This is Part 2 of 6:
Law & Society; a Psycho-Historical Sermon on Life: please start with "Part 1: the Introduction"

Continued...

Before farming, human beings lived as “hunters and gatherers,” just living off the wilderness as in the Garden of Eden. In fact the word wilderness is a derivate of the Sumerian word Eden. These people living in Eden/”the wilderness” had no crops to tend, no taxes to pay, no herd to watch, and no formal government. Living off the land they were well off with large open plains full of animals, fish from river, and fruits and vegetables from the ground. They didn’t have 9-5 jobs such as we relate to today, nor did they know the life of a farmer working his farm.

There work was completely different than from the work of today, the biblical quote held true:
“Of every tree of the garden thou mayest freely eat.”

And so humans did. There was no governmental law in the Hunter Gatherer society, no formal government, no welfare state, only natural law, which meant individuals were sovereign, free, autonomous beings. Rules in earliest human societies were created through discussion. There was no written law or holy book from which to take guidance. No one was legally above others. The reason no government ruled in the Hunter Gatherer society was mainly because people’s assets were mobile, being things that could be carried on backs or travois’s. The capital requirements for life as a forager were minimal, a few primitive tools and weapons sufficed. Therefore if one didn’t like the situation they were in they could just leave. Governing large numbers of people by force and exacting a tax from them, couldn’t exist in a Hunter Gatherer society.

It was with the advent of farming that government systems came into existence, the reason they did was that peoples assets were now fixed to a location, they were stationary. Farming began around 10,000 BCE when humans had spread into the habitable places where the continental glaciers had melted. Where the glaciers retreated, agriculture began to replace, in small steps, hunting culture. In an area called the Fertile Crescent, hunter-gatherers camped alongside fields of wild wheat or barley, and cereals. Here was also the game -- such as gazelles. Soon they were planting gardens to supplement their hunting. By 7000 BCE, the planting of seeds had become a major source of food. People began farming and raising animals, and their farms anchored them to one place.

Agriculture was also developing elsewhere. It was spreading to Greece. Around 6000 BCE, agriculture was developing independently among hunter-gatherers in southern Mexico. In North Africa along the upper Nile River, people were growing sorghum, millet and wheat. By 5500, people were planting crops in China. By 4500, agriculture had spread from Greece into central Europe where, by 4000 BCE, people were using a wooden plow.

The transition to agriculture was not just a choice of preference; it was a necessary improvisation for survival, specifically to make up for shortfalls in diets that resulted from environmental changes. When the Ice Age began retreating, a gradual rise in temperature and rain fall spread forests into areas that had previously been grasslands, which reduced the grazing area for large animals upon which the human foragers relied for their diet. As a result of the climate changes upon the natural environment, farming became more reliable than foraging, although it was also a lot more work.

Farming created more food, and more food made possible more people. More people kept farming communities on the brink of inadequate nutrition. And farmers were more dependent on nature than were hunter-gatherers, who were free to drift from drought to areas that had more game and wild foods. Domesticated plants were vulnerable to insect ravages in ways that wild plants were not. Archaeologists have found in the bones of children in agricultural societies more signs of malnutrition than that of people living from hunting and gathering, and the average height of early farming populations has been discovered to be shorter than that of hunter-gatherers.

Also, more populous societies lived amid a greater lack of sanitation. People were careless about their refuse, their sewage and water supply. They knew nothing about bacteria, and their ignorance was costly. They suffered from disease epidemics that had been rare among hunter-gatherers. Perhaps fewer than half of the children of agricultural societies lived past the age of ten. All of these pressures created an atmosphere where a over-riding governmental “organization” was desired by the people, and in many ways it served the people as well. Here is where it begins, humans ask for a “Ruler” to protect them from the dangers of the world.

With a need for protection of one’s farms an entirely new social structure began, whose terms were very different from the previous hunter gatherer society. No more freely eating of the garden, now it was;
“In the sweat of thy face shalt thou eat bread.”

Because crops had to be tended over the entire growing season, from planting through harvest, migration away from threats became less attractive and opportunities for organized shakedowns or plunder increased. It was these conditions associated with farming that spawned society to create cities, laws, kingdoms, roads, “civilization” itself… and with that governments.

Agricultural society made “control” by both crime and government paying propositions for the first time, wherever farming took root, violence emerged as a more important feature of social life. Hierarchies, whether Churches, kingdoms, or Republics, that were adept at manipulating or controlling violence, naturally came to dominate society.

For reasons of protection and security humans formed into societies, either as free people as in a republic, or as a subject to a liege-lord such as a king, pharaoh, Emperor, etc… who provide security in exchange for allegiance by “oath.”

In an article allegedly prepared by “M.W. BROTHER R.V. HARRIS, PBM, PGS OF THE GRAND LODGE OF NOVA SCOTIA,” in defense of secret and violent Masonic Oaths, the article states, on page 1:

"Oaths are as old as mankind and were used by pagans and barbarians to secure certainty in evidence or the performance of a pledge. Oaths were common in Old Testament times. In early England from King Alfred to Edward I, an oath of allegiance to the King was administered to every free man every year. The King himself was sworn into office and afterwards all officers of the Crown and all judges and jurors. The world is held together today by oaths and obligations.All rulers and administrators, legislators and executive officers of high and low degree in state and municipalities, and in every phase of human society are bound by their oaths of office. Without oaths the world would lapse into disorder, confusion and anarchy.

In civil society we find that ties and obligations bind all men together. We speak of the marriage bond or tie; all fraternal orders, good and bad and indifferent, are built on formal obligations; as are all religious orders and societies. Baptism is a form of obligation and so are many Church ceremonies. If we ceased to administer oaths or obligations, society itself would be dissolved and, of course, all justice and right dealing.[1] For most of the agricultural/feudal period the laws were generally unknown since they were not written down."

Then between the years 1795-1750 BC we find the earliest-known example of a ruler/legislator proclaiming publicly to his people an entire body of his private laws, arranged in orderly groups, so that all men might read and know what was required of them. These are called the Codes of Hammurabi. Hammurabi was the ruler who chiefly established Babylon, the world's first metropolis, during the second half of 1700 BCE.
The world’s first written law is less than 4000 years old. Yet in these 4000 years; laws, rules, codes, regulations, Executive Orders, treaties, and other legal contracts have come to rule our lives.

As people willingly began to subject themselves to others rule in exchange for protection or security, they gave up the sovereignty with which they were born, and they did so of their own free will. This way of living is called “Feudalism.”

In feudal society one was either a “Free Sovereign” with freeheld land, or they were a subject/citizen of a fictional person such as a Church (Vatican,) Nation-state, or of a local liege-lord (king.) The earliest laws serve to delineate between what free people could do, what slaves could do, and what the consequences of breaking the laws were, here are just some examples of Hammurabi’s Code.

·If any one take a male or female slave of the court, or a male or female slave of a freed man, outside the city gates [to escape], he shall be put to death.
·If any one receive into his house a runaway male or female slave of the court, or of a freedman, and does not bring it out at the public proclamation of the [police], the master of the house shall be put to death.
· If a man's wife be surprised [having intercourse] with another man, both shall be tied and thrown into the water, but the husband may pardon his wife and the king his slaves.
· If a son strike his father, his hands shall be [cut] off. (4)
· If a [noble-]man put out the eye of another [noble-]man, his eye shall be put out. (5)
· If he break another [noble-]man's bone, his bone shall be broken.
· If he put out the eye of a [commoner], or break the bone of a [commoner], he shall pay one [silver] mina.
· If he put out the eye of a man's slave, or break the bone of a man's slave, he shall pay one-half of its value.
· If a man knock out the teeth of his equal, his teeth shall be knocked out.
· If he knock out the teeth of a [commoner], he shall pay one-third of a [silver] mina.

We can plainly see that what legal consequence one incurred for their actions was dependent upon their status as either a slave, or a freed man, as well as if the victim was a slave or freed man. In natural law no such distinctions are made, everyone is treated equally irrespective of their legal status.

Between 1750 BCE and the year 0, beginning the new calendar which started with the birth of Jesus, the distinction between people as serfs, slaves, or free people continued to develop.

Most of Europe had been conquered by Rome by the year Jesus was born. Rome was strong, perhaps it’s strongest when Jesus was born, during the reign of Augustus, but over the next five centuries it declined gradually until the year 490 when the last legions dissolved. The cost of collecting taxes and controlling the populace through force of arms (or Legions,) in other words the ability to enforce rule and taxation by violence, no longer worked economically.

It became increasingly clear that the Roman Empire as a set of laws backed up by force under the authority of the Caesars was disintegrating, it was obvious that if the power game were to continue it would have to be under a new guise, incorporating fear of natural law consequences for ones actions. This new guise was the Church, The “Holy Roman Empire,” who’s law held that not only were you most likely to die for heresy against it or breaking it’s laws, you also would burn in hell for a eternity.

As the Caesars lost power the new institutional leader called the Pope began to gain power. The Vatican is a self-confessed continuation of the Roman Empire under religious guise. The higher or divine authority for the supremacy of the Vatican consists of the Pope’s claim that he is the exclusive representative of Christ, i.e., the Vicar of Christ, owning everyone, everything, and all life on earth and ruling as Christ’s representative on Earth until Christ’s return.

With this increase in power in the Church, the laws of the Church began to play a more prominent role in the public social order. Roman Civil law and Vatican Church law became entangled, and the ability to make law as well as enforce it, shifted slowly from the Caesar to the Church. As the Empire’s ability to tax decreased, while the wealth of the Church increased, the role of the Church in administrating society also increased. The Vatican became more involved with commercial ventures, including funding the Roman Army.
The powers-that-be in Rome understood that the continuation of the Roman Empire was depended upon on a shared unity of religious belief among its subjects, the history of Rome under the Caesars had shown that force alone could not hold the Humpty-Dumpty (Roman Empire) together. Rome was held together under the Caesar by force or arms called “LEGIONS,” under the guise of the Church that power and control was exerted over the mind by RE-LEGION. The Church made it clear that those who failed to assent to the word of the Church, and therefore of God, would find themselves in hell.

Church Councils, beginning with the Council of Nicaea, 325 A.D., Constantinople, 381 A.D., progressively refined and defined Church policy and laws, i.e., what was “true” and should thereby be enforced by civil/secular law.

From there the Church became progressively involved in the civil government of Rome until it had completely converted the Roman Empire into the Church’s own commercial state.
The Feudal Revolution launched in earnest, aided by the Church, around 1000 B.C. This was after the fall of the Roman empire under the Caesars, and the period we know as the “Dark Ages,” which lasted between 500 B.C. and the year 1000. During that period the power, wealth, military might, and influence of the Church was the dominant social power. The Church helped in many ways to bring man out of the Dark Ages, gaining great power to shape society along the way; some of the things the Church was in a unique position to capitalize on power include:

• · Maintaining or negotiating peaceful relationships to stop wars between competing sovereignties, this was something no secular power could do. The Church played a critical role at the end of the tenth century by restoring order to the countryside where rampant violence had taken over after the fall of Roman administration.
• · Providing a mechanism for reproducing manuscripts, books, and retaining knowledge. This was before the printing press, it was the Church “Scriptoria” of the Benedictine Monasteries that by hand accumulated written knowledge, records, and laws.
• · Raising the productivity of farming, as well as being the main producer of a reliable crop. Many of the smaller uneconomical plots of land that had been donated to the Church were reconfigured to make them easier to farm, and in many areas it was the Church that provided the mills which ground grain into flour.
• · Building of the infrastructure by specific religious orders within the Church. For example, an order of monks established by St. Benezet built several of the longest bridges then existing, even London Bridge was constructed by a chaplain and financed by the Church.

During the first few centuries of the fall of Rome, approx. 200 AD – 500 AD, the economy of Western Europe withered. The Germanic Kingdoms that took root in the in the territories of the former Roman Empire assumed the functions of the Roman state, although with much less reliability or quality. Infrastructure went unattended, commerce faltered; towns which had been centers of Roman administration vanished along with the taxing power of the state, resulting in the loss of most other accoutrements of civilization.

Additionally, in the final decades of the 10th century, temperatures suddenly turned cold causing three successive crops in the years between 982 and 984 to fail. Famine struck again and again, people were looking for centralized authority such as Rome had provided to help solve the problems, that institution would be the Church, which is really just the continuation of Rome under another name.

The Church benefited from the fact that the cold weather, crop failures, famines, and plagues occurred during the run-up to the year 1000 because it convinced many people that the end of the world was coming, as a result many devout or frightened landowners gave their land to the Church in preparation for the apocalypse.

On the European continent, by and through the years 1000 – 1500, the Church was the most powerful entity, holding most lands feudally. In the British Isles however, there was a mix of people who lived under a Feudal lord with people that were still “Free Sovereigns,” able to hold land allodially, they were “the King of their Castle.” This was not a position the Church wished to see continue, the people had to be brought under the Church, after all the Pope was their Vicar, even if the people living in Britian didn’t know it. The Church had a presence in the British Isles as early as about A.D. 600 when king Ethelbert of Kent, newly converted to Christianity, put into writing the laws of juxta exempla Romanorum. The influence that moved him came from the Roman church, the model that guided him was furnished by the Roman empire.

While king Ethelbert of Kent brought some of the influences of Roman Civil Law to England, the country and it’s resident free sovereigns were inundated, conquered completely in actuality, by roman civil law as a result of the Norman Conquest.

Invasion and settlement of England by the Normans officially began with the victory of William (I) the Conqueror at the Battle of Hastings in 1066. William, who was Duke of Normandy, claimed that the English throne had been promised to him by his maternal cousin Edward the Confessor (died January 1066), but the Witan (a council of high-ranking Anglo-Saxon advisors, churchmen, and landowners) elected Edward’s brother-in-law Harold Godwinson as king. Harold II was killed at the Battle of Hastings in October 1066, and Edgar the Aetheling was immediately proclaimed king; he was never crowned, renouncing his claim in favour of William.

At the time of the Norman Conquest, England actually had a far more advanced political system than her conquerors. The English system of local and central government was well developed and highly organized. After the conquest, English common law continued to be administered in the English court system, but the Norman invaders also imposed on England a system of military feudalism. The English aristocracy was almost completely replaced by a Norman aristocracy, under Norman rule the English gradually lost their landed possessions and were excluded from administrative posts. Normans replaced the upper levels of the clergy and administrative officers, as well.

At the time of King John, 1199, England was in conflict, disarray, and bankruptcy. Since most of the Crown's debt was owed to the Vatican, King John severed relations with the Pope, including refusing to accept Stephen Langton's appointment by Pope Innocent III as Archbishop of Canterbury.

King John was excommunicated and in 1208 England was placed under Papal Interdict. John recanted to regain his good standing with the Vatican, returning title of England and Ireland to the Vatican and accepting Langton as Archbishop of Canterbury. On October 3, 1213, John ratified his surrender by signing a treaty with the Vatican acknowledging, and purporting to grant legitimacy to the Pope's claim of ownership of everything on earth as Vicar of Christ. This treaty was finalized when Pope Innocent III signed the contract/treaty in the Vatican on April 21, 1214.
By this treaty John contractually bound the Crown to administering the entire British Empire in trust on behalf of the Vatican/Pope in perpetuity. By swearing an oath to the 1213 Charter in fealty, former King John declared that the British - English Crown and its properties at that time, including all future possessions, estates, trusts, charters, letters patent, and land, were forever bound to the Pope and the Roman Church, the landlord. Some five hundred years later, the New England Colonies in America became a part of the Crown as a possession and trust that was eventually named the "United States of America."

What should be emphasized is the fact that King John broke the terms of this charter by signing the Magna Charta on June 15, 1215 [even though it was under duress]. The penalty for breaking the 1213 agreement was the loss of the Crown [right to the kingdom] to the Pope and his Roman Church. That charter says so quite plainly.

To formally and lawfully take the Crown from the royal monarchs of England by an act of declaration, on August 24, 1215, Pope Innocent III annulled the Magna Carta; later in that year, he placed an Interdict (prohibition) on the entire British Empire. From that time until today, the English monarchy and the entire British Crown have belonged exclusively to the Vatican overseen by the Pope.

The bottom line is that the (Roman Civil Law) RCL came to dominate almost the entirety of the world, including to almost every one of the Pilgrims who would soon sail to a new world .

Rule of RCL extends admiralty/maritime, the law of the sea, negotiable instrument law, where the captain’s word is law, onto the land in the form of vice-admiralty. This process occurred on a global scale when the assorted explorers sailed the world, financed and politically supported by their Monarchs, for commercial, territorial, and political expansion of their home country. Vice-Admirals, also called “Governors” (he who governs over subjects,) exported the RCL to the Caribbean nations and the Americas.

By 1215 the military power of the Church was decreasing due to the technological advancement of Gun Powder. The physical power of the Church was on the decline and would continue to decline through the year 1500, however the financial and legal power of the Church was well in tact. To fill the power vacuum left by the Church in the area of maintaining societal justice by force of arms, Kings with hosts of Knights came to dominate the legal landscape as judges and enforces of “justice.” The use of courts began to slowly develop in “Kingdoms” evolving into our current system.

In response to the monarchy’s increased power, merchants across Europe almost simultaneously allied themselves to the monarchy’s for their protection, bringing in a new institution as the predominant legal force in people’s lives, the nation-state/monarch. It was also the start of the industrial revolution. The industrial age could be said to begin with colonization of the new world by the monarchy nation-states, in particular the Dutch, English, Spanish, and French.

The Colonization of the America’s
Of course any discussion about colonization begins with Columbus, who discovered America in 1492. He originally set sail on August 3, 1492, but had trouble with the ships, stopping at the Canary Islands for amonth. The ships left the Canary Islands on September 3,1492.

While Columbus was an Italian, he could not find funding in Italy, so he turned to the King of Spain. King Ferdinand and Queen Isabella provided the funding. As part of the joint venture agreement with the Queen, all lands found were to become the property of the Spanish Crown.

This condition allowed the crown to borrow money from optimistic bankers blinded by the potential returns of gold and silver they believed would be retrieved from the New World. All this money was wasted by later Spanish monarchs on a doomed attempt to conquer all of Europe with armies of expensive mercenaries. The Spanish crown was in debt to the bankers.

By 1588 the Spanish government was so broke that the head admiral of the Spanish Armada had to pay for most of the fleet's supplies out of his own pocket. The defeat of the Armada by England led Spain into a 400-year economic and cultural decline. It also left England with a new Territory to divvy up. Under the law of nations, war is a legitimate activity, and to the victor go the spoils.

British colonial activity on the East coast of America began in the early 1600's. In 1606, two private companies were formed to seek a patent for colonization on the Atlantic Coast. One of these companies was called the London Company and it was given the southern Virginia territory. The other company was called the Plymouth Company and its patent was for northern Virginia. Both companies quickly sought to exercise their patents but the London Company was the first to actually place colonists on the shore. In 1607, 105 London Company sponsored settlers arrived from England to begin the story that we all remember from our school days. Since they were there representing England and its King, James I, they settled in an encampment they called Jamestown on a river they named the James River.

The Pilgrims were the first English colonists to permanently settle in New England in what we now know as Massachusetts. On Sept. 16, 1620 the ship "Mayflower" set off from Plymouth, England on it journey to the New World. There were 102 passengers on the Mayflower including 41 Christian Puritan Separatists known collectively as the Leiden group. After spending many years in Holland exiled from the English Church, the Puritans were seeking a new life of religious freedom in America. The group had obtained a Patent from the London Virginia Company which indentured them into service for the Company for seven years after they arrived and settled. But after that they were free, not subject to the King and his RCL. This was a important agreement for all of us as it recognized the rights of people to be free, sovereign, un-indentured landowners – once their debt was paid. While some of the people on the journey were “subjects” of the monarchy, the Leiden Group had capacity to become free by working off their 7 years.

When the Pilgrims arrived they anchored off the tip of Cape Cod and before they even set foot on shore they wrote, and all the men signed, an agreement called the "Mayflower Compact" which set the rules to guide them through the early, hard times of establishing a new community. The Compact, which was signed on November 21, 1620, served as the official Constitution of the Plymouth Colony for many years.

“IN THE NAME OF GOD, AMEN. We, whose names are underwritten, the Loyal Subjects of our dread Sovereign Lord King James, by the Grace of God, of Great Britain, France, and Ireland, King, Defender of the Faith, & Realm. Having undertaken for the Glory of God, and Advancement of the Christian Faith, and the Honour of our King and Country, a Voyage to plant the first Colony in the northern Parts of Virginia; Do by these Presents, solemnly and mutually, in the Presence of God and one another, covenant and combine ourselves together into a civil Body Politick, for our better Ordering and Preservation, and Furtherance of the Ends aforesaid: And by Virtue hereof do enact, constitute, and frame, such just and equal Laws, Ordinances, Acts, Constitutions, and Officers, from time to time, as shall be thought most meet and convenient for the general Good of the Colony; unto which we promise all due Submission and Obedience. IN WITNESS whereof we have hereunto subscribed our names at Cape-Cod the eleventh of November, in the Reign of our Sovereign Lord King James, of England, France, and Ireland, the eighteenth, and of Scotland the fifty-fourth, Anno Domini; 1620.”

Be aware that this contract was a private contract between the living people in the community/colony, it had no power over or relationship to the Charter of the Company which was beholded to the King on economic grounds. Additionally, under the Mayflower Compact it is King James that is the sovereign. The Pilgrims were bound both to this compact as well as the Charter under which they sailed, both contracts vested the legal authority and commercial authority in the Crown of England. It should be noted that the Crown is a corporation Sole therefore it exists in perpetuity.

Not long after the Pilgrims arrived in Plymouth (1628,) another group under a separate Charter arrived, these people we know as the Puritans. Puritans came to Massachusetts and settled Naumkeag (later called Salem) under the Charter of the Massachusetts Bay Company. Massachusetts Bay Company was a joint-stock company resident in England, whose membership included merchants and landed gentry, the company was incorporated by a charter from the Crown.

A land grant was received from the Council of New England, the successor to the ineffective Virginia Company of Plymouth, providing rights to the area between the Charles and Merrimack rivers and westward to the Pacific Ocean. Preliminary voyages were made in 1628 and 1629, and resulted in the establishment of a small colony on Cape Ann and later at Salem.

The careful Puritan businessmen sought additional protection for themselves and their families, after all they went to the new world to avoid persecution for their religious beliefs. While still in England, the company members signed the Cambridge Agreement (1629), in which they agreed to undertake the rigors of the Atlantic voyage if full authority over the charter and colony would be vested in the members themselves. Those stockholders who did not wish to migrate sold their shares to emigrants. Through this action the Massachusetts Bay venture was transformed from a trading company into an organization dominated by staunch Puritans with a religious agenda.

The stamp of Puritanism was felt throughout the entire community. In the political realm, the requirement for becoming a “freeman” (meaning a stockholder in the company and a voter) was membership in the church, not land ownership as was the case in other colonies. So we have multiple colonies and multiple sets of law developing.

The Massachusetts Bay Company and the colony were one and the same until 1684, when the charter was taken away. Later, in 1691, a new royal charter was granted to Massachusetts in which the Plymouth Colony and Maine Colony were absorbed into this new Charter from the Crown. All colonists were now under RCL, they were England’s subjects, except for those Puritans who had and continued to operate under the terms of the earlier contract. Those who had worked off their 7 years were free. This area of history is all important because it provides a link to legal freedom for a living person, as a matter of law.

Congressman McFaddens 1933 Speech Excerpts about the Bankruptcy (HJR 192) and the Federal Reserve Bank

The monies owed to the Crown for the venture will also become important to the U.S., as well as to each of us individually, for it is the underlying cause of the US bankruptcy which effects us today. Before we get to the US itself, we need to take a moment and talk about money at this critical juncture point in history. With the colonization of the New World came the need to fund huge ventures, which required a new form of money.

A Moment about Money:
The “Monetary” system at the time was based on gold and silver coin, the money of sovereigns. In the early 1700's the newly colonizing/industrializing nations of the world were in a perpetual state of economic crisis because their coinage system of money could not keep up with demand.

Governments tried everything to increase the money supply. One trick was to make new coins much smaller than the old thereby getting more per ounce, but it was a stop gap measure at best.

To grasp the magnitude of the problem, try to imagine building just one modern skyscraper using only gold coins as finance. The industrialists of the Industrial Revolution were faced with a similar problem; how to build their factories, mills and railroads using only scarce gold coins. They needed another form of money, one they could expand at will and which cost them almost nothing to create.

A scotish man named John Law came up with the solution by creating a new form of national paper money supply; banknotes that would be officially recognized as "real money". The advantages were obvious. Paper money could be expanded indefinitely and was much cheaper than specie to make. To get and keep initial public confidence, Law suggested a fraction of gold be always kept on hand for the few people who wanted to redeem their notes.

Through a process of trial and error it was found that specie could support about ten times its value in paper money. That is, a bank which held $10 in gold could safely print and loan out about $100 in paper money. The gold held in reserve was obviously a mere fraction of the banknotes which it supported and so the system became known as the Fractional Reserve System.

The private banking industry was chartered by government to create the new money supply of paper notes. Until earlier in this century, banks literally printed their own supply against their own gold reserves with their name on each note, and lent them out to the public and government. Now the federal government has taken on the printing job but the notes are still drawn on private banks of the Federal Reserve.

(In the 1930's the convertibility of bank notes was dropped but the Fractional Reserve System is alive and well today, albeit in a more sophisticated form which we examine further along, but the principle remains the same; the banking industry creates the money which government and society then borrows.)

This new type of money created unimaginable change in the world, it was the mechanism to finance almost the whole of the Industrial Revolution, and ultimately our modern technological world. It was this new form of money system that was directly responsible for the transition from Agricultural society to Industrial society.
Which brings us to, The Industrial Age, Colonization, and the United States.

Read on....