George Washington's Error and the Corruption of Banking

President George Washington received a bill that would create a national bank if he didn't veto within 10 days.  National-government power to print money not backed 100% by reserves of gold or silver had been voted down by Washington's Constitutional Convention by a supermajority of 9 to 2.  Four short years later, Treasury secretary Alexander Hamilton claimed the opposite: that the Constitution implies that the national government can create a national bank that prints fractional-reserve money.  Washington ran with this, didn't veto, and instead signed the bill creating the national bank. President Andrew Jackson received a bill that would renew the charter of a national bank that printed fractional-reserve money if he didn't veto within ten days.  Jackson vetoed.   Unconstitutional Inflation When government people allow the quantity of money to exceed the amount of gold or silver held in reserve, this...(Read Full Article)
You must be logged in to comment.