Web of Debt reveals the mechanics of the modern monetary system, controlled by private bankers who dominate money creation and policy. The Federal Reserve, a private institution, holds the power to create money, lending it to the government and people at interest. This system has perpetuated an endless cycle of debt, ensuring the economic dominance of a small elite while burdening nations and individuals with unpayable financial obligations.

🏦 Debt and Money Creation

Private bankers control the creation of money, lending it out at interest, which generates a system of continuous debt. This practice ties national governments, businesses, and individuals to a debt that can never be fully repaid. The fractional reserve banking system, central to modern finance, allows banks to lend more money than they hold in reserves. By creating money out of thin air, banks accumulate wealth at the expense of society. This debt-based system ensures that only a small fraction of the money supply is tangible, while the majority exists as data entries on computers.

🧙‍♂️ The Wizard of Oz as Monetary Allegory

The Wizard of Oz allegorizes the economic and political struggles of the 1890s.

• The Yellow Brick Road symbolizes the gold standard, a monetary system that constrained economic growth by limiting the supply of money.
• The Scarecrow represents American farmers, intelligent but financially oppressed.
• The Tin Man symbolizes industrial workers, dehumanized by unemployment and mechanization.
• The Cowardly Lion stands for William Jennings Bryan, who advocated for monetary reform but lacked political power.
• The Silver Slippers, later changed to ruby in the film, represent the Silverite movement’s call for expanding the money supply through silver coinage.

The Wizard behind the curtain represents political and financial elites, maintaining the illusion of control and power. The road to economic freedom does not lie in gold or the illusion of prosperity but in reforming the monetary system.

🔍 The Role of the Federal Reserve

The Federal Reserve, despite its name, is a private corporation, not a government institution. It holds the power to create money by issuing Federal Reserve Notes, which are lent to the government and private sector at interest. These notes are backed by nothing tangible, and the majority of the money supply exists only as electronic records. This system of money creation ensures that the national debt continually grows, while the wealth generated by interest payments flows to the private bankers who control the system.

📉 Fractional Reserve Banking and Financial Instability

Fractional reserve banking enables banks to lend more money than they actually possess. When a bank grants a loan, it creates new money in the form of credit, which did not previously exist. This practice inflates the money supply, leading to speculative bubbles and financial crises. The system perpetuates itself by encouraging borrowing, trapping individuals and nations in a cycle of debt that cannot be broken without fundamental changes to the monetary system.

💡 Alternatives to the Debt-Based System

Government-issued currency provides a solution to the problem of perpetual debt. Historically, government-created money has successfully supported economic growth without the need for borrowing from private banks. For example, Lincoln’s Greenbacks financed the Civil War without accruing debt. Returning to a system of sovereign money would eliminate the need for interest payments to private bankers and free the economy from the grip of the financial elite.

🦠 Global Debt Web and Economic Domination

The system of debt-based money creation has spread worldwide. International institutions like the International Monetary Fund (IMF) and the World Bank use debt to control developing nations, forcing them to implement austerity measures in exchange for loans. These loans perpetuate economic dependency, as the countries are unable to repay the loans while maintaining sovereignty over their economies. The financial elite uses this system to exert control over global resources and populations.

⚠️ The Influence of Financial Elites

A small group of private bankers controls the global monetary system, ensuring that wealth accumulates in their hands. These financial elites manipulate markets, influence political systems, and direct the flow of money for their benefit. Their control over the monetary system ensures that the vast majority of people remain in debt, with no hope of escaping the financial web.

🛠 Historical Context and the Rise of the Federal Reserve

The Federal Reserve was established in 1913 as part of a broader effort by private bankers to gain control of the American economy. By issuing Federal Reserve Notes, the private banking system gained the power to create money, a right that once belonged to the government. This shift in power has had profound consequences for the U.S. economy, leading to the current system where nearly all money is created as debt, and the national debt has become insurmountable.

📚 Essential Features of the Modern Monetary System

• Private bankers control the creation of money through the Federal Reserve, which issues currency at interest, creating a cycle of debt.
• Most of the money supply exists as debt rather than tangible currency, ensuring that governments and individuals remain financially enslaved.
• The fractional reserve system allows banks to create money out of nothing, inflating the money supply and contributing to economic instability.
• Sovereign governments can reclaim control of the money supply by issuing debt-free currency, as exemplified by historical precedents like Lincoln’s Greenbacks.

🎓 Critical Examination of Debt and Money

Web of Debt offers a detailed examination of how private bankers have manipulated the monetary system for their gain, while ordinary people and nations suffer under the weight of unpayable debt. The current system favors a small financial elite, who continue to profit from the perpetual cycle of borrowing and lending. Reclaiming control of money creation is the only path to true economic freedom, allowing nations to break free from the grip of debt and restore prosperity to their citizens.