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Money is a topic that is on the minds of people everyday. Yet something that occupies so much of our waking thought is also a subject that few take the time to understand. Henry Ford, founder of the Ford Motor Company said, "It is well enough that people of the nation do not understand our banking and money system, for it they did, I believe there would be a revolution before tomorrow morning."

Here it is in a nutshell. Money is created out of thin air by the Federal Reserve for use by the government. People and corporations get their money from commercial banks through loans from which the money is created out of thin air. The newly created money is backed by nothing. I know this is hard to understand but that is what the files on this page will expeditiously attempt to do.

Each file below is one page in length. Most contain flowcharts (pictures) of how the money creation process works in the Fed and Banks. At certain points in the process description you will see that I have added an icon of a magic wand. It's at these points where the trickery is actually occurring.

How Central Bank (Federal Reserve) Creates Money for the Government
money_creation_flowchart_-_central_bank_money_including_comments_1a.pdf
File Size: 120 kb
File Type: pdf
Download File

How Commercial Banks Create Money Through Loans
money_creation_flowchart_-_fractional_reserve_banking_including_comments.pdf
File Size: 136 kb
File Type: pdf
Download File

What Really Happens When You Want a Loan
what_happens_when_you_want_a_loan.pdf
File Size: 649 kb
File Type: pdf
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Fractional Reserve Banking Example
fractional_reserve_text_example_-_1-page.pdf
File Size: 39 kb
File Type: pdf
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How Money Could be Created Without the Federal Reserve &  NO INTEREST
money_creation_flowchart_-_us_treasury_currency_including_comments_1c.pdf
File Size: 90 kb
File Type: pdf
Download File