Running the printing presses to monetize debt, in whatever
form that takes, drives the boom cycle before it spectacularly bursts. During the Roaring Twenties bank notes,
traded and accepted as currency, were the prime mechanism for inducing the boom
before becoming the means of destruction during the Great Depression. Virtually every small town had a national
bank empowered to issue notes secured against its capital base. This is a Series 1929 bank note, issued in my
Dad’s hometown, by the National Bank of Bathgate, North Dakota. This 1929 note barely survived Black Monday (October, 28, 1929);
it was worthless by 1930 when the National Bank of Bathgate liquidated. The Depression hit quick, it hit hard and it
hit without warning, wiping out virtually everyone and everything that laid within its
path, regardless of merit, history or accountability. Tens of millions of lives were destroyed or
ended. Yet the progressives remember the
Great Depression as a wonderful time because it gave rise to President Franklin Delano
Roosevelt and evolved into the biggest war induced economic surge ever
known. They laud the fruits of currency
devaluation fomented by excessive issuance of debt. It’s a lesson for all mankind to avoid, but it's a lesson unknown to the progressive political pipsqueaks
who drive the political show today.
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