CAPITALISM

BANE TO
Freedom & Security
By
Peter Cook, M.Sc, C.M.E.
 ULTIMATE SOPHISTRY...
There is no subtler, no surer means of
overturning the existing economic basis
of a society than to debauch (corrupt)
its government's legal tender currency
with a "bank-money substitute",
reconditely injected into circulation by
means of checks. The process engages
all the hidden forces of economic law
on the side of creeping socio-economic
destruction, and does it in manner
which not one man in a million is able
to diagnose.

1
Related quotes and comments found in the New York Times of June
11, 1939; Monetary Realist, September 1991; Time Magazine March
29, 1993 - edited and updated by Peter Cook, M.Sc, C.M.E.
Table of Contents . . .
Founders of Bank Of England and Midland Bank, 3
Prime Means of Production - MONEY, 4
Capitalism and its agenda, 5
Capitalism — Protecting Its Turf, 7
Senate Document No. 346, 67th Congress, 8
"THE WORD" published in Glasgow England, wrote:, 8
Citadels of Chaos" Cornelius Veith writes:, 9
No property ownership — no Capitalism, 10
Fertile ground for Capitalism, 12
How Did Capitalism Enslave the Productive Society? 15
"Capitalism's big bluff- quasi-legal extortion game, 17
Capitalism's formula for business instability, 21
No subtler means, already accomplished in the U.S.A.,22
CAPITALISM...
Critics of Capitalism are nothing new. What is
new, that the new critics of Capitalism, after over
half a century of research and observation, have
learned first hand, what Capitalism really is. Capi-
talism is not what we the American people had
been educated to believe — that Capitalism is a gift
of gods to the world. It may be a gift of gods to the
Capitalists and their minions that lavishly live off
the sweat and toil of the productive society.
Capitalism is relatively a late comer into the socio-
economic arenas of Europe,1 the Americas and
most of the world. It has been reported2 that the
term "Capitalism" was unknown to Adam Smith,
the author of The Wealth of Nations (1776), which
book has become known as the Bible of Capital-
ism. Adam Smith m his time, apparently was not
aware of the cruel powers and forces residing in
"Capitalism" — as many years later, characterized
by John Maynard Keynes, when he wrote:
"There is no subtler, no surer means of overturning an existing
economic system of a society than to debauch (corrupt) its
government's currency with a bank-money substitute, reconditely
injected into circulation by means of checks channeled through
"private" check clearing houses. The process engages all the
hidden forces of economic law

1
This institution of private capitalism is of comparatively recent 1877
origing. From the old: Oxford English Dictionary, Vol. A to O.
2
Collier's Encyclopedia, Vol. 5, page 377.
on the side of creeping socio-economic destruction, and does it
in a manner which not one man in a million is able to diagnose3.

Capitalism is in no way a democratic system. No

sovereign government or society has ever been
asked to vote or choose Capitalism as their econ-
omy governing system. Capitalism is a "parasite",
a parasitic scheme, which reconditely worms its
way into an organic4 economic system, and
circumvents the natural development of business,
industry and markets of a society — for its own
vulturous expropriations of the productive society's
real assets.
In the last 3/4 of a century, Capitalism has recon-
ditely enlisted our National, state and local gov-
ernments' services, including judges, lawyers and
academics to unsuspectingly function, in my opin-
ion, as "legal fees bounty" hunters; shepherding,
via the bankruptcy laws — the harvesting of the
productive society's assets driven into default, via
Capitalism's (bankers') traditional easy money bait of
promise to pay and compound-interest-on-debt
technique.
It is important to understand, that in every bank-
ruptcy there is also a gainer, a creditor, a collector

3
Related quotes found in the New York Times of June 11, 1939. Wall
Street Journal, 3/22/79. Time Magazine March 29, 1993. Edited and
updated June 1994 by Peter Cook, M.Sc, C.M.E.
4
Organic: naturally developing economic system.

2
who becomes the possessor of the forfeited assets
or property. Very legal-like harvesting of the
bankruptcy-generated assets is the recondite bottom
line of Capitalism, the source of Capitalism's
(banking industry's) fabulous accumulation of wealth.5
As two early (around 1690) and renown Capitalists
William Paterson, the founder of Bank Of
England and Edward Holden. founder of The
Midland Bank, both explained that: "The bank
hath benefit of interest on all money it creates out
of nothing."6
Now, note: Paterson and Holden did not say that
they had benefit of the money they created out of
nothing — but. that they had benefit of the interest
on all the money they created our of nothing Para-
phrasing in brief, the bottom line, of what the two
astute Capitalist alluded to: First you indebt the
community with easy, promise to pay money.
Second, with compound interest on their debt, you
drive the community into default. Third, you
engage the services of the "sanctity of contract and
bankruptcy laws" and wait for the inveigled courts,
judges, lawyers and academics, to very legal like
deliver to you (the banker) the spoils, the productive
society's intrinsic value collateral assets in

5
Josiah Stamp, Pres. Bank of England: The banks own the earth.
Legalized Crime of Banking by S. W. Adams, OMNI. What Banks
Don't Want You To Know, by Peter Cook.
6
Tragedy and Hope, by: Prof. Carroll. Quigley page 49. (1966)

3
default, as the settlement, on the INTEREST due,
on the easy money created out of nothing.
Capitalism has been practice under the name of
"USURY" way back in Biblical times. The
practice of Usury, of what we know today as
Capitalism, was Biblically and historically equated
with blood shedding and murder7,8; because, in its
wake, the practice of Usury (of Capitalism) left crime,
poverty, dispossession and despair.
The worship of Capitalism in a society, like now in
the United States and most of the World — has
been brought about by Capitalism's historically
cultivated high-profile academics and spin-gurus,
glamorizing and romanticizing the exploits of a
corrupted socio-economic system — where the
Capitalists (the bankers) have usurped into a monop-
oly, the control of the Prime Means of Production
of a nation. The Prime Means of Production is not
a hammer, the plow or the horse, as popularly by
implication surmised. The Prime Means of Pro-
duction is really the ELEMENT used by society,
business, industry and governments as a means of
exchange, better known as "MONEY".
The term "Capitalism" is euphemism for the more
banker-offensive term: "Bankerism". Therefore,
the terms or words: Capitalist or Capitalism

7
Jewish Encyclopedia, Vol, II, page 388.
8
Lincoln Money Martyred, by Dr. Search, page 28.

4
in this treatise are always synonymous with Banker
or Bankerism.
Capitalism and its agenda ...
In a Bankers' Manifest letter, published in the Civil
Servants' Year Book, The Organizer of January
1934, the bankers wrote:
"Capital must protect itself in every way ... Debts
must be collected and loans and mortgages fore-
closed as soon as possible. ... our principal men
(are) now engaged in forming an imperialism of
capital (of bankers) to govern the world"
That bankers' letter ended with:
"The great debt that the CAPITALISTS (Bankers)
will see to it is made out of the Civil War ... must
be used to measure and control (the Government's)
money and labor wages.9
A circular titled: The Hazard circular, written by a
Mr. Hazard, a British bankers agent, was circulated
in July of 1862 amongst the leading bankers:
"Chattel slavery is likely to be abolished by the
Civil War powers. This I (Hazard) and my European
friends are in favor of for (chattel) slavery is but the
owning of labor and carries with it the care of the
laborers, while the European plan, led by England,
is that CAPITAL (bankers) shall control labor by
controlling their wages"— thus managing a new
9
The Story Of Our Money, by: Olive dishing Dwinell, page 125
5
breed of slaves, that will be responsible for their
own welfare.10
From the letters above we can clearly see who has
identified itself as "Capital". That Capital or
Capitalists are really the commercial, chartered and
central bank owners, governors and managers of
those banks, who hold in their hands, and exercise,
the power of creating, withholding and destroying
the Prime Means of Production.11 The monopoly
of creating and destroying the primary means of
production, that is of money, is a power greater
than the power of law.
As an eminent capitalist put it back in 1790:
"Permit me to issue and control the (prime Means of
Production) money of a nation, and I care not who
makes its laws." Mayer A. Rothschild.12
With the absolute power of controlling the Prime
Means of Production in the hands of Capitalists,
that is, in the hands of the Commercial and Central
Bankers — Capitalism of the World including that
of the United States, is not a Free Society mecha-
nism as popularly worshipped, but is a Scientifi-
cally Managed Totalitarian Tyranny where the
total productive society is reduced to wage-slavery

10
Money Creators, by: Gertrude M Coogan — page 212. 11 How Banks
Create and Destroy Money - explained by the Federal Reserve Bank of
New York -- edited for easy reading by Peter Cook. 12 Senate Document
#23, 76th Congress, 1st Session, page 99.

6
— without any Capitalism's responsibility for their
welfare.
The selected excerpts from the letters above,
brazenly display the cruelty of Capitalism: "debts
must be collected; "mortgages foreclosed as soon
as possible; "the wage-slaves to be responsible for
their own welfare, "the great government debt will
serve to control money and wages;13 "our principal
men engaged in an imperialism of Capital to govern
(such) world.
It doesn't take a clairvoyant or a rocket scientist to
perceive, that Capitalism, through the absolute
control of money — as evidenced by the socio-
economic shortcomings — is a recondite and
ruthless totalitarian tyrant, to all elements of the
productive society, including to governments.
Capitalism — Protecting Its Turf...
There is no example or evidence that the Capitalists
(the bankers) ever came to the aid of people that have
nothing, like the refugees of the world. Any aid to
the hungry and the homeless of the world invari-
ably comes from public contributions and religious
organizations work, and the governments' tax
monies — but never from the Capitalists, the big
World and American bankers, who are the PRIME

13
Story Of Our Money, by: Olive, Cushing Dwinell, page 125.

7
manufactures of CREDIT (checkbook) MONIES14
who never have a problem of manufacturing
enough credit money to finance the most expensive
wars, particularly if the war is esoterically fought to
protect the established turf of Capitalism — which
wars are generally fought under the sacred shroud
of fighting for freedom — but never at the
expense of Capital, the banking industry.
Senate Document No. 346, 67th Congress, 4th
session concludes:
"We repeat, and respectfully submit, that in view of the
foregoing facts, it is clearly established that Hungary did not
cause and did not bring about the last World War (W.W.I). The
responsibility for the last World War rests solely upon the
shoulders of international (Capital) financiers. It is they upon
whose head the blood of million of dead and millions of dying
rests. "

"THE WORD"
published in Glasgow, England, once wrote:15
"... Marriner Eccles of the Federal Board and Montague
Norman of the Bank of England agreed not later than 1935 on
the joint policy of killing Hitler's financial experiment by all
methods, including war, if necessary."

Speaking of Hitler's new monetary system which

W.W.II was fought to destroy, the London Times
wrote:16
14
1939 edition of: The Federal Reserve System, Its Purposes And
Functions. The Money Bible, by Peter Cook. A Primer On Money, a
Federal Government document.
15
From: The Green Magicians, by: Thomas Porter, Publ. by Omni
Publications, Hawthorne, CA 90250

8
"In this country (England) the people suffer the burden of heavy
and increasing taxation, but in Germany nothing is ever heard of
the necessity of increasing taxation, compulsory savings, or the
issue of enormous public war loans. Quite the contrary. Recently
an important tax was abolished. Public savings bank deposits
touch new monthly records again and again. Money is so
plentiful that the interest rate on the Reich loans could recently
be reduced from 4 1/2 percent to 4 percent. Hitler seems to have
discovered the secret of making something out of nothing, and
evolved a system based on perpetual motion."

In "Citadels of Chaos" (A copy in University of Michigan)

From page 286, Cornelius Carl Veith writes: "The big
bankers were alarmed at the success of Germany's money just as
their families were alarmed generations ago at the success of
Lincoln's money. The very words of consternation uttered at
Lincoln equally describe the chagrin at Hitler's progress,
namely: "If that mischievous financial policy ... should become
indurated down to a fixture, then the government will furnish its
own money without cost. It will pay off its own debts and be
without debt. It will have all the money necessary to carry on its
own commerce. It will become prosperous beyond precedent in
the history of the civilized (Capitalist) countries of the world,"

Mr. Veith continues:

"What might have been a laudable program on the part of
Germany was thus the principle cause of World War II. The fight
between rival monetary policies was inevitable".

16
From: The Green Magicians, by: Thomas Porter, page 47. OMNI.

9
On page 288 Mr. Veith writes:17
"A few months after the ceasing of hostilities in Europe, it was
frankly admitted in the press that Germany not only did not
prepare for conquering the world, but had not even prepared for
conquering her most obvious enemy, England".

No property ownership — no Capitalism

Capitalism can not establish itself, function and
prosper, where the people have no homes, no land
or property. As stated earlier, the prime requisite
for Capitalism to establish itself, and prosper is:
private property ownership and bankruptcy laws.
Bankruptcy laws and the touted sanctity of contract
laws, in Capitalism, function, to very legal-like,
expropriate private property that has been recon-
ditely ensnared by debt into default.
The Capitalists, that is the bankers of all sizes will
be the most obliging servants to people who own
land, homes, businesses, farms, solvent industries
etc. The bankers just throw money at you, has been
reported by large wealth holders.18 Most of the
business and industry and property owners fall into,
or are educated or driven into, that bankers' easy
money trap, baited with the compound interest on
debt snare — out of which compound interest on
debt snare, few escape, and most easy money
borrowers become slaves to Capitalism, until,
Capitalism's compound interest on debt, con-
17
The Green Magicians, by: Thomas Porter.
18
Business Week, June 13, 1994
10
sumes the bulk of their property into the possession
of ever wealthier banking families. But as Josiah
Stamp put it back in the 1920's "As long as the
public and governments tolerate such business, a
man is foolish not to be a banker"19
Historic Capitalism is a British-bankers' cabalistic
machination. It's the British Bankerism that our
Forefathers wanted no part of it — until Hamilton,
tutored20 by British bankers, had Capitalism institu-
tionalized in the United States through the promo-
tion of and passage of the (first) Bank of the United
States.
Remember or learn, that the United States Consti-
tution is NOT a Capitalist document. The U. S.
Constitution is a Socio-Economic document21,
prescribing equal, Free Enterprise opportunity, in a
Free Market place for all. However, Capitalism by
corrupting the Government's lawful money with
bank-money, and reconditely circulating the bank-
money m the economic arena by means of checks
and its own check clearing houses — has success-
fully captured and corrupted our traditional Free
Market economy, and now reconditely allocates
enterprise opportunities, and controls all facets of

19
Sir Josiah Stamp, President of Bank Of England, and second richest
man in Great Britain in the 1920's.
20
An Economic Interpretation of the Constitution of the United States
by Charles A. Beard 1941
21
An Economic Interpretation of the Constitution of the United States,
by: Charles A. Beard, 1913 - 1941.

11
the market place — so subtly, as John Maynard
Keynes22 put it: "that not one man in a million can
diagnose if.
Fertile ground for Capitalism ...
There are several major elements to constitute a
fertile ground for Capitalism (Bankerism) to get a foot
hold and prosper.
A. Cultivated mass ignorance how a legal tender
currency SUBSTITUTE, functions, as the public's
and Government's money.
B. Ignorance of how the currency substitute money
is injected into the wallets, wages, profits and tax-
loads of the public, business and industry.
C. An educated belief that the bankers are really
only faithful recyclers of the people's savings
deposits for a profit, and interest earnings for the
depositors.
This mass ignorance of how the bank-money,
substituting for Government money, works, extends
from the corridors of academia to the halls of
congress. The successfully managed ignorance of
how the Bank Money Mechanism works is not
new. Mr. Henry Ford Sr., many years ago said:
"It is well enough that the people of the Nation do not understand
our banking and monetary system, for if they

22
Synthetic Gold, Its Source And Its Use -- by Peter Cook, published by
Monetary Science Publ., Wickliffe, OH 44092

12
did, I believe there would be a revolution before tomorrow
morning".23

D. Capitalism (Bankerism) absolutely needs a well

established political party democracy. Political
Party Democracy is the most subtle weapon to
divide and conquer the public's thrusts, hopes and
desires. There is a chasmal difference between
Political Party Democracy and Free Democracy.
The Father of our country, George Washington, in
his last farewell address warned against political
parties when He said:
"One of the expedients of (political) party to acquire within
particular district, is to misrepresent the opinions and aims of
other districts. You can not shield yourselves too much against
jealousies and heart burnings which spring from these
misrepresentations; they tend to render alien to each other those
who ought to be bound together by fraternal affection. ... 1 have
already intimated to you the danger of (political) parties in the
state, with particular references to founding of them ... Let me
now take a more comprehensive view, and warn you in the most
solemn manner against the baneful effects of the spirit of
(political) party generally"?.24

People as a whole, before they meet up with some

spin doctor of the press, radio or TV, are usually
divided about half and half, practically on any
subject argued or discussed. However, as soon as
they meet up with some vested-interest spin doctors

23
From: The Federal Reserve Hoax, by: W. B. Vennard Sr., 1963.
Also found in Dearborn Independent, published by: Henry Ford. Sr.
24
From George Washington's Farewell Address, Sept. 17, 1796

13
— much of the public quickly begins to relate to
some professionally drafted opinion. The political
party spin doctors are carefully cultivated dispens
ers of ready-to-wear opinions. It is true, that all the
people do not buy all the spin doctors analysis and
opinions. However, if only a few percent of the
people, do buy, the political party spin doctors'
analysis and opinions — just imagine, what enor
mous political party power, of divide and conquer,
resides in those spin doctors' ready-to wear
opinions at the ballot box.
Therefore, if the general public is normally neutral
on practically any subject presented to vote upon
— a political party's money needs to buy only a
very small percentage of the public's mind and
votes to win, or to swing a vested interest issue.
Those election swinging votes do not come cheap.
That is why the political party elections, wooing the
public's mind and vote, cost millions and millions
of dollars.
However, in a Free Democratic country as pre-
scribe in the Constitution of the United States, for
the United States Nation, there is no need for
Political Parties. That's why we have 535 high-
priced representatives in Washington called Con-
gressmen and Senators. The public, business,
industry farmers etc. their problems, their desires or
plans to their area representatives. The people's
representative, a Congressman or Senator then

14
becomes the public's point man (instead of some vested-
political party crony) to shepherd the desired plans or
issue through the halls of Congress. Congress and
the public then intelligently debate the issues pub-
licly. By the time the issue comes up for a vote, the
public understand the issue and thus intelligently
votes either for or against an issue — without the
impediment of trying to satisfy a vested political
party machine.
How Did Capitalism Capture...
and Enslave The Productive Society?
That was easy, as explained in a letter written by
the Rothschild Bros, of London, England, to a New
York firm of bankers, June 25, 1863:
"The few who can understand the system (bank checkbook
money) will either be so interested in its profits, or so dependent
on its favors, that there will be no opposition from that class,
while on the other hand, the great body of people mentally
incapable of comprehending the tremendous advantage that
CAPITAL (banker) derives from the (bank-money) system, will
bear its burdens without complaint, and perhaps without even
suspecting that the system is inimical to their (productive
society's) interests. "25

It is important to remember that Capitalism is not a

particular governing person or entity. Capitalism is
not new. It has been invented by the wily old
Goldsmiths centuries ago, and is now the basis for

25
Senate Document #23, 76th Congress, 1st Session, page 99.
15
our modern bank-money, and the bankers' money
and banking system.26
Capitalism is fundamentally a "Scheme" and a
highly sophisticated accounting mechanism, based
upon a sovereign people's or government's money,
whether it is silver, gold or legal tender paper —
with a promise to pay such government or legal
tender money.
Capitalism's money system is based upon the
slogan of "promise to pay" money — in our time,
the promise is to pay physical cash currency in
exchange for the bank deposit (checkbook) credits
money. Capitalism's (bankers') promise to pay slogan
is quasi-legal bluff — because, statistically the
banks at any point and time, can only pay about
10% of their total Promises in cash — while at all
times, charging prime or higher interest rates on the
full 100% of their promises to pay cash.
The reason Capitalists (bankers) gets away with such
recondite quasi-legal bluff is — because, the banks
pay most of the checks, simply by transferring the
check payment amounts from the check drawer's
account, to the credit of the check payee's account,
which requires no touching of any cash.

26
Primer On Money, pages 28 & 29. A Government document printed
in 1964 for use of House Banking and Currency Committee

16
The Federal Reserve Bank of New York in a publication
title: MONEY: Master or Servant explains the above in
this way:
"It is important to note that, while your check is and order
to your bank to pay to the order of: so-and-so a certain sum
of money (dollars and cents), it is not necessary for the
bank to pay cash currency and coin to so-and-so. More
often then not, the bank simply charges the sum of the
checks against your checking account and credits the sum
to another account."27

Capitalism's big bluff...

emerges as a quasi-legal extortion game!
Capitalism's Big Bluff as alluded to above, in
combination with the Hail-Mark of Capitalism, the
sanctity of contracts and bankruptcy laws; and the
academics, lawyers and judiciary, who have little
or no idea of how Capitalism's Big Bluff really
works, become the main players in expanding
Capitalism's (bankers) Big Bluff into a quasi-legal
extortion business, at the expense of the productive
elements of society, commerce, industry and
governments.
The Hail-Mark of Capitalism, the Promise To Pay
is actually the source of our Nation's M-l money
supply. Every Promise To Pay made by a com-
mercial banker is a "promise" in the form of

27
Money: Master or Servant, 1969 edition, published by the Public
Information department. Federal Reserve Bank of New York.

17
deposit credits, entered into a bank client's check-
ing account.
At this point it is important to understand, that the
Capitalist, that is the banker, making the promise
to pay money to a bank client, does not ear-mark
or allocate any of the bank's or anyone else's cash
money, to the credit of the bank client's checking
account, to be disbursed by the clients written
checks. The Capitalist (the banker) simply enters,
either by pen, pencil or computer, the amount of the
Promise in dollars and cents (the amount of the loan) to
the credit of the bank client's checking account.28
And of course, the amount of the Capitalist's
Promise (loan) made either to an individual, a busi-
nessman or a government body, the amount of the
Promise (loan) becomes a new addition to the M-l
money supply statistic.29 And of course, all prom-
ises to pay dollars and cents to individuals, busi-
nessmen and government bodies carry a legally
enforceable interest load — payable in bank (check)
money or in cash.
Perhaps you can already perceive Capitalism's big
bluff evolving into a quasi-legal collateral
harvesting operation:

28
Money: Master or Servant, 1969 edition. Published by the Public
Information Department. Federal Reserve Bank of New York. (#44.)
29
Economics, 9th edition by Paul Samuelson of MIT.

18
1. Aggregately, all the Promises (bank loans) consti-
tute the money supply pool, officially known as the
M-l money supply pool statistic.
2. All borrowers of the bank-money loans, pledge
real value assets as collateral for the amount of the
bankers' promise to pay dollars and cents.
3. Even though Capitalism's banking system
requires only about 10% in cash on hand
(professionally known as Bank Reserves) to pay its promises in
dollars and cents — the banks do legally enforce
interest payments on the full 100% of the promises
made to pay dollars and cents.
4. In any Capitalistic money system including that
of the United States, the only bank-acceptable
interest payment funds, can come out of only30 the
M-l money supply pool, formed earlier by the bank
promises (loans) to pay dollars and cents.
5. Any interest payment funds withdrawn out the
M-l money supply pool, to pay the legally enforce-
able interest payments to the bank or banks —
drives the balance of the aggregate M-l money
supply pool into DEFAULT — where the aggre-
gate money supply pool is short by the amount of
the interest payment funds that had been withdrawn
as interest payments to the bank or banks.
6. For example, if 10% of the aggregate M-l
money supply pool, formed by the bank promises
30
Fore, there is no other money supply source.

19
to pay dollars and cents, was consumed in paying
interest on the bank loans — then statistically, 10%
of the aggregate bank loans could not be repaid, if
the bank loan repayment contracts expired, or if all
the bank loans were recalled at a fixed point and
time.
That means that about 10% of the bank clients
would fall into default, and via the sanctity of
contract and bankruptcy laws, the bank clients
would very legal-like lose their collateral to the
bank or banks — in exchange for the bankers'
artificially created promise to pay funds — which
funds were extinguished out of existence, via the
loan-interest payments. Thus, by Capitalism's
astute bank-money system design, the aggregate
interest payments to banks, systematically gravitate
a calculated percentage of bank clients' collateral
into default
7. In real life, the astute Capitalist, like the wily old
Goldsmith of history, does not set up a calendar
year, date or time, at what point all the community
loan contracts would expire or on what day all
community bank loans would be recalled — to
quickly, in one clean swoop, garner the calculated
10% or so of the bank clients' collateral. It's at this
stage where the Big Bluff, the sanctity of contracts
and bankruptcy laws and Capitalism's quasi-legal
collateral harvest comes to life.

20
In real life, in the Capitalism's money and banking
environment, the loan expiration dates, loan cancel-
lations and recalls are a constant daily occurrence,
by the thousands. The higher are the bank prime
interest rates, the greater are the interest payments
to banks, the greater grows the volume of defaults
and bankruptcies in the economic arena.
Since the defaults and bankruptcies are occurring
daily, to a small percentage, out of the millions and
millions of bank31 money borrowing clients,
Nationally, and randomly scattered — instead of
the defaults being scheduled to fall on the same
calendar period on a whole community — the
calculated collateral harvest process reconditely
escapes detection, of which process John Maynard
Keynes wrote: "The process engages all the hidden forces of
economic law on the side of destruction and does it in a manner
that not one man in a million is able to diagnose."32

Capitalism's formula for business instability ...

The greater the volume of the loan-interest payment funds paid
to banks (which interest payment funds, all come out of the M-l
money supply pool) the less money
remains in the M-l money supply pool. The less
money in the M-l money supply pool, the greater
are Capitalism's33 esoteric financial forces, recon-
ditely sinking entrepreneurs into default and bank-
31
Promise to pay dollars and cents money.
32
Wall Street Journal, Commentary 3/22/79
33
Commercial banking industry forces.
21
ruptcy — not because of their34 poor business and
industry acumen, but because of Capitalism's inter-
est-load mechanism, particularly the subtle com-
pound interest on debt, which interests are all
system governed, to drive a certain percentage of
entrepreneurs into default and bankruptcy — in a
manner that not one man in a million can
diagnose.35
There is no subtler, no surer means of
overturning an exiting basis of a society
than to debauch (corrupt) its currency.36
That has already been accomplished in the
United States, and the final step was the
passage of Federal Reserve Act in 1913.
When a sovereign Nation's financial mechanism is
corrupted and saturated with Capitalism's "bank-
money", the sovereign, like the United States Gov-
ernment now; the Government completely loses
control of its economy-financing mechanism, and
becomes totally dependent upon Capitalism's
(bankers) bank-money, in order to blindly function,
while sinking deeper and deeper into Capitalism's
34
There just cannot be as many poor business and industry managers
and owners as often reported in defaults and bankruptcies figures.
35
John Maynard Keynes, 3/22/79 W. S. Journal.
36
John Maynard Keynes, 3/22/79 W. S. Journal. Philip Benson, Pres.
American Bankers Association, New York Times, 6/11 1939

22
debt-snare, — out of which debt-snare, no
government has yet escaped, and neither will the
United States Government — if it does not outlaw
Capitalism's bank-money and its check-clearing
mechanism — and adopt the use of the U.S.
Government's own money system37 as prescribed
in Article 1, Section 8, Clause 5 and l38 of the
United States Constitution.
A highly researched and documented method, for a
Government Credit Money System, implementa-
tion, without disrupting the money and banking
habits of the public, commerce and industry is
clearly explained in: Populism Conquers Capital-
ism39, and in The Credit-Money Blue Book40 —
supported with documentation in: The Money
Bible book.
Peter Cook, M.Sc, C.M.E.
June 17, 1993

37
And its own Government check clearing system.
38
Clause 1 of Article 1, Sec. 8, Clause 5 gives Congress power to
maintain stability of the purchasing power of the Government dollar.
39
Populism Conquers Capitalism By Peter Cook, M.So, C.M.E.
published by Monetary Science Publishing, Wickliffe, OH 44092
40
Credit-Money Blue Book, by Peter Cook, M.Sc, C.M.E.
Published by Monetary Science Publishing, Wickliffe, OH 44092

23