6139008-History-of-Money

own the major commercial banks. Just as we may deposit money with commercial banks, so commercial banks in turnkeep deposits with the Bank of England. The amount of cash that a commercial bank can buy up from the Bank of Englandto meet its customers' cash withdrawals is limited to the amount of deposits it has in its account at the Bank of Englandand/or what it can borrow from the Bank of England or from other banks. Both the Bank of England and commercial bankscreated money from nothing. Commercial banks borrow from the Bank of England in exactly the same way thatindividuals and businesses borrow from commercial banks. The reason they borrow from the Bank of England is that theymust have some reserve ratio to match the money they created from nothing. The Bank of England can create as muchmoney from nothing as it deems necessary.Nationalising the Bank of England in 1946, which might seem at first sight to be a far reaching measure, made littledifference in practice? Yet, the state did acquire all the shares in the Bank of England -- they now belong to the Treasury -- and are held in trust by the Treasury Solicitor. However, the government had no money to pay for the shares, so insteadof receiving money for their shares, the shareholders were issued with government stocks. Although the state nowreceived the operating profits of the bank, this was offset by the fact that the government now had to pay interest on thenew stocks it had issued to pay for the shares. It is much more significant to note that whilst the Bank of England is nowstate-owned the fact is that our money supply is once again almost entirely in private hands, with 97% of it being in theform of interest bearing loans of one sort or another, created by private commercial banks. Indeed this is now where thereal power resides: with commercial banking. The Bank of England is now essentially a regulatory body that supports andoversees the existing system. It is sometimes referred to as "the lender of last resort" in so far as one of its functions asthe bankers' bank is to support or maybe not to support any bank or financial institution that gets into difficulties andsuffers a run on its liquid assets. In these circumstances, it is not obliged to disclose details of any such measures, thereason being so as to avoid a crisis in confidence -- confidence being something on which the current system is verydependent. However beyond that, it is no longer a major player in the lending/money creation market which is where theimmense profits, influence and control powers are exercised. Its annual accounts reveal that its loans and profits are onlya fraction of those of a major commercial bank such as Barclays, and it only holds a very small amount of governmentstocks, so it is no longer really lending to government either -- that function has largely passed to the merchant banks.Most of its profits come from what is known as the "issue department" –the department of the bank which is responsiblefor printing and distributing bank notes and coins. These are purchased by the high street banks to meet their customers'demands for cash and the various banks have their accounts at the Bank of England debited accordingly. Basically, theprofits from this operation belong to the state and are transferred to the Treasury, thus being added to the public purse.Nevertheless, although owned by the state, the bank is largely controlled and run by those from the World of commercialbanking and conventional economics. The members of the Court of Directors, who set policy and oversee its functions, aredrawn almost entirely from the World of banks, insurance, economists and big business. They will keep squeezing out theminor banks. On the other hand, the responsibility for setting interest rates and controlling money supply has alwaysremained with bankers and economists through the Monetary Policy Committee headed by the Governor and the twoDeputy Governors. The day to day management and running of the bank is in the hands of a team of professionalmanagers headed by the Governor, the Deputy Governors and four Executive Directors. From 1946 to 1997 manydecisions, especially those relating to interest rates, were made jointly by the Treasury and the Bank, but of courseTreasury officials and the Chancellor of the Exchequer and other treasury ministers frequently have close ties with theWorld of commercial banking. Since May 1997, the Bank's Monetary Policy Committee has had exclusive control oversetting interest rates -- although it still takes into account government inflation targets in reaching its decisions. It can benoted that the formal removal of the Treasury from this decision making process was an essential step prior toincorporating the Bank of England into the European System of Central Banks under the control of the European CentralBank -- which is what would happen should Britain enter Economic and Monetary Union and replace the Pound with theEuro.Since the creation of the Bank of England in 1694, one thing however has been stable and that is the growingfortune of:Enter The Dragon Rothschilds (1743)This is Frankfurt, Germany. Fifty years after the Bank of England opened its doors, a goldsmith named Amschel MosesBauer opened a coin shop-a counting house-in 1743, and over the door, he placed a sign depicting a Roman eagle on ared shield. The shop became known as the Red Shield firm or, in German, Rothschild. When his son, Mayer AmschelBauer, inherited the business, he decided to change his name to Rothschild.' Mayer Rothschild soon learned that lendingmoney to governments and kings was more profitable than lending to private individuals. Not only were the loans bigger,but they were secured by the nation's taxes. Amschel Moses Bauer, a Jewish goldsmith, settled in the Judenstrassedistrict of Frankfurt in Germany and opened a Counting House, hanging a red shield (with witchcraft's hexagram on it,symbol of Masonry as on the Israeli flag) up as his shop sign. Twenty-two years after his death in 1754, his son MayerAmschel (at the age of 33) took control of the business and then changed his name to reflect the red shield, which is "inGerman ... roth schild and thus The House of Rothschild" was born in 1776• "... European Jews in Eastern Europe... alsoadopted The Red Flag as their emblem because it represented Blood." ("Pawns In The Game", page 25,26). Bavaria (inGermany) spawned the main branch of modern Illuminism, which was begun May 1st 1776 (May Day) by "AdamWeishaupt, a student of the Jewish philosopher Mendelssohn, and funded by the Jewish banking family of Rothschild"("God - the Ultimate Paradox", p.75). Members included Emmanuel Kant, Voltaire, Moses Mendelssohn and the bankersThe Hidden History Of Money & New World Order Usury Secrets Revealed at last! Page 239