Tuesday, February 1, 2011

Early History of Central Banking

“Those who do not learn from history are doomed to repeat it”
– George Santayana
(Spanish born American Philosopher,
Poet and Humanist 1863-1952)

In the Beginning...Came the Hyksos
In a far distant time and land, long, long ago, around 2200 B.C., in the biblical land of Goshen, there came upon the Earth a great natural catastrophe that spread throughout the Middle East (it must have been an Al Gore moment). It was during this period of time that the Hyksos, a people of Semitic origin, migrated from Mesopotamia and settled in the land of Egypt. Over the course of time their chieftains took control and eventually became kings over the land. These rulers were named “The Shepherd Kings”. It was during the reign of the Hyksos that, as noted by the archaeologists James Henry Breasted and Sir Flinders Petrie in their field notes: “...there was a profound impact these Semitic peoples had on the evolution of the early Egyptian civilization.”

"Hyksos" in Hieroglyphics
Shepherd Kings
During the rule of these “Shepherd Kings” (Notice the shepherd's staff in the hieroglyphic above), Egypt leaped forward, into a new age from a relatively primitive civilization into a great and powerful civilization, which advanced, geometrically, in every field of knowledge and endeavor. Wise men from the Hyksos society were brought in to teach astronomy, medicine, and mathematics. Innovations such as boats with keels, the building of canals, the control of water resources, wheels and wheeled vehicles, the introduction of horses, donkeys and oxen, the pottery wheel, advanced agriculture and the introduction of new fruits, like pomegranates, figs and olives, and new grains and vegetables, brought untold wealth and prosperity to these early Egyptians.

The Hyksos also introduced composite bows of laminated bone and wood, which were superior to the Egyptians' bows of basically bent branches, as well as the modification of the Egyptians' swords and daggers that made them more effective and durable. New spinning devices and the upright loom, new fibers and dyes, new musical instruments such as the harp, the lute, lyre, oboe and tambourine from Mesopotamia now appeared in Egyptian culture along with new forms of dancing and entertainment. These were just a few of the numerous improvements introduced to the early Egyptians.

The Fall of the Hyksos
The Semitic rule over Egypt endured for only two centuries and the “Shepherd Kings” were overthrown by the Egyptian Pharaoh, Ahmose I. The Hyksos were eventually enslaved and the progress they introduced that brought wealth, prosperity, and power to Egypt came to a halt and Egypt never fully recovered. If the Hyksos were so important to the evolution, wealth, and prosperity of the Egyptians, why did the Pharaoh depose and enslave the Hyksos? I believe it was the Hyksos themselves that led to their demise.

The Earliest Currency Manipulation

There were three negative contributions that the Hyksos brought with them from Mesopotamia that probably led to their downfall. They were: central banking, military conscription, and juryless trials. The main focus of this blog, however, centralizes on the untold story of the world's earliest currency manipulation that began with the introduction of “scarabs” and “central banking”. It's my firm belief that central banking with its fiat money (scarabs) was the proverbial "straw that broke Egypt's back!"

Scarabs
Scarabs
Scarabs are little stones carved in the shape of beetles. The live beetle, which the scarab represents, rolls amorphous animal waste into perfect spheres and buries them in the soil. These spheres provide stored food for the beetle, a nesting medium for the beetle's eggs, and food for its larvae. (We have these beetles in America, too. In Tennessee, they are called "tumble bugs.")

An important benefit of the beetle's work (to humans) is the enrichment of the soil, which leads to better crops. Thus the Egyptians revered, even worshiped, these beetles. Images, jewelry, and decorations abounded to honor these creatures. Because of the benefits to the life of the early Egyptians the beetles played an important part in Egyptian culture. The Hyksos, being shrewd businessmen, took advantage of this and carved thousands of these scarabs and inscribed uplifting mottoes and the names of officials on them and distributed them to the Egyptians, who enthusiastically traded their gold and silver for them and used them as a medium of exchange. It only took a carver a few minutes at a workbench to carve a scarab out of soapstone or some other soft material, but it took weeks, months and even years for hardworking men to mine and refine the gold and silver taken from the earth with muscle, sweat and tears.

Gradually, the Hyksos officials began hoarding the gold and silver for themselves (much like the Goldsmiths of the Middle Ages, as noted in my first blog post) and carved more and more scarabs to distribute to the Egyptians, leaving an ever-increasing supply of scarabs to circulate and little, if any, gold or silver. Since the officials now controlled the money and thus the population, they were able to dictate the value put on human labor and many frivolous projects were undertaken. Some of these projects, like the canals that controlled water flow and resources, may have been of value to the betterment of the society, but others, like building pyramids* and waging wars, were just projects to keep the populace occupied and to keep their minds off the fact that they were being robbed of their wealth — i.e., their gold and silver.

            * “Many Egyptologists conclude that the Pyramid was built as a tomb for
            some pharaoh.... Oddly, ...[there is] no reliable report of any body having 

            been found in any of the pyramids”
– Peter Tompkins, Secrets of the Great Pyramid,                           
New York: Harper Colophon Books, p. 236                            

The pyramids may have been magnificent and very scientific monuments, but they were costly and really served no practical known purpose, except to distract the population. There are about 36 major pyramids in Egypt — all with no bodies.

With the misuse of Egypt's money, manpower and resources (e.g., building pyramids and fighting wars), agriculture and the production of food began to decline. This meant a scarcity in food, which meant that food had to be controlled by some centralized bureaucracy. The Hyksos officials formed the bureaucracies, and used the gold and silver they scammed from the Egyptians to import food from other lands. The Egyptians then had to go, scarabs in hand, to the bureaucrats to buy food and hope they could get enough to feed their families. Eventually, poverty, hunger, and chaos ensued and something had to give. Perhaps the native Egyptians had had enough of the Hyksos and their central banking system and all the rest of the abuses from that ruling class, causing the people to rise up against them and overthrow them. (Note: A similar event seems to be happening currently in Egypt.)

The State of Our Nation
Since 1913 and the formation of the Federal Reserve, “We the People” have also been scammed out of our gold and silver and given worthless scarabs (Federal Reserve Notes aka FRNs) with no substance backing them. FRNs are created by a few computer binary key strokes and a printing press. Just like in ancient Egypt our country is building pyramids (bridges to nowhere), fighting wars in other countries (e.g., Iraq, Afghanistan, Korea...distracting the population), and reducing our agriculture to a bare minimum (e.g., enacting the "Food Act" during a lame-duck session in December 2010 that basically nationalizes food production in the U.S.). This control of our food production by bureaucrats will further contribute to food scarcity in the U.S. and we will have to go to the bureaucrats with our scarabs in hand for food, just like the ancient Egyptians, and hope they don't ration it.

The central banking system, along with its practice of buying politicians in Washington DC, is draining our economy with entitlements (so-called free money, complements of the bankers) by allowing illegal aliens to infiltrate our country — people who live "underground" and do not pay into the programs they use (e.g., taxes and Social Security), and in some cases take over our land (e.g., Arizonans cannot go within 70 miles of the Mexican border because it's too dangerous due to armed infiltrators). And just like in ancient Egypt, the International Bankers (Hyksos) have all our gold, silver, land and institutions. Food is becoming scarce (look at the rising food prices), unemployment is rising (too many worthless scarabs in circulation), poverty is on the rise (more and more welfare recipients), and our wealth is going into the pockets of the bankers and their minions. Isn't it time we oust the central bankers and the Federal Reserve, like "Pharaoh, Ahmose I" did 4,000 years ago, and bring back Constitutional money before we end up like Egypt? Congress enacted the Federal Reserve System and Congress can depose it.
   Hyksos Scarab   =   Federal Reserve Note (FRN)
As the quote at the beginning of this blog post implies, history is a valuable subject to study and it's a great teacher. It's said that when the pupil is ready, the teacher will appear. Isn't it time “We the People” educate ourselves with the history of these global deceptions and learn from them, and not make the same mistakes as those who preceded us? My intent with this blog is to educate not only myself with these deceptions and learn from them, but to pay-it-forward to you, the reader, so you can educate yourself, learn and apply. Once I finish documenting a few more of these deceptions, I'll explain how “We the People” can wean ourselves off the use of FRNs, even if the Federal Reserve is not abolished. The only reason we are taxed at all is due to the use of FRNs (debtor notes) and the central banking system. We need to get back to the use of Constitutional money in order to save our wealth, lives, liberties and our pursuits of happiness.

As always, keep your power dry and your money out of banks!

Gus

P.S. My next blog posts will deal with a few more case histories of central banking scams and what they've done to the people of the world. This story of ancient Egypt and the Hyksos is only one example of the ruinous nature of central banking systems and why we must abolish the Fed.