The Federal Reserve's Great Depression 1929 through 1941 - Quick History #3

The roaring 20's, Great Gatsby, champagne, fortune, largess and ignorance. There are few historical moments everyone can recall, the great depression is one. An incredible financial failure that rocked the world. How did no one see it coming?

After the end of WWI countries around the planet were mired in debt. Currencies globally were devalued as an effect. The Bank of England was under pressure to maintain the gold standard, which would have required credit contraction. The opposite was done, and the floodgates opened. In the United states, the dollar was strengthening due to greater productivity and lower interest rates. Gold was exiting England as its value was better maintained in the U.S.

Montagu Norman, governor of the Bank of England met with the head of the Federal Reserve Bank of New York, Benjamin Strong to discuss the state of world finance. He pressured Strong to help global finance by using the power of the Federal Reserve. Their conclusion, to inflate the U.S. dollar by expanding credit in order to stabilize European currencies. And expand the credit they did.

At the behest of international bankers, the United States weakened its currency, thereby making the citizenry foot the bill for the world's problems. Purchasing stock on margin for 9 years completely overvalued the market. European central banks were exuberant, as a weaker dollar allowed their economies to grow.

When the Federal Reserve decided to contract it's expansionist policy, the markets toppled like well placed dominoes. The suffering which lasted more than a decade was unimaginable. The kind of economic contraction which the Federal Reserve was meant to prevent just happened. Arguably the biggest economic blunder in U.S. history was created by international bankers manipulating the private Federal Reserve.

https://steemit.com/politics/@americana-reboot/the-federal-reserve-act-of-1913-quick-history-2