Executive Order 11110

[Andy_Stephenson]

On June 4, 1963, a little known attempt was made to strip the Federal Reserve Bank of its power to loan money to the government at interest. On that day President John F. Kennedy signed Executive Order No. 11110 that returned to the U.S. government the power to issue currency, without going through the Federal Reserve. Mr. Kennedy's order gave the Treasury the power "to issue silver certificates against any silver bullion, silver, or standard silver dollars in the Treasury." This meant that for every ounce of silver in the U.S. Treasury's vault, the government could introduce new money into circulation. In all, Kennedy brought nearly $4.3 billion in U.S. notes into circulation. The ramifications of this bill are enormous.

With the stroke of a pen, Mr. Kennedy was on his way to putting the Federal Reserve Bank of New York out of business. If enough of these silver certificats were to come into circulation they would have eliminated the demand for Federal Reserve notes. This is because the silver certificates are backed by silver and the Federal Reserve notes are not backed by anything. Executive Order 11110 could have prevented the national debt from reaching its current level, because it would have given the gevernment the ability to repay its debt without going to the Federal Reserve and being charged interest in order to create the new money. Executive Order 11110 gave the U.S. the ability to create its own money backed by silver.

http://www.john-f-kennedy.net/executiveorder11110.htm

[Maple]

1. I can't believe

this old story is still doing the rounds.

[DUreader]

2. Yeah, hard to believe young people and old are still educating themselves

sheesh, what do you think, history is in our DNA?

[Maple]

3. You can't

educate yourself by believing urban legends.

[Andy_Stephenson]

4. It is not Urban Legend.

the executive order is still valid. I even have one of the silver certs issued because of that order.

[TreasonousBastard]

5. Well...

It sure does exist:

http://www.lib.umich.edu/govdocs/jfkeo/eo/11110.htm

Executive Order 11110

AMENDMENT OF EXECUTIVE ORDER NO. 10289
AS AMENDED, RELATING TO THE PERFORMANCE OF
CERTAIN FUNCTIONS AFFECTING THE DEPARTMENT OF THE TREASURY

By virtue of the authority vested in me by section 301 of title 3 of the United States Code, it is ordered as follows:

SECTION 1. Executive Order No. 10289 of September 19, 1951, as amended, is hereby further amended --

(a) By adding at the end of paragraph 1 thereof the following subparagraph (j):

"(j) The authority vested in the President by paragraph (b) of section 43 of the Act of May 12, 1933, as amended (31 U.S.C. 821 (b)), to issue silver certificates against any silver bullion, silver, or standard silver dollars in the Treasury not then held for redemption of any outstanding silver certificates, to prescribe the denominations of such silver certificates, and to coin standard silver dollars and subsidiary silver currency for their redemption," and

(b) By revoking subparagraphs (b) and (c) of paragraph 2 thereof.

SEC. 2. The amendment made by this Order shall not affect any act done, or any right accruing or accrued or any suit or proceeding had or commenced in any civil or criminal cause prior to the date of this Order but all such liabilities shall continue and may be enforced as if said amendments had not been made.

JOHN F. KENNEDY

THE WHITE HOUSE,
June 4, 1963.


Now, for a further explanation of just what this means, which isn't really all that much:

http://www.realityzone.com/creatup.html



I don't know much more about the history of all this, but I do know that bimetallism, or any other dual money system, is dangerous. Fortunately, we were once "crucified on a cross of gold" and didn't get much silver money back then. Also fortunate is that silver didn't wipe out Federal Reserve notes. A reading of Gresham's Law will explain it all. Some background in macroeconomics and how the money supply works helps, too. Alexander Hamilton, way back then, knew about the problems of contracting money supplies backed by bullion.

Not that there aren't problems with money backed by debt, of course.