Monetary History

This section covers Monetary history and misconceptions about money. Conspiracy theories are not necessarily untrue. The theory or parts of the theory could be true. They are just unverified. When it comes to money, there are a lot of conspiracy theories. The burden of proof lies with the theory itself. Let me give you some examples. Unverified quotes are in Red.

Benjamin Franklin stood before the Parliament in London. In 1766, Benjamin Franklin was asked by the Bank of England why the colonies were so prosperous. It is said many times that this was his response, although I have not been able to document it.

“That is simple. In the colonies we issue our own money. It is called Colonial Script. We issue it in proper proportion to the demands of trade and industry to make the products pass easily from the producers to the consumers. In this manner, creating for ourselves our own paper money, we control its purchasing power, and we have no interest to pay to no one.”

I have looked for this quote among the records of his examination but could not find it anywhere. Yet this quote appears on many websites that are loaded with monitary conspiracy theories.

It is said that Benjamin Franklin explained the impact that this currency change had on the colonies,

“In one year, the conditions were so reversed that the era of prosperity ended, and a depression set in, to such an extent that the streets of the Colonies were filled with unemployed.”

Benjamin Franklin stated later on that the power to issue currency was the primary reason for the Revolutionary War,

“The colonies would gladly have borne the little tax on tea and other matters had it not been that England took away from the colonies their money, which created unemployment and dissatisfaction. The inability of the colonists to get power to issue their own money permanently out of the hands of George III and the international bankers was the prime reason for the Revolutionary War.”

Once again I was unable to verify all the above quotes, but these quotes are all over the internet as fact. Even so, the description of the stamp act and how it actually impacted the colonies is truly summed up in those quotes. Since no record of these quotes exists it is highly unlikely that they are real. Whether or not Benjamin Franklin said them is another story. They remain a topic of heated debate between historians and conspiracy theorists.

Here is an actual quote

When asked why the American colonies had lost respect for Parliament, Benjamin Franklin said.

“To a concurrence of causes: the restraints lately laid on their trade, by which the bringing of foreign gold and silver into the Colonies was prevented; the prohibition of making paper money among themselves, and then demanding a new and heavy tax by stamps; taking away, at the same time, trials by juries, and refusing to receive and hear their humble petitions.”

Examination of Benjamin Franklin

Some conspiracy theorists claim that Alexander Hamilton was a “Rothschild agent”. He worked on behalf of this family. They claim that he married into this family. Here is the truth about Hamilton’s in-laws. His father in law, Philip Schuyler, was a General during the Revolutionary War, while his mother-in-law Catherine conducted a scorched earth policy to deprive the British of food. He never married into the Rothschild family

Yet this is widely believed as history is rewriten. The main problem with this theory is that the house of Rothschild was not set up until 1776. This is the same year America declared independence. They did not become a major player in the banking system until the 1800’s Alexander Hamilton argued on behalf of the first central bank long before this. It was signed into law by George Washington in 1791. Although it is possible for the Rothschild family to have a degree of controlling interest in the first central bank, Hamilton never married into the family and had no influence on behalf of that family. The timeline does not match up.

Alexander Hamilton The History of Central Banks

In 1811, the charter of the First Bank of the United States was not renewed. It is said by many that Nathan Rothschild, of the Bank of England, issued an ultimatum,

“Either the application for the renewal of the charter is granted, or the United States will find itself involved in a most disastrous war.”

Nathan Rothschild issued orders: “Teach these impudent Americans a lesson. Bring them back to Colonial status.”

The first problem seems to be that these quotes cannot be sourced from any of the writings of the period that I have found. There is no historical record for those quotes that I know of. The second problem is that history itself tells a different story. America declared war on England and started the war of 1812. It was not the other way around. The main reason for this is due to the fact that England tried to impose trade restrictions between America and France because of a war that England was fighting with France. It had nothing to do with a central banking system. England did not attack America first and they did not go to war with America until after America declared war with them.

It has been said that Garfield spoke the following quote,

“Whoever controls the volume of money in our country is absolute master of all industry and commerce…and when you realize that the entire system is very easily controlled, one way or another, by a few powerful men at the top, you will not have to be told how periods of inflation and depression originate.”

There is debate as to whether or not he really said this among conspiracy theorists and historians as a source for this quote has not been cited. One would think that this quote would be easy to prove. I was unable to find this quote written among historical documents.

Another popular conspiracy seems to be that J.P. Morgan started the banker’s panic of 1907 and that Woodrow Wilson later regretted signing the legislation that led to the Federal Reserve. There are too many of these conspiracies to list in this posting but there are many of them out there on the internet.

At one time I believed all of them. When I got involved with the so-called dinar investment, I began to research economics and money. I came across many of these theories. I included them in my dinar analysis. I believed they were true just like I believed that the dinar would one day revalue. At that point in my life, I was naive and I had a lot to learn about money!

There are many unsourced quotes and parts of quotes taken out of context. Partial quotes are blended together with other partial quotes to arrive at different meanings in an effort to substantiate many conspiracies. Perhaps the strangest quote I found was this one.

“You cannot trust any quote you see on the internet” -Abraham Lincoln

The reason people rewrite financial history is because they have financial investments that will look good to the average investor. If they can rewrite history and makeup quotes to strengthen their position then they will make more sales as these investments look more appealing. they know that many investors don’t know real monetary history.

For this reason, we must learn the actual history of money. This will allow us to set aside all the myths and see what is really going on in the world. You can follow the money back to people who financed the agenda and events in history, but a distortion of history will also give you a distorted view. Before you invest in foreign currencies or precious metals do research and learn real monatary history.

The purpose of this section is to explain the economic history and in the process, you will see the evolution of money. You will see the mechanics of money in more detail and the myths will all be exposed. Here is a breakdown of the topics