OK now let me give you a little history lesson. The beginnings of the Federal Reserve go all the way back to the bankruptcy of the United States Government in 1893. The United States went bankrupt due to excessive government spending which drained the Treasury at a time when the government backed its silver money with gold. The market price of silver fell, and the demand for gold exchange could not be met due to lack of money in the Treasury. The country was basically bankrupt. That is when they made a deal with JP Morgan. JP Morgan ran Wall St, and he arranged to bail out the US Government by giving them gold for Treasury Bonds, He then auctioned the bonds. Sound familiar? The bail out was successful, and all of Washington DC was in debt to JP Morgan for saving their butts from being hanged by angry countrymen. JP Morgan then collected on that debt by writing and pushing thru the Federal Reserve Act in which he would form the Federal Reserve and finance the government in the same manner as he had bailed them out. They would print up debt instruments borrowing at interest and he would buy the "Treasuries" and auction them. The Treasury was allowed to print a limited amount of cash interest free, but the majority of the countries money would have to be borrowed at interest. The Treasury was stopped from producing its own currency in 1964, and the Government was totally dependent upon the Federal Reserve to this day.