell the people what is money and define real money from, say, Francis Fiat Currency, if you don't mind, Mark.
Well, the standard definition of money is it's got to be portable, divisible, and a store of value.
And that's pretty much like every economics textbooks.
And the most primitive, like you said, the most primitive economic system is where you barter, you trade the chickens for the cows or, you know, the wives or whatever.
And so that's like the most primitive.
That's like a barter.
And throughout like thousands of years, we've come to value gold and silver, platinum, and planium a little bit also.
But gold and silver is money because it's portable.
Gold, obviously, being more valuable than silver.
But it also has like...
Hey, Mark, we're getting ready to go to a break.
I'm sorry.
I'm sorry.
We've got to interrupt you.
We're going to a break.
We'll come right back right after this break.
Are you looking to experience the great outdoors and comfort?
Are you sick and tired of sleeping bags that are too small, cots that are too narrow, or backpacks that just don't stand up to the wear and tear?
Look no further than Teton Sports, a leader in quality, comfortable camping gear.
Try our Teton Sports Mammoth Zero Degree Sleeping Bag.
This comfortable family-sized sleeping bag can hold two adults and one child or four young children.
Its interior storage pocket holds wallets, keys, and other valuables.
Or check out our Teton Sports Outfitter Extra, extra large cot.
A camping cot with a steel frame.
It's more than seven feet long and three feet wide and supports up to 600 pounds.
Then it folds up to a manageable three and a half feet by one foot.
Or our Teton Sports Explorer 4000 internal frame backpack.
Its dual aluminum stays adjust to the contour of your back and can hold up to 4,000 cubic inches.
Padded shoulder straps, padded waistbands, and padded lumbar area for maximum comfort with airflow systems to reduce heat.
It's time you start camping comfortably.
Look for Teton Sports products online or at a store near you.
Now you can get the same survival food U.S. Special Forces use on their toughest field missions.
High-protein, high-energy freeze-dried foods known as long-range patrol rations or LERPs.
Soldiers love LERP rations.
They're lightweight and easy to carry.
Easy to prepare by just adding water.
Easy to enjoy because they taste great.
Civilians love LERPS as a solution for emergency preparedness and recreational activities with limited storage space, such as hiking, climbing, sailing, or RV travel.
Veteran-owned Freeze-Dry Guy is your exclusive source for this 2013 U.S. military overrun.
Long on nutrition, these delicious entrees have a long shelf life lasting decades.
But this rare opportunity, this limited supply, will not last long.
You have to act now.
Call 866-404-3663-866-404 food or log on now to freeze dryguy.com, freezedryguy.com.
The word vigor is defined in the dictionary as health and strength in body and mind.
Do you have enough health and strength in body and mind?
Would you like to pursue life with passion?
Would you like to know where you stand when it comes to your vigor score?
That's right.
There's a free scientific test you could take now that'll help you find out what your vigor score is.
Then you can do things to improve that score.
Did you know that?
It's absolutely free, F-R-E-E free.
All you got to do is get a hold of Kurt Crosby.
You can do so, C-U-R-T.
That's Kurt.
C-U-R-T at LibertyRoundtable.com.
Or call Kurt at 801-669-2211.
That's 801-669-2211.
Would you like to learn about the scientifically proven vigor test?
It's free.
How would you like to improve your vigor score?
Again, inexpensive solutions are available now.
Call Kurt Cosby at 801-669-2211 or Kurt, C-U-R-T, at LibertyRoundtable.com for your free VigorScore test today.
To get on the show and speak with James and the gang, call us toll-free at 1-866-986-6397.
And now, back to tonight's show.
Eddie the Bobadier Miller, my co-host, spent the bulk of that first segment talking about what we were going to be talking about during this series on the economy and all things related to those issues.
We are joined tonight by our featured guest, Mark, who is an expert economist.
And now we are going to utilize the guest that we have on, and we're going to be getting into it right now without any further delay.
Eddie?
Well, as I was telling James during the break, a lot of people call economics the dismal science.
And people, this may sound a little bit dry in the beginning when we're getting started here, but we're laying some really vital ground, you know, some groundwork here that you need to know.
Mark, I guess what we'll do, we'll skip forward.
And we could talk about, if you will, how in the beginning, until fairly recent times, that money was pretty much precious metals, namely gold and silver.
For instance, going back, well, actually going back to the Bible days, you know, Abraham bought Sarah's grave with silver.
Mark, when did we start getting away from gold and silver to get it going to a fiat money system?
And how, listen, and yep, go ahead and go with that.
Go with that right there.
Well, over in Europe, the King of England in the 17th century, he figured out that he could have like basically what we would call like fiat money, print money, and force people to accept that as like legal tender.
And in America, it was like a little bit later.
We kind of like went off.
Let me talk a little bit more about America.
I think that's what people are interested in.
Sure, we sure.
We've had like three central banks.
The first, actually, four, like one real brief one during the Revolutionary War, but three ones that are generally taught in our history books.
And the first was like the First Bank of the United States, 1791 to 1811.
Second bank was like 1816 to 1837.
And our third bank, the one that we're concerned about today, is the Federal Reserve, which started in 1913.
Now, in between those banks, we had gold and silver at one time.
We actually circulated Spanish silver dollars as the currency of the day.
And from 1837 to 1862, we had what we call free banking.
And that's where banks would issue currency and they would back it by gold.
And so I would get a piece of paper from you.
Let's say you were buying my buggy or whatever.
And I could take that piece of paper and I could go to my bank and I could get physical gold for that piece of paper.
And they had exchange houses that would swap that paper for gold.
And so your money was literally backed up by gold during that time period.
And most of our time period, even after that time period in 1879, we went back to what they call species payments.
Now, it's kind of like the creature species.
I don't know why they call it that, but it's species payments.
And 1879 until 1934, when FDRL lauded, you could get a dollar or $20.67, which is what an ounce of gold was back then, and, you know, trade it in.
If you wanted an ounce of gold, you'd get an ounce of gold.
And so money was backed by physical gold and physical silver throughout much of our history.
That's like the norm.
Where we're at right now is not normal at all.
Fiat system.
Mark, remind me never to argue with you on Facebook again about economics, man.
You are doing a brilliant job, son.
You surely are.
Listen, Mark, you know, now before, going back before 1860, now, we did, now, we went without, I know you said it, we didn't have a central bank prior to between, but from 1860, it cranked up.
Going back from 1860, say to 1850, 1840, when did the last, in other words, what I'm trying to say is, when did we have, oh, Lord, when did we get the last the Federal Reserve, when did we get a central bank coming in to the Civil War?
Didn't we get one in in 1860 with Lincoln?
Didn't Lincoln have to go and borrow money from the bankers to perpetuate the war between states?
No, Lincoln, he basically passed the greenback law.
That's where we got our dollar bills, excuse me, the greenbacks, dollar bills.
And he basically financed that war through inflation.
You know, he basically, okay, this is legal tender.
You have to accept this money.
And I'm going to print as much of it as I need to to win the war.
And so what that does is whenever the government or the bank or whoever, whenever they print money, it allows them to be average citizen for goods and services.
Hey, Mark.
Let's say like a buggy back then called $100.
We're going to try to call you back.
We're getting a really bad, we're getting a real bad connection with your phone, Mark.
Okay, our producer is going to try to call you back.
Okay.
Okay.
Our good guest right now is temporarily on hold.
We're having a really bad connection to his phone.
I thought it was my headset.
But our producer is going to try to call him back, get him back on a better line.
But meanwhile, until we get Mark back, I'm going to go back to where I left off with a question I asked him.
We didn't have a central bank up until the time during Lincoln's War.
And Lincoln foresaw, he saw the danger of central banks just like our founders did, like Andrew Jackson did.
And Andrew Jackson was faint.
Okay, Mark, you're back ready to go.
Mark, I was sort of going back to where you was basically with Lincoln, with Lincoln's war.
And you talked about, crank back up where you was with the greenbacks.
We had a really bad connection, Mark.
So you were talking about Lincoln and how he financed the war with fiat currency.
So crank back up there if you don't mind, Mark.
Yeah, it's a normal procedure when you have like a good banking system.
And they had like a decent banking system from like 1814 to 1915 throughout Europe and even America at times.
But it's normal when you go to war to go off of what you call like species payments or redemption of like dollars or pounds or whatever it is for gold.
And what that basically means is that the government is going to print as much money as they need to to finance that war and get whatever resources that they need to fight the war through inflation.
And like I said, I was using the example of like a buggy.
Let's say a buggy cost $100 back then.
And so I go out, I work, I plow my fields and I earn $100.
But the King or Abraham Lincoln or whoever, they want that buggy more than I do.
They need it to rent supplies or whatever for the war.
So what they simply do is they'll print up like $110.
And they'll outbid me for that buggy.
And they'll pay $110 for that buggy, of course, causing inflation while they're doing it.
And then they'll get that buggy and they'll devote it to the war effort.
You understand how that works?
Yes, I do.
And that leads me to a question, Mark.
And I'm asking this for the audience, because I know you'll know it, and I know I know it.
Why?
Okay, now, you know, when the government prints this species money you're talking about, and we start going over to what I call a fiat currency, well, explain to the people why the bankers with a central bank, if you can, if I'm not confusing you, Mark, you're a brilliant guy.
Why would, and this is another rhetorical question, how would the bankers benefit from this inflation during a war?
You know, you see where I'm heading with that question?
Well, yeah, the bankers, they're going to, obviously, they're going to take care of their own, kind of like our system that we have today.
It goes through, like in the system that we have today, it goes through like the Federal Open Market Committee, which is a committee of obviously bankers at the Federal Reserve.
They meet and they decide like if they're going to sell, if they're going to purchase bonds, or sometimes they can sell them and contract the money supply.
But basically, if they want to expand the money supply, which obviously is all they've been doing lately, what they'll do is they'll go out and they'll buy bonds from like the member bank, the member banks.
So they'll go out and they'll like write up some script and they'll purchase, let's say, like $100 worth of bonds from, for example, Goldman Sachs, J.P. Morgan, somebody like that.
Mark, get ready to go to a break.
So I'm sorry I have to interrupt you again, Mark.
We're going to a break.
You're doing a great job.
I really appreciate you coming on.
We'll come back tomorrow right after this break, people.
Informing citizens.
Pursuing liberty.
You're listening to Liberty News Radio.
The Occidental Quarterly fills a unique niche in bringing together scholarly articles on a wide range of topics that are mired in political correctness elsewhere.
It is edited by Professor Kevin McDonald, who's no stranger to listeners at the political cesspool.
There are quite a few reasons for the precarious state of our civilization and our people, but one of the main ones is that we have lost the intellectual and moral high ground to a cultural elite that is hostile to our people and our culture.
Those of us who are politically aware must understand that the elites dominating culture and the political process in the West are intellectually and morally bankrupt.
TOQ is the key.
Digital download subscriptions are only $30 a year.
Subscriptions by first-class mail are only $60 a year.
Go to TOQOnline.com and click on subscribe now.
In addition to receiving fascinating and informative articles, you will also be supporting the work of scholars who are part of a community defending our people and our culture with the highest level of integrity and intellectual sophistication.
That's TOQOnline.com.
Subscribe now.
Are you worried about America?
Do you fear the power of the Obama brigades to take away your rights?
The Obama presidency is the most radical left-wing administration in American history.
Our constitutional liberties are in danger.
What can you do?
Join the Council of Conservative Citizens.
For over 20 years, the CFCC has fought for the rights and ideals of the European American majority.
The CFCC has won legal and political battles to protect your heritage and your liberties.
The CFCC advocates strong state governments over the power of Washington, D.C. to rule your life.
The CFCC believes in an American first foreign and domestic policy which opposes globalism and one world government.
The CFCC advocates racial integrity as God's natural order.
Visit our website today at www.cfcc.org and join fellow European Americans in the fight for our people.
Each week, the Political Cesspool, known worldwide as the South's foremost populist conservative radio program, hits the airwaves to bring you the other side of the news and to report on events which are vital to your welfare but are hushed up or distorted by the mainstream media.
However, to continue doing this, we need your support.
Go online at www.thepoliticalcesspool.org and make a safe and secure donation.
If you prefer not to make an online donation, you can send us a check or money order to the address on the website.
No matter which way you choose, the political cesspool needs your support.
go online to www.thepoliticalcesspool.org and make a donation today.
Welcome back.
To get on the show, call us on James's Dime at 1-866-986-6397.
A week, that's for sure, ladies and gentlemen.
Welcome back to the Political Cesspool.
I'm James Edwards.
It's a Saturday night from 6 to 9 p.m. Central.
It's a blur.
No matter how many times we've done it, we've done it for 10 years now, and it goes by just as quick, and every time is just as fun as the previous.
But I want to just take a point of personal privilege here and thank our guests tonight for appearing with us.
This is a topic that, as Eddie mentioned, we wanted to bring on to the show for the very reason that we don't talk about it often enough.
It's a topic that affects us in our daily lives every single day.
And I've really enjoyed listening to Mark's answers and commentary thus far.
Mark, thank you for being with us tonight.
I know you're with us for a few more, or at least a couple of more segments, rather, but I wanted to be sure to work that in.
Okay, great.
Yeah, Mark, we really appreciate you coming on.
I apologize for not being a better interviewer.
That's not my strongest point.
I can babble on forever, but as far as interviewing people, I'm not that strong.
So bear with me.
I'll get better with practice, Mark.
And go back to our audience, I would like to say we will get to, at the end of our series, however long it takes, we'll get to the point where we will show you that if we can't get control of our currency system, of our money system, the way it was designed originally by the Constitution of the United States, the way our founders intended it, we're going to lose this country.
And Mark would probably agree with me.
I don't know if we even have 10 years left.
I don't know how many years this country has left if we can't get control of the money because we're talking about inflation and stuff.
Mark, I kind of lost track of where we was when we were getting off.
We're talking about, I think you're talking about selling bonds, the way that the government has raising money selling bonds.
But Mark, on the long run, when the government sells bonds, they eventually have to buy those bonds back and pay more interest, don't they?
They have to pay, for instance, if you buy the government sells $100 bond, they eventually have to buy a $100 bond back and pay, say, $110 for the end to pay the interest of the bankers, isn't that right?
Yeah, well, When I started the First Bank of the United States in 1791, Alexander Hamilton, he understood banking obviously very well.
He's the premier banker of that time.
And he understood that if you can get the federal government to go into debt, number one, you've got a slush fund of cash that you can pay off special interest.
Back then, it was like building canals and roads and whatnot, similar to like today.
And number two, and more importantly, is that now you've created this debt.
The poor people are not going to buy that debt.
The people who are going to get that debt, by and large, are going to be the very wealthy, the upper classes.
And so you've done like two things here.
Number one, you've created like a slush fund to pay off your special interest.
And number two, now you've got the cream of the society, the cream of the crop of the elites of society who are now vested into the government being able to collect taxes and get their interest payments plus their bond paid off.
And it's been that way since the Romans and the Greeks.
They weren't quite as sophisticated back then, but pretty much like the same thing.
And that's kind of like what we got now.
And another thing people need to understand about debt is they always say that the future generations are going to pay for this debt.
No.
We pay when the government prints money, basically, I'm really simplifying it here.
There's like a system, obviously, the Treasury, they like have T-bill auctions and the Federal Reserve buys it usually secondary and third A.
It's complex.
It's like eight or ten steps and I don't want to go into it here.
But basically, when the federal government like prints money, what they're doing, and people buy their debt, if people buy their debt, then there's going to be no consumption gained or lost.
In other words, that's going to be like a washout.
But if the government prints debt and they can't sell that debt, and this happens a lot, a lot more recently, then they have to basically monetize that debt or finance that.
And what they're doing is they're getting that money printed out of thin air, basically, and they're outbidding everybody else for goods and services, creating inflation.
And so they're doing this, and then plus Wall Street is doing this.
And the source, the reason that they're able to do this is the Federal Reserve.
And I see these like protesters on Wall Street, the Wall Street protesters, and I know like a lot of, I guess, liberal friends or whatever.
And I kind of like laugh at them.
And I say, you know, you're so close.
You're like three miles away.
You need to go three miles to the north.
And the Federal Reserve is right there.
You need to protest the Federal Reserve, not Wall Street.
Wall Street's doing their job.
Wall Street's making money.
You know, it's the Federal Reserve.
That's the problem.
Those are the ones that are creating the money, the money supply.
Amen, Mark.
Amen to that, fella.
Now, listen, now, you know, it's been said that the president is pretty much powerless compared to the head hotchoe of the Federal Reserve.
You know, because the Federal Reserve, you correct me when I'm wrong, Mark, the head of the Federal Reserve, and you just mentioned, if the Fed can print money, pretty probably it will.
I would imagine that they have to have a buyer for their money.
For instance, for instance, the government, just say, for instance, the government wants to go build some more bombers, for instance, and the government wants to borrow, they have to go into debt for $500 billion.
I don't guess the Fed can print money unless they have somebody that they can loan that money to.
So the way, you know, when the Fed, when the government, the United States government has to go and borrow all this money from the Fed.
And let me kind of backtrack a little bit.
And Mark, you correct me if I'm wrong, the taxpayers, the United States citizens, we pay, Mark, me, James, all working American people, you correct me who I'm wrong, Mark, we pay for the United States Treasury, the building, the brick and mortar.
We pay for the plates that they print the money.
We pay for the paper, the fiber, the ink.
We pay all that.
And then the United States Treasury prints up all this money with all these plates.
And we're just talking about paper money right now.
We're not talking about electronic money, which is probably pretty much taken over of the paper money.
But then we take it, and I'm simplifying this.
Then we take this money, just say, for instance, in wheelbarrows or trucks, whatever, and we truck this money, all this money over to the private bankers, the Federal Reserve.
The Federal Reserve, and I'm sure most of our audience knows, it's not federal.
It has nothing to do with the federal government.
In fact, I've heard people say that they're not listed in the United States government in the blue pages.
They're listed next to Federal Express because they are private bankers.
So the American people pay to have all this paper money printed up, and then we take it over to Federal Reserve Bank.
We give that to the Federal Reserves, and the Federal Reserve loans it back to we the people through the federal government.
Is that right, Mark?
Yeah, yeah, the Federal Reserve is a private bank.
It is owned by, we suspect we don't know, Goldman Sachs, J.P. Morgan, Cities, probably got some ownership in there, but they're basically a cartel.
And what they designed to do is they're designed to have like a uniform, what they call like a Fed funds rate and a uniform reserve ratio.
And a reserve ratio is basically how much money a bank has to keep in reserve.
And right now it's about 10%.
In other words, if a bank gets a dollar, it can loan out 90 cents and it's got to keep 10 cents in reserve.
And for savings, I think they drop it down even lower to 3%.
But the reason that they need that to have a cartel, the reason that they wanted the Federal Reserve, and that's so important, is because if different banks, and this is back when they were on gold, lended out at like different rates, like one bank might lend out at like 50%, one bank might lend out at like 88%, one at 100%.
Oh my gosh, that means they'd have no gold in the vault.
But anyway, what would happen is that the sound banks, the good banks, would drive the bad banks, the unsound banks out of business.
And so that's like one of the reasons that they wanted a Federal Reserve is so that everybody loaned out the exact same amount of money.
Hey, Mark, let me stop you a minute.
Now, define the difference.
When you say the sound banks would drive the unsound banks out, what would make a bank sound?
Would it be because they had more gold on hand and they were lending money out at a more sane rate?
For instance, they would have, say, a greater reserve.
They would have, say, at least a sound bank would have 25% of the reserve there in gold and or silver, and an unsound bank would have maybe 5%.
Is that what you're talking about?
Or maybe this unsound bank just making bad investments, bad loans?
Well, yeah, obviously, you know, you can make bad loans.
That's, you know, if you're careless.
But the main thing that would cause them to go out of business was they would become too leveraged.
Like a sound bank before the Federal Reserve, they might lend out like 50% of their money, 60%, 70%.
And, you know, a good conservative bank.
So like some banks back then were very conservative banks and they would loan out 50% of their money.
Some banks became unsound.
They would make bad loans or the manager was just a bad person, whatever.
And he would loan out like 90%, 95% of the gold, you know, the gold reserves in his vault.
And that's okay as long as nobody doesn't want that gold.
But then Mark's how we're going.
Hey, hold up, hold that thought, Mark.
Don't forget where we are because we're going to another break, Mark.
Hang on, hang on, Felix.
And we might, I don't know, the producer might want to try to call you again.
We're having, he might have to finigle the lines around a little bit because we're having a bad connection right now, Mark.
We'll be right back right after the break.
We fought. We learned. We struggled.
Despite Obama's best efforts, the newspaper of the human resistance survives.
We have lived only to face a new nightmare: the war against the machines.
Read about our struggle in The Sovereign, newspaper of the resistance.
The Sovereign is a 24-page monthly tabloid newspaper about the war between man and machines.
We've tried reason, we've tried legislation, we've tried every peaceful means imaginable, and all it's gotten us is shut out.
So now we fight the machines.
Order online today at thesovenews.com or find the sovereign at select newsstands.
Remember to read The Sovereign, newspaper of the resistance.
The human resistance's battle against the machines will be everlasting.
This is mercy.
It was never our destiny to stop the age of Obama.
It was merely to survive it.
Together, together.
Imagine a school where faith and integrity are at its center, where heritage and responsibility instill character.
Where educating both hearts and minds brings about academic excellence.
There is a school in American Fork where character and embracing the providence of a living God are fundamental.
Where students' national test scores average near the 90th percentile.
Based on LDS principles and a love of country, now in our 39th year, American Heritage School is accepting fall enrollment for kindergarten through high school.
What would you do for your child?
Give them an education that will prepare them for life.
Located east of the temple in American Fork, American Heritage School is a remarkable and affordable alternative.
Visit us, find us online, or in the yellow pages, American Heritage School in American Fork.
Liberty is not free.
Its costs are innumerable.
Without monetary funding, the valiant efforts of freedom-loving Americans become diminished or outright defeated.
We present a solution, the Give Me Liberty Fund.
The plan is quite simple: invite individual Americans to contribute less than a dollar a day.
These monetary funds are used to promote liberty-minded media, organizations, events, candidates, movements, and speakers.
In the spirit of transparency, all expenditures are published.
Patriotic business owners provide discounted products and services to Give Me Liberty Fund members.
Our greatest strength is in numbers.
Go to GiveMeLibertyFund.com and become part of the solution today.
GiveMeLibertyfund.com.
Participate in the peaceful restoration of the greatest and freest country in the world.
Welcome back.
To get on the show, call us on James's Dime at 1-866-986-6397.
Welcome back to the final segment of tonight's program, folks.
James Edwards here.
I got an easy night tonight of work.
My workload was cut in thirds this evening.
I had to punch the clock that first hour.
Keith pretty much held court the second, and Eddie and our featured guest Mark tonight talking about the economy have it firmly in hand in the third.
And I've talked rightly so in the last segment about what a fabulous job I think our guest is doing this evening.
But I want to just compliment the Bombardier for bringing this story.
This was his baby to talk about the economy, why it was so important.
We're going to be doing this for at least two or three more weeks as we continue our series during the third hour on the economy.
And I want to commend Eddie the Bombardier Miller for pushing for this, for making this a priority for the show.
Eddie's been with us since 2006.
Couldn't do the show without him.
Wouldn't want to.
He's been here a little bit longer than Keith, one of the longest tenured.
And together, you know, different personalities between me and Keith and Eddie and Winston and Pete, different signature issues, but you put them all together and you got a top 10 show.
And that's what you're listening to tonight.
And with that, Eddie, I'm going to let you and the guests run out the clock, my friend.
And run out the clock.
We will with this brainy smurf we have on the air tonight.
Mark, I will add you're greatly exceeding my expectations.
I'm really at your in your debt.
And I want to thank you on behalf of our audience.
I know that they're learning a great deal.
I'm not saying we have an ignorant audience because most of them are smarter than I am.
That's true.
Well, I guess that's not saying a whole lot.
But this is very vital what we're covering in our series.
I hope I'm not repeating myself too much, but in our series, we're going to get to some heavier duty stuff.
Mark, I don't remember where he was exactly, but what I'd like to do now, I'd like to go over and what we can do if we have time in this last segment.
I would like to talk about inflation, hyperinflation.
If we have time to talk about deflation, and I would like to focus those terms on the Wehrmacht Republic in post-World War I Germany.
And if we can, to kind of compare that to what I would term the stock market in the 1920s and how it was just red hot.
And what I believe, as just an amateur, the reason the stock market was red hot is because the Fed was just pumping this endless money.
You know, I've heard that the Shoeshine boys were even borrowing money to get into the stock market.
And then to show how that all came to a screeching, crashing halt in 1929 in the early 30s with the stock market crash and what I believe, and I may be wrong, that that was engineered on purpose, the crash and the free money, so the bankers, the big boys, J.P. Morgan, the Rockefellers, et cetera, et cetera, could clean up in the stock market.
Now, I hope I didn't confuse you, Mark.
So I guess we can start with the, if you can, Mark, explain to the audience inflation, hyperinflation, and what causes that.
Inflation is simply where you print money faster than the productivity of the economy, whatever the economy is.
Hyperinflation, there's like different definitions, different economists use.
But basically, when you get over like a 50% annual inflation rate, you're starting to really, really run the risk of like hyperinflation.
And hyperinflation, we've had like episodes of like a thousand percent price increases in a day.
Wow.
Zimbabwe was like the latest one.
And then Weimar Republic, they used to, they would like charge you X amount of dollars or X amount of marks for a cup of coffee at 12 o'clock.
And then at 12.15, they'd have to change the price and raise the price again.
12.30, they'd raise the price again.
And unfortunately, down in Venezuela, they're suffering right now like a 54% inflation rate.
And people get like really, really angry.
People don't understand how powerful this is.
Most people, because we're used to like relatively mild inflation here in the United States.
But I was down there in 2012 and going to McDonald's, it was about like 70 bolivars to get like a meal there.
You could probably get the cheap meal for like 60 bolivars, which was, you know, it's like a little expensive, like 10, 11 bucks, you know, but you could still go and get your Big Mac.
Now it's like 300 bolivars down there.
And so you're basically like paying like 31, 32 bucks equivalent at the official exchange rate to eat down there.
And when people feel that jolt of inflation, they get really pissed off.
I don't know what else to say it, you know, and you can see the results down there in Venezuela right now.
All you got to do is like look at some of the pictures on Facebook.
They're basically burning the city down.
Well, Mark.
And yeah.
Oh, excuse me.
Why do they have inflation in Venezuela?
Why did they have inflation in Germany?
And same way anywhere.
By the way, before we get to that question, what is what's the do you know in the 70s, you may not be familiar with when Nixon was president, we were suffering a great period of inflation.
What was our inflation rate then?
It wasn't anywhere near 54%, was it?
No, no, it was like 2%, 3%, 3%, I think.
That's what I was thinking.
Well, let me ask you this.
Why?
Now, I know.
Am I right or wrong?
Now, in Weimar Republic, after World War I, with the Versailles Treaty, the Allies, namely the British probably, and I think Wilson was in on it too, they were forcing reparations on Germany, forcing them to pay outrageous amounts of war reparations back.
And they just, now the German economy was not producing enough to pay back that money.
So what they did, did not the German, didn't the Germans monetize that debt and just start printing money like crazy to pay the debt off?
Is I right?
Is that what caused their hyperinflation in Germany after World War I?
Yeah, yeah, they, well, basically they had like a social system in place, Social Security, retirement benefits, all that before the war.
And so, you know, similar to our Social Security system and our welfare payments that we have now, Bismarck, you know, the great socialist.
They're not known for that, but they were.
But anyway, and so they had like a pre-existing, they already had like payments that they had to make already in place.
And of course, World War I comes around.
They spend all their money.
They go into debt.
They spend all their gold on World War I.
And then they get the Treaty of Versailles afterwards, where they had to make reparation payments to England and France.
And England and France, they wouldn't budge on this.
And because they owe the United States money, because we had lent them a lot of money to finance their war effort.
And so, you know, it just became like a big, huge mess.
I don't know how else to put it.
And so the only thing that they had left to do was to print money to try to make payments to the elderly, keep up the payments to the welfare payments, to the society, and then print some more money to pay off England and France.
And it just got out of control.
Well, Mark, let me ask you this question.
And if I start, if I get you off your rhythm by asking questions, you just let me know.
Who benefited, in other words, from this, the gigantic, huge reparation payments that the Germans were saddled with, just the back-breaking reparations that the Germans were paying, the money that the Germans were paying back, who got that money?
Who actually benefited?
Did Joe Public in England, the average Joe Six Pack in England, the average Joe Six Pack in America, did we, the people benefit from those warp reparation payments or did that money go to the bankers, to your knowledge?
Well, obviously they were making payments to the, you know, England and France, but, you know, they there's, you know, simply no way they could like keep, you know, they would get paid like in a, let's say like 100 marks, but it would get devalued almost instantly.
So, you know, they were making the payments.
The people who like really, really benefited, Adam Ferguson wrote a book about this, were farmers, people who could produce like actual physical things, and then also people who were like really good at calculating what the value of things was and how it was changing, if it was going to go up, how much they should charge, that type of thing.
Like, let's say, like a pound of coffee.
Somebody could take like a pound of coffee, trade it, and if they were really good at math, they could, you know, be a millionaire like a day or two later.
You mean just average people?
Or are you talking about?
So, in other words, the bankers, I was under the impression that the international bankers were the ones that greatly benefited from it.
I'm sorry, Mark.
Go ahead.
We got about two minutes, Mark, but go ahead and you can go ahead on with your lines as you're talking about.
We've got about two minutes left, son.
Well, yeah, the bankers, you know, because they're getting like the new cash, they're able to get like assets with the new cash.
They're able to outbid the average citizen, you know, like I was giving the example of like the horse and buggy earlier.
Right.
So, yeah, the bankers, those receiving the new cash obviously would get rich, but also some other groups.
Okay.
Did that it sounds like, Mark, that just a very small, very tiny, infinitesimal small portion of society benefited from the reparation payments.
That's what I was trying to get to.
I think, in other words, probably that the war and the payments and everything connected to the war probably mainly benefited the bankers.
Well, I guess you could say that people working in the war industries have benefited for a short time when they were working producing munitions.
But by and large, and you can correct me if we're on, we're about to go out of time.
I think war probably, Mark, is probably every war you can name probably for the past 200 years.
Would I be correct in saying that every war is pretty much a banker's war?
Oh, what, Mark?
That's it.
Hey, I'll get back in touch with our guests later.
We're running out of time.
I hear the music.
Mark, I'll thank you so much for coming on tonight.
I will be contacting you.
I can't wait to get you back on for a few more segments.
And with that, I'm going to pass you over to James Edwards.
Thanks again, Mark, and the rest of the staff.
We enjoyed getting the education for Keith Alexander, Eddie Miller, Winston Smith, the rest of the staff and crew here in Memphis and in Utah.