Nationalize the Federal Reserve
"American Monetary Act"
proposed by Stephen J. Zerlenga
from the article
President Obama: Nationalize
the Fed and Create Our Own Money
by Doug Page, www.dissidentvoice.org/,
February 7th, 2009
(1) The Federal Reserve Act of 1913 effectively
ceded the sovereign power to create Money delegated to Congress
by the Constitution to the private financial industry.
(2) This cession of Constitutional power
has resulted in a multitude of monetary and financial afflictions,
including an uncontrollable national debt, excessive taxation
of citizens, inflation of the currency, drastic increases in the
cost of public infrastructure investments, excessive un- and under-employment,
and erosion of the ability of Congress to exercise its Constitutional
responsibilities to provide for the common defense and general
welfare.
The Secretary of the Treasury, following
targets established by a 9 member Monetary Authority appointed
by the President with the advice and consent of the Senate, shall
directly issue all money, called United States Money, the nominal
unit being the U.S. Dollar. This money shall be legal tender,
backed by the full faith and credit of the United States.
The Act stops the creation of money by
private banks. Fractionalized Reserve Banking is prohibited and
banks can loan only the United States Money they actually have
on deposit.
The Federal Reserve System (but not the
local banks) is nationalized as a Bureau within the U.S. Treasury.
The United States would no longer borrow
money. The Secretary of the Treasury shall issue United States
Money as needed in lieu of public borrowing.
All existing money shall be exchanged
for United States Money.
U.S. Money can be loaned to local banks
which can continue to loan United States Money but with maximum
charges not to exceed 8%. Banks can loan only U.S. Money.
The U.S. shall pay off the principal and
interest of the national debt as they came due with directly issued
United States Money.
The U.S. would use directly issued United
States Money to rebuild the nation's infrastructure.
The United States could loan United States
Money interest free to states and local governments.
Banks watch
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