1938 Comment Almost Got It Right

“When the Congress shall declare a national monetary policy which shall give the Nation a dollar whose debt-paying, purchasing power shall remain the same from one generation to another, the people of the United States, for the first time in their history, will have an honest dollar. The only honest dollar is a dollar of stable, debt paying, purchasing power. The only honest dollar is a dollar which repays the creditor the value he lent and no more, and requires the debtor to pay the value he borrowed and no more. The people of the United States are entitled to a sound currency. The only sound currency is a currency whose exchange value is the same from one generation to another. The failure of the Government to create and stabilize the value of money has not only resulted in the unemployment of millions of people through no fault of their own, but it has seriously changed the- relationship between debtors and creditors,… The experience of the last 31 years of four serious panics and depressions is proof positive that the banks cannot control the volume of money, and that their failure to do so has not only destroyed thousands of banks, but has inflicted the people with great suffering. The Government alone can give relief. The Government alone has the legal authority and duty to establish and regulate the value of money, and to create it in sufficient quantity to serve the national use. It alone has the power and the duty to prevent either injurious expansion or destructive contraction. “


-Robert L. Owen, Former Chairman, Committee on Banking and Currency, United States Senate. Sited in US Senate Doc. 23, 76th Congress, 1st Session – Written Dec. 23rd 1938, and printed January 24, 1939 pages 74-75: 


http://www.archive.org/download/Nati...kingSystem.pdf

First, it is a true statement that lenders of money should only ask for the amount lent in return. Asking for interest on top of the principal forces the money system into unsustainable chaos, and then requires an overseer to establish quantity. The overseer having the upper hand in our lives. Causes the schism between rich and poor, and is a havoc creator.

Second, why does there have to be any 'money creation'? Simply take two elements, gold and silver, and have government certify weights of each in various coin and be done with it. The total earthly supply of each fixed in quantity, though some yet to be discovered, will represent the value of all goods and services produced. The value of each(gold and silver) fluctuating based on the aggregate of production at any given time.