One of the powers delegated to Congress in Article 1 Section 8 of the United States Constitution is the power “To coin Money.” What exactly does this phrase mean? A careful reading of the Federalist Papers and the writings of the Founding Founders clearly states what was intended. Money must be backed by a commodity such as gold, silver, or something equivalent.
The Founders had a tremendous amount of experience with fiat money (Money created by government with no backing whatsoever) and all of that experience was bad. Rampant inflations were everywhere as governments willy-nilly printed vast quantities of fiat money to pay for the cost of war. You may have heard the phrase “Not worth a Continental.” Continentals were fiat money created to finance the Revolutionary War and were printed so excessively they became worthless.
Shortly after taking office in 1933, through Executive Orders, President Franklin D. Roosevelt abolished the gold standard, which had been in use since the founding of the nation, and placed the nation on a fiat money system. First of all, coining money is a function of Congress and cannot be altered by Executive Orders. Second of all, no matter who has the authority, putting the nation on a money system not backed by a commodity is a violation of the Constitution. F.D.R. had violated the Constitution and had committed impeachable offenses. These were some of the many impeachable offenses F.D.R. was to commit in his 12+ years as President, setting the stage for the continuous and complete abrogation of Constitutional responsibility by the federal government. Every single piece of paper money in your wallet is unconstitutional unless it was issued prior to 1933. Paper money issued prior to 1933 says “Redeemable in Gold.” All Federal Reserve Notes without this statement are unconstitutional.
As an aside, F.D.R. was, for all intents and purposes, a dictator. He ran roughshod over the Constitution and was able, because his party always controlled both houses of Congress, to operate with impunity and initiate numerous unconstitutional acts. When he achieved control over the courts in 1937 his power became boundless. This is why we refer to him as the Founder of Modern Socialism. Believe it or not, Roosevelt did much more damage to the nation than Barack Obama has done (so far) in his time in office. The difference between the two was that Roosevelt probably believed what he was doing was helping the nation, while Barack Obama knows that what he is doing, if left unchecked, will eventually destroy the nation (a possibility Obama’s socialist base relishes with glee).
The debt is not what will cause our downfall. It is the consequences of the debt that will cause our economic ruin, a “crisis” the forces of socialism will attempt to exploit to gain control of the instruments of government. The chain of events socialists will use to gain control can take any of several paths and if they seize control a socialist dictatorship will ensue.
For more detail on these fiscal problems you can see the Founder’s videos explaining how the debt will economically destroy our system of government. Watch in sequence Parts 1 to 4. Here is the link to parts 1 to 4: