by Fernando Caracena ©2020 Fernando Caracena
The coin shortage is the latest irritant that has been tossed on top of the corona virus pile of bad stuff. The "pandemic" seems to be a signal to the concatenation of Hitlers to do their damnedest and the Federal Reserve has always willing to act in that respect. Click on the above video link to get what I think is the best analysis of the coin shortage caper. When you are done with the video come back to this post and read the rest of it. (Note that I like to do this sort of thing because it is the best use of my time and it not only gives credit for the work of others but lets them explain what they have done in their own words.) In the case of the vlogger, cited above, his analysis is excellent and he lays blame for the coin shortage directly at the doorstep of the Federal Reserve (often referred to as the Fed).
As some of you might know, The Fed is not really a branch of government. It is a private corporation that represents a cartel of bankers, which act in concert with government. This system was established in a rather round about way after secret meetings of big bankers on Jekyll Island. The book describing how it all happened was written by G Edward Griffin called, "The Creature from Jekyll Island". If you follow this second link you can be filled in on a lot a material about the Federal Reserve by Mr. Griffin himself.
In a sense, the "coin shortage" is a microcosm of the larger scale problems with our society. I first learned about the Federal Reserve System in college. When I first herd it discussed, I wondered why it was not considered just another scam. It turns out that many questions surround the operations of that system. The worst part about it is that the scam involves the operations of the Federal government.
The first video cited above explains that the coin shortage is really about profits for the Federal Reserve. There are two types of currencies involved here. Actually, I cannot see an accurate way to put it, except approximately as "currencies". First, there are Federal Reserve notes, which are debt instruments that are mandated by the Federal Government to be used as currency. Second, there are coins that are money coined by the government at the various Federal mints. Each coin is an asset that is put out by the government. The notes and the coins are two "money" systems in competition in our daily commerce: the Fed's and the government's. The Federal Reserve does not like coinage because it has to buy the coins from the Federal Government to have them available to the public through it member banks. This, in a sense, is a loss leader that the banking system was willing to practice in order to stay in the good graces of its customers. But gradually, the public has no longer served well as a customer base for the banking system. We see the attitude developing among the banks of "the public be damned".
In a sense, there is a breaking of the social contract here, even though that contract was entered into as a result of fraud and collusion on the part of the banking system. As a result of the bad action by the fed in limiting the coin supply, the poorest part of the public is the most hurt. And why? Because the Fed can squeeze out a little bit more profit. Who is being served here? We see here a banking system that is self serving.
If I were the president of the United States I would be gloating over the action of the Fed because it has created a political opportunity. Many of the little people have heard about the great things that the current president has done. But have they personally experienced any of the benefits of renegotiated big deals between countries? Instead on Main Street, what the public had experienced is all the crap that has befallen them as result to the "pandemic". And on top of that there is the coin shortage--an irritant to the remaining middle class and a hardship to the poor. Further, the big stores that are still in operation and getting richer are penny shaving on pocket change, which makes them complicit in the coin shortage scam. I know about this from my wife who comes home boiling over after her latest encounter at the checkout counter. So here is where a small action by the president could produce a great big political gain out of a small action. I'll explain how below.
If I were the president, I would sign an executive order that would have the treasury deliver coins to the Post Office where, by the same mandate, coin vending machines would be installed. The beauty of this action would be to force the Fed to do the right thing, not as a cutesy, but as a mandate. Every exchange of a FRN (Federal Reserve Note) for coins would be to force the Fed to purchase those coins at their expense. Doing this immediately. It would be a sensation. The public would have access to all the coins it needed. Then at the grocery store they could plop down the exact change. This would end the "coin shortage" scam for every body. This action could have a very positive effect at the polls.