James Ledbetter and his new book, One Nation Under Gold!
Today’s Wall Street Journal had a great article by James Grant on the above recently published book (June 13, 2017). James Ledbetter has written this book and I have reviewed it briefly. Basically, James does a great job in providing the history and the intrigue which has surrounded this metal called gold for Americans. His timeline is partial but mostly valid and his stories are mostly excellent. The history which he reveals gives the reader a full understanding of why gold and silver have played such an important role in America’s prosperity and political success. America’s manifest destiny emerged from this money item and its political intrigue which followed.
James Grant’s review in the W.S.J. (page C10) provides a great overview of the message which gold has played for Americans. James says “It is no work at all to make modern money. Since the start of 2008 financial crisis, the world’s central bankers have materialized the equivalent of $12.25 trillion. Just tap, tap, tap, tap on a computer keypad.” He then says “the value of all the gold that has ever been mined, according to the World Gold Council, is a mere $7.4 trillion.”
Jim then compares the two basic models of monetary economics that have existed over American history. The gold standard model and the Ph.D standard. This Ph.D standard is what emerged after Nixon closed the gold window in 1971. This standard was the ‘naked’ symbol system ($1.00) which emerged as our basic dollar reserve currency in 1973 and after. Both Jim Grant and James Ledbetter do a disservice to the reader, however, by not providing the ‘starting point’ history for our money system. James Ledbetter starts his history in 1788 (with our Constitution, Article I, Section 10) and continues from this starting point. This seems confusing to me.
Let me provide you with a better timeline which starts prior to 1788 and ends with today. I think you will discern that the message of money, gold, silver, paper, digits, will take on additional meaning as you read the above book. My history or timeline is as follows:
- 1620: The Pilgrims started the first economic experiment (in America) with a form of communal living and then abandoned this experiment as they discovered the dire consequences. They then instituted the concept of private property and individualism (private production) which emerged into the philosophy called Capitalism. This starting point is essential to comprehend as America adopted Capitalism as their model for economics after this experience of 1620 (and after).
- 1775: During the American Revolution, the colonies became independent states; freed from British monetary regulations, they issued paper money to pay for military expenses. The Continental Congress also issued paper money during the Revolution, known as Continental currency, to fund the war effort. Both state and Continental currency depreciated rapidly, becoming practically worthless by the end of the war.
- 1785: Our most knowledgeable founding father on money issues, Thomas Jefferson, chose the ‘naked’ monetary symbol $1.00 and the ‘name’ dollar’ as the basic accounting unit and value unit for America’s new monetary system. He then, with Hamilton, promoted legislation for a new American monetary system.
- 1792: Our first American Congress (after debate) passed legislation called the Coinage Act of 1792 which spelled out the mathematical definitions of our American dollar (and all the subsidiary coinage). The words in our Constitution concerning ‘Value’ read, “to coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures”. The initial standard was $1.00 = 371.25 grains of Ag which means $1.29 = 1 ounce of Ag.
- 1834: The ratio of silver to gold changed from the initial ratio of 15:1 to 16:1. This led to gold being chosen as the basic definition of our $1.00. The definition was 24.75 grains of Au in the Coinage Act of 1792. It became 23.22 grains of Au after 1834.
- 1913: The Federal Reserve Act was passed by Woodrow Wilson (a conspiracy of elites created the premise for this private institution) leading to our third Central Bank (which many patriots viewed as unconstitutional). Our Constitution does not mention any support for a Central Bank. Also, the idea of a Central Bank was debunked after 1836 with the election of Andrew Jackson who said “Mischief springs from the power which the moneyed interest derives from a paper currency which they are able to control, from the multitude of corporations with exclusive privileges…which are employed altogether for their benefit.”
- 1933-34: The great depression of 1929 resulted in FDR being elected president in 1932. FDR summarily called in gold holdings from Americans and then made owning gold illegal for Americans. He then redefined our $1.00 as 13.71 grains of Au which means $35 = one ounce of Au. Foreign holders, however, could exchange their dollars for our gold at the $1.00 = 13.71 grains of Au definition. The consequence was that our Treasury purchased hoards of Au from foreigners (after 1934) giving America some 740 million ounces by the end of WWII (some 70% of the world’s official supply).
- 1971-73: America’s hoard of Au (gold) gradually diminished from 740 million ounces to 274 million ounces in 1971. America’s policy of inflation and their negative balance of payments situation created demand for our gold from foreigners (especially France). The result led Nixon to close the gold window to foreigners on August 15, 1971. This led to the ‘floating’ symbol $1.00 (a ‘naked’ symbol with no ‘tie’ to any commodity or to physical reality).
- 1974-75: Nixon and Kissinger concocted a deal with the Saudi regime to ‘price’ all their oil (including all OPEC oil) in the U.S. ‘naked’ symbol $1.00. This led to what traders called the Petro $1.00 (an imaginary currency unit at the core but viewed/visualized as ‘tied’ to oil). The result was some stability and confidence in America’s ‘naked’ symbol $1.00 in the mind’s of traders and investors. Inflation, however, emerged with a vengeance within the U.S.A. and global commerce. America’s balance of payments situation became negative and it has remained negative ever since 1975.
- 1980-2017: A new computerized technology emerged globally which allowed our Central Banks to eliminate all paper currencies (gradually) and replace these currencies with a ‘virtual’ and/or a ‘digital’ $1.00 (living within our computer screens). This ‘naked’ virtual/digital $1.00 (with no tie to material reality) was then circulated within a new ‘inner’ space called ‘cyberspace’ (often called the cloud). To most, this cyber environment appears as similar to space/time reality!
- 2017-2018: Today, we witness some 90+% of all global currencies circulating within this new cyberspace environment. Cyber money has emerged for the entire planet and Central Banks have emerged as the new Central Planning Institutions. Crypto-currencies are also emerging to challenge the legacy of our Central Bank currencies going forward. Gold and silver are being artificially suppressed (within our electronic futures markets via naked-short strategies) so as to crash sentiment in these historical monies and promote the new world of ‘virtual’ cyber currencies (called money by our elites). This is viewed as necessary to further the new United Nations program called Agenda 2030 (official as of 2016). The plan is to create a global socialized/communistic economy for the entire planet.
The above timeline should help everyone reading the new book by James Ledbetter, called One Nation Under Gold, to fully comprehend what has happened to our money and to global economics. Commerce is now mostly being done within this new ‘inner’ space called cyberspace and online transactions are growing by the day. Amazon just purchased Whole Foods and the big corporate elites are ruling our markets. Technically, we do not have any real Capitalism today. Our markets are pumped up with cyber digits (mostly by our Central Banks) and these imaginary digits rule over all commerce. The rich are prospering and growing ultra wealthy while the masses are getting poorer by the day. The entire System is so corrupt that select politicians and the Deep State now rule our planet (surreptitiously).
Take the time to purchase the above new book by James Ledbetter. It will really help you understand our prior monetary history. It will also help you comprehend why a commodity such as gold and silver were necessary as a ‘tie’ to any naked symbol currency system (for a money system is to have relevance). Soon we will experience the most dire financial crash/collapse within all human history. It is all because of our money system, the corruption within finance, our deceived Ph.D. economists (who falsely interpret reality on money), and the centralized monstrosity called our Global Central Bank System. Get yourself educated ASAP as you will benefit from this knowledge going forward! Enjoy! I am: https://kingdomecon.wordpress.com.
Some additional images for your consideration:
A book everyone should consider reading for its history about America and Money!
An interview with James Ledbetter on Kitco News!