(10-17-2013, 02:19 AM)My Name Is Kate Wrote: Could someone explain, in simple terms, if possible, what is the relationship of a national bank to the federal government? Does the government own the bank, and if so, who authorizes the government to own the bank? Do foreign interests and wealthy people primarily own a national bank? What is the relationship of a national bank to other banks?
Was paper money pretty much always the currency in use in the United States, or is that something that began when national banks were created? Is paper money, theoretically, at least, backed by gold, silver, etc.?
Is "credit" something like imaginary money that exists only on paper, and is not backed by anything of value, such as gold or silver?
I came across the following article, after following up on some footnotes in "Sic Semper Tyrannis" by William L. Richter.
http://orrinwoodwardblog.com/2012/06/30/...s-courage/
I have only a glimmer of an idea of all the corruption that might ensue from a national banking system. But what would be the alternative to that? Where would all the money come from that is necessary for the country to exist and progress, etc., etc., etc.?
Help! I'm lost...
Kate, Great questions! The National Bank that was the brainchild of Hamilton and his supporters, and the one that Andrew Jackson (There were actually two) spent years attempting to crush is a completely different entity than the so called National Bank today. The Federal Reserve of today which many people erroneously believe to be an extension of our government is actually a privately run institution that consists of 12 banks that are controlled by the main arm out of New York. There have been a few good books written on the origin of the Federal Reserve that have come out in recent years. One wonders what Lincoln would have thought of todays monetary system!
Craig
