When everything is ready, guests appear in the club. Those attending this top-secret meeting are:

Nelson Aldrich, Senator, Chairman of the National Monetary Commission, Nelson Rockefeller's grandfather

Piatt Andrew, Assistant Secretary of the U.S. Treasury Department

Frank Vanderlip, President of National City Bank of New York

Henry P. Davison, Senior Partner, J.P Morgan

Charles D. Norton, President of First National Bank of New York

Benjamin Strong, J.P Morgan's right-hand arm

Paul Warburg, a German Jewish immigrant, went to the United States in 1901, was a senior partner of KuhnLoeband Company, an agent of the Roscherder family in Britain and France, chief designer of the Federal Reserve, and the first director of the Federal Reserve.

These important figures came to this remote island and had no interest in hunting. Their main task was to draft an important document: the Federal Reserve Act.

Paul Waberg is a master of banking and is proficient in almost all bank operation details. When others have various questions, Paul not only patiently answers, but also talks endlessly about the historical origins of every detail concept. Everyone is impressed by his extensive knowledge in banking. Paul naturally became the main drafter and interpreter of the document.

Nelson Olic was the only layman among all, he was responsible for making the content of the document meet the requirements of political correctness and being accepted in Congress. Others represented the interests of different bank groups, and they had a fierce debate over the details of the proposal proposed by Paul for nine days, and finally reached a consensus.

Since the banking crisis in 1907, bankers had a bad image in the minds of the American people that no one among the members of Congress dared to publicly support the bill formulated by bankers, so these people traveled thousands of miles from New York to hiding on this secluded island to draft the document. In addition, the name of the central bank was too big to attract wind. Since President Jefferson, the name of the central bank has always been too close to the conspiracy of the British international bankers, so Paul suggested using the name of the Federal Reserve System to cover people's eyes and ears. However, it has all the functions of a central bank. Like the Bank of England, the Federal Reserve is designed to own shares privately and will gain huge benefits from it. Unlike the first and second banks, 20% of the government shares in the Federal Reserve's shares were removed, and it would become a "pure" private central bank.

To make the Federal Reserve system sound more deceptive, Paul cleverly proposed that “Congress controls the Fed, the government has representatives on the board, but the majority of the board is controlled directly or indirectly by the banking association.”

Later, Paul changed to "the board members are appointed by the President of the United States" in the final version, but the real function of the board is controlled by the Federal Advisory Council, which meets regularly to "discuss" the work. The Federal Advisory Committee members will be decided by the directors of the 12 Federal Reserve Banks, which was deliberately concealed from the public.

Another problem that Paul had to deal with was how to hide the fact that New York bankers would dominate the Federal Reserve. Since the 19th century, small and medium-sized businessmen and farmers in the Midwest of the United States have suffered from the banking crisis and hated bankers in the eastern region. Members of the region could not support the central bank dominated by New York bankers. Paul designed a genius solution for this purpose to form a 12 Federal Reserve regional banks to form the entire system. Outside the banking circle, few people understand that under the basic situation that US currency and credit distribution are highly concentrated in the New York region, it is only a illusion that the central bank's business is not concentrated in New York.

Another reflection of Paul's foresight is to base the Federal Reserve in Washington, the political capital, and intentionally stay away from New York, the financial capital, which it truly accepts instructions, to further diversify public concerns about New York bankers.

The fourth Paul's trouble was how the 12 regional Fed banks managers, Nelson Olich's congressional experience finally came in handy. He pointed out that the Midwest congressional members were generally hostile to New York bankers. In order to avoid out of control, directors of all regional banks should be appointed by the president rather than by Congress. However, this created a legal loophole. Chapter 1, Section 8 of the Constitution clearly stipulated that Congress was responsible for managing the issuance of currencies and excluding Congress meant that the Federal Reserve had violated the Constitution from the very beginning. Later, this became the target of many congressmen attacking the Federal Reserve.

After this ingenious arrangement, the bill appeared to simulate the decentralization and checks and balances of the US Constitution. The presidential appointment, Congress review, independents as directors, and bankers as consultants are really a design that is perfect!

2. The Big Seven Wall Street: The Fed's Behind the Scenes

"The seven people on Wall Street now control most of the basic industries and resources of the United States. Among them, JP Morgan, James Hill, and George Baker (President of the First National Bank of New York), belongs to the so-called Morgan Group; the other four, John Rockefeller, William Rockefeller, James Stillman (President of the National City Bank), and Jacob Schef (Kun Rapo), belongs to the Standard Oil City Bank Group. The core hub of capital they constitute controls the United States."

John Moody's (founder of the famous Moody's investment evaluation system) 1911

The seven big names on Wall Street were the real behind the establishment of the Fed. The secret coordination between them and their European Roscheld family finally established a replica of the Bank of England in the United States.

The rise of the Morgan family

The predecessor of Morgan Bank was the less well-known George Peabody and Company of the United Kingdom. George Peabody was a dry goods merchant in Baltimore, USA. After making some money, he came to London, England to make a fortune in 1835. He saw that the financial industry was a wealthy industry, so he started to start the MerchantBank business with some merchants in London. This was a very fashionable "High Finance" business at that time. The customers mainly included governments, large companies and wealthy people. They provided international trade loans, issued stocks and bonds, and operated commodities. This was the predecessor of modern investment banking.

George Peabody quickly entered the British financial circle through the introduction of the Brown Brothers in Baltimore's Brown Brothers Company. Soon, George Peabody was very surprised to receive an invitation from Baron Nathan Roscheldder to visit. The trepidated George Peabody felt that being invited by Nathan, who was famous in the World Bank, was as honored as a Catholic being received by the pope. Nathan made a straightforward suggestion that George Peabody would do him a favor and be the secret public relations agent of the Roscheld family. Because the Roscheld family was in Europe, although their wealth was rich, they were hated and despised by many people. The London aristocratic class disdained to be with Nathan and repeatedly rejected Nathan's invitation. Although

Roscheld was very powerful in the UK, but he always felt isolated by the nobles. Another reason why Nathan liked George Peabody was that he was humble, had a good reputation, and was an American, and could still make great contributions in the future. George Peabody's proposal was naturally full of words, and Nathan paid for all the PR expenses. George Peabody's company soon became a famous social center in London. Especially the American Independence Festival banquet held at George Peabody's house on July 4 every year is a grand event in the London aristocratic circle [Note 3.2]. Guests may not have thought that the magnificent and luxurious entertainment expenses could not afford by an ordinary businessman who was unknown a few years ago.

Until 1854, George Peabody was just a banker of millions of pounds. In just six years, he made a fortune of nearly 20 million pounds and became a heavyweight American banker. It turned out that in the 1857 US economic crisis instigated by the Roschelds family, George Peabody invested a lot in US railway bonds and government bonds. When British bankers suddenly threw out all the bonds involved in the United States, George Peabody was also deeply trapped. Strangely, when the Bank of England was on the verge of bankruptcy, it seemed that an angel fell from the sky and urgently provided a credit limit of 800,000 pounds, not only to kill him from the god of death.

After taking it back, George Peabody, who had always been extremely cautious and had already lost his soul, betting on all his wealth, and ate all kinds of bonds sold by terrified American bond investors as garbage. The crisis in 1857 was completely different from the 10-year depression in 1837. In just one year, the US economy completely emerged from the shadow of recession. As a result, the American bonds in George Peabody's hand made him quickly become a super rich man, which was surprisingly similar to Nathan's British Treasury Battle in 1815. Without accurate inside information, George Peabody, who had just woken up from a bankruptcy nightmare, definitely did not dare to eat a lot of American bonds.

George Peabody had no children in his life and no one inherited his huge industry. He took great pains to this end and finally decided to invite the young Junius Morgan to join. After George Peabody retired, Junius Morgan took over all the business and renamed the company Junius S. Morgan and Company, which was still based in London. Later, Junius's son JP Motel

Gen took over the company, and later he renamed the American branch to JP Morgan and Company. In 1869, JP Morgan and Drexel met with the Roscherder family in London, and the Morgan family completely inherited the relationship between George Peabody and the Roscherder family and developed this cooperation to a new level. In 1880, JP Morgan began to fund the commercial activities of reorganizing the railway company.

On February 5, 1891, the Roscheld family and some other British bankers established the secret organization "Round Table Group", and the United States also established corresponding organizations, led by the Morgan family. After World War I, the United States' "Round Table Group" was renamed the "Councilon Foreign Relation" and the United Kingdom was changed to the "Royal Institute of International Affairs". Many important officials of the U.S. and British governments were selected from these two associations.

In 1899, J.P. Morgan and Drexel went to London, England to attend the International Bankers Conference. When they returned, J.P. Morgan had been appointed as the chief agent of the Roscherders' interests in the United States. The result of the London conference was that J.P. Morgan in New York, Zorgoscher in Philadelphia, Grenfell in London, Morgan Harjes Cie in Paris, M.M. Warburg Company in Germany and the United States, and the Roscherders were fully associated with the Roscherders." [Note 3.3]

In 1901, J.P. Morgan acquired Carnegie's Steel Company for a sky-high price of $500 million and formed the world's first giant with a market value of more than $1 billion, the United States Steel Corporation. JP. Morgan was considered the richest person in the world at the time, but according to a report by the Temporary National Economic Committee, he owned only 9% of his company. It seems that Morgan, who stated that he was just a front-end person.

Rockefeller: Oil King

John Rockefeller, the old man, was a controversial figure in American history, and was named "the most ruthless person". His name is naturally inseparable from the famous Standard Oil Company. His oil career began during the American Civil War (1861-1865), and until he founded the Standard Oil Company in 1870, his business was still at an average level. Since he received a batch of seed loans from the Cleveland National City Bank, he seemed to have suddenly found a feeling, especially in malicious competition, showing extraordinary imagination. In the oil refining industry he was very optimistic about, he realized very early that although oil refining has extremely high short-term profits, due to fierce competition without control, he will eventually fall into suicide-like vicious competition. There is only one way to eliminate competitors without mercy, and do whatever it takes to this purpose.

The specific method is to firstly buy the competitors with low-priced cash by it. If it is rejected, the competitors will face a fierce price war until the other party surrenders or goes bankrupt. If it does not work, Rockefeller will finally use his special tricks: violent destruction, beating competitor workers, setting fire to the opponent's factory, etc. After several rounds, there are very few survivors. Such domineering monopoly behavior has aroused public outrage from his peers, but it has also attracted high interest from New York bankers. Bankers who love monopoly appreciate Rockefeller's high execution ability to achieve monopoly.

The Roschelds have been trying hard to control the increasingly powerful United States, but they have repeatedly failed. It is much easier to control a king in Europe than to control an elected government. After the American Civil War, the Roschelds began to deploy plans to control the United States. In the financial industry, there were Morgan Bank and Kuhn Rabo Company, and in the industry, there was no suitable agent candidate. Rockefeller's actions made the Roschelds' eyes shine. If a large amount of blood transfusion was given in finance, Rockefeller's strength would be far beyond the small Cleveland area.

The Roschelds sent Jacob Schiff of the most important financial strategist in the United States. In 1875, Jacob Schiff went to Cleveland to guide Rockefeller's next expansion plan. Jacob Schiff brought unprecedented support that Rockefeller could not imagine. Since Roschelds had controlled 95% of the United States' rail capacity through Morgan Bank and Kuhn Rabo, Jacob Schiff planned a South Improvement Company to provide Rockefeller's standard oil company with very low freight discounts. Under the pressure of this freight discount, few refining companies could continue to survive. Rockefeller quickly completely monopolized the US oil industry and became the veritable "oil king".

3. Cracking the outpost of the Federal Reserve: the banking crisis of 1907

In 1903, Paul handed over a program of action on how to introduce the "advanced experience" of the European Central Bank to the United States to Jacob Schef, and the document was then transferred to James Stillman, president of the National City Bank of New York (later Citibank), and the banker circle in New York. Everyone felt that Paul's thoughts were really enlightened, which made everyone suddenly realize.

The problem is that in the history of the United States, the political and civil forces opposing private central banks are quite strong, and New York bankers have a very poor reputation in the American industry and small and medium-sized owners. Congressional members avoid any proposals made by bankers about private central banks like avoiding the plague. In such a political atmosphere, they are more likely to pass a central bank bill that is beneficial to bankers.

In order to reverse this unfavorable situation, a huge financial crisis began to be conceived.

First, the news and public opinion orientation began to appear in large numbers to promote new financial concepts. On January 6, 1907, Paul was published, titled "Defects and Needs of Our Banking System", and since then Paul became the chief promoter of the United States' advocacy for the central banking system. Shortly afterwards, Jacob Schaef declared at the New York Chamber of Commerce that "unless we have a central bank that can control credit resources, we will experience an unprecedented and far-reaching financial crisis."

Flies do not bite eggs without seams. Like in 1837, 1857, 1873, 1884, and 1893, bankers have long seen the serious bubbles that occur during the overheating development of the economy, which is also the inevitable result of their continuous relaxation of monetary roots. The whole process is vividly like bankers raising fish in fish ponds. When bankers release water into the fish ponds, they are relaxing monetary roots and injecting a lot of money into the economy. After obtaining a lot of money, people from all walks of life begin to work hard day and night under the temptation of money, and strive to create wealth. This process is like fish in ponds absorbing various nutrients hard, and the longer they grow, the fatter they become. When bankers see that the time for harvest is ripe, they will suddenly tighten monetary roots and start pumping water from the fish ponds. At this time, most fish in the fish ponds can only wait for the fate of being captured in despair.

However, only a few of the largest bank oligarchs knew when they started to pump water. When a country established a private central bank system, the bank oligarchs were more comfortable in controlling the water releasing and pumping, and the harvest became more accurate. Economic development, recession, wealth accumulation and evaporation became inevitable results of scientific breeding by bankers.

Morgan and the international bankers behind him accurately calculated the estimated results of the financial crisis. First, it shocked American society and let the "facts" show how fragile a society without a central bank is. Second, it squeezed out and merged small and medium-sized competitors, especially trust investment companies that made bankers look quite sideways. And it also had important companies that made them coveted for a long time.

The fashionable trust investment companies enjoyed many businesses that banks could not operate at that time, and government regulation was very relaxed. All this led to trust investment companies over-absorbing social funds and investing in high-risk industries and stock markets. By the time the crisis broke out in October 1907, about half of New York's bank loans were mortgaged by trust investment companies with high interest returns on high-risk stock markets and bonds, and the entire financial market fell into an extremely speculative state.

Morgan had been on vacation between London and Paris in Europe for several months before this. After careful planning by international financiers, Morgan returned to the United States. Soon, it began to spread widely in New York that Knickerbocker Trust, the third largest trust company in the United States, was about to go bankrupt. Rumors quickly spread throughout New York like a virus. Frightened deposit citizens lined up all night at the doors of various trust companies to withdraw their deposits. The banks asked the trust companies to repay the loan immediately. The trust companies, which were urged to pay the loan on both sides, had to borrow money from the stock market (MarginLoan), and the loan interest suddenly reached a sky-high price of 150%. By October 24, stock market trading was almost limited to a suspension.

Morgan appeared as a savior at this time. When the chairman of the New York Stock Exchange came to Morgan's office for help, his voice trembled and said that if he could not raise $25 million before 3 pm, at least 50 traders would go bankrupt and he would have no choice but to close the stock market. At 2 pm, Morgan held an emergency meeting of bankers, and in 16 minutes, the bankers raised enough money. Morgan immediately sent someone to the stock exchange to announce that the interest on the loan would be open to supply at 10%, and the exchange immediately cheered. Only one day later, the funds for emergency rescue were exhausted and the interest grew wildly again. Eight banks and trust companies had gone bankrupt. Morgan rushed to the New York Clearing Bank and demanded the issuance of notes as temporary currency in response to the serious cash shortage.

On Saturday, November 2, Morgan began his long-planned plan to "save" Moore and Schley, which is still in turmoil. The company is already in debt of $25 million and is on the verge of bankruptcy. However, it is the main creditor of Tennessee Coaland Iron Company. If Moore is forced to go bankrupt, the New York stock market will collapse completely, and the consequences will be unimaginable. Morgan invited all the big names in the New York financial circle to his library, commercial bankers were arranged in the East Study, and the trust company boss was arranged in the West Study. The panic financiers were anxiously waiting for the fate Morgan arranged for them.

Morgan knew that the iron and coal resources in Tennessee, Alabama and Georgia owned by Tennessee Mining and Iron Manufacturing Company would greatly strengthen the steel giant founded by Morgan himself: the monopoly position of the American Steel Company. Under the constraints of antitrust laws, Morgan has always been unable to speak of this big fat meat, and this crisis created a rare opportunity for mergers. Morgan's condition was that in order to save Mooresley and the entire trust industry, the trust company must raise $25 million to maintain the trust company's failure to collapse. The American Steel Company bought the debt rights of Tennessee Mining and Iron Manufacturing Company from Mooresley. Anxious and irritable mood, the pressure of bankruptcy, and the extremely tired trust investment bosses who had not been asleep all night finally surrendered to Morgan.

After getting the fat piece of Tennessee Mining and Ironmaking Company, Morgan was overjoyed and had a last hurdle, which was President Roosevelt, who was unambiguous to antitrust. On Sunday night, November 3, Morgan sent people to Washington overnight, and must get the president's approval before the stock market opened on Monday morning. The bank crisis, a large number of enterprises went bankrupt, and the thousands of angry people who lost their life savings formed a huge regime crisis. Roosevelt had to rely on Morgan's power to stabilize the overall situation. He was forced to sign the underworld alliance at the last moment. At this time, there were only 5 minutes left before the opening of the stock market on Monday!

New York stock market rose sharply after the news.

Morgan took over Tennessee Mining and Ironmaking for a super low price of $45 million, and the potential value of the company is at least about $1 billion as John Moody's estimate. [Note: 3.5]

Every financial crisis is a long-planned precise explosion, and the dazzling new financial edifice is always built on the ruins of thousands of bankrupts.

4. From gold standard to fiat Money: a major change in bankers' worldview

Since the end of the 19th century, international bankers' understanding of money has once again made a major leap.

The original Bank of England model, which is to issue currency with government bonds as collateral, through the deadlock between the two, government debt is achieved and banks issue currency. Ensure that the debt scale is getting bigger and bigger, thus ensuring the growing huge returns of bankers. Under the gold standard system, bankers firmly oppose inflation, because any currency depreciation directly hurts the bankers' actual interest income. This idea is still a relatively primitive way to lend interest. The main disadvantage is that wealth accumulation is too slow. Even if the Fractional Reserve is used, it is still not enough to satisfy the growing appetite of bankers. In particular, gold and silver are slowly increasing, which is equivalent to setting an upper limit for the total amount of lending for banks.

At the turn of the 20th century, bankers had already explored a more efficient and complex legal currency system. The legal currency completely got rid of the rigid constraints of gold and silver on the total amount of loans, making currency control more elastic and more secretive. When bankers gradually realized that the benefits obtained by increasing the money supply unlimitedly were much greater than the loan interest losses caused by inflation, they immediately became the most enthusiastic supporters of legal currency. By sharply issuing currencies, bankers were equal to plundering the huge wealth of savers in the entire country. Compared with the original method of banks forcing others to auction property, inflation was much more "civilized" and the resistance they encountered was much smaller, and even difficult to detect.

With the support of bankers, the economics of inflation has been gradually guided to the track of pure mathematical games. The concept of inflation caused by the issuance of paper money has been completely overwhelmed by the theory of rising prices in modern times.

At this time, in addition to the original "Fractional Reserve" system and the deadlock between currency and government bonds, bankers added a more powerful tool: currency inflation. From then on, bankers achieved a dramatic transformation from the defender of gold to the mortal enemy of gold.

Keynes' evaluation of inflation is a sharp tip. "Using this method, the government can confiscate people's wealth secretly and imperceptibly, and it is difficult for one million people to detect this kind of stealing."

To be precise, this method is used in the United States by the private Federal Reserve rather than the government.

5. The 1912 election

"On Tuesday, the principal of Princeton will be elected governor of you (New Jersey). He will not complete his term. In November 1912, he will be elected President of the United States. In March 1917, he will be re-elected. He will be one of the greatest presidents in American history."

1910 rupees Vance (Rabbi Stephen Wise) speech in New Jersey

Vance, who later became President Wilson's intimate think tank, was able to accurately predict the results of the presidential election two years ago, and even accurately predict the results of the presidential election six years later, not because he really had a magical crystal ball in his hand, but because all the results were accurately planned by bankers in advance.

As international bankers expected, the banking crisis in 1907 did greatly shock American society. People's anger at trust and investment companies, panic about bank bankruptcy, and fear of Wall Street financial oligarchs, a powerful public opinion trend that opposes all financial monopoly swept the whole country.

Princeton President Woodrow Wilson is a famous activist who opposes financial monopoly. Frank Vanderlip, president of National City Bank of New York, once said: "I wrote to invite Princeton's Woodrow Wilson to a dinner and give a speech. To let him know that this was an important opportunity, I mentioned that Senator Aldrich would also be present and give a speech. My friend Dr. Wilson's answer surprised me, and he refused to speak on the same stage with Senator Olich." [Note: 3.6]

Senator Olitch was in power at the time. He had a 40-year congressional career, including 36 of which he was a senator and the chairman of the Senate Financial Committee with great power. As John Rockefeller Jr.'s father-in-law, he was closely related to the Wall Street banking industry. In 1908, he proposed that in an emergency, banks could issue currencies and mortgage bonds from federal, state and local governments and rail bonds. There was such a good thing in the world, the risks were carried by the government and the people, and the benefits were all obtained by bankers, which made people admire Wall Street's means. The bill was called the "Emergency Currency Act", which became the legislative basis of the Federal Reserve Act five years later. He was regarded by society as the spokesperson of Wall Street.

Woodrow Wilson graduated from Princeton University in 1879 and later entered the University of Virginia to further his studies in law. He received his doctorate from Johns Hopkins University in 1886. In 1902, he became the president of Princeton University. The pedantic Woodrow Wilson always opposed financial monopoly and naturally refused to be close to the spokesperson of financial oligarchs. His academic profound attainments and idealistic feelings cannot make up for his extreme lack of knowledge in the financial industry, and he knows nothing about the money-making skills of Wall Street bankers.

Bankers are attracted by Wilson's simplicity and easy-to-use characteristics, and are also recognized by society as a famous anti-financial monopoly activist. They have a fresh and lovely image and are really a rare piece of unparalleled jade. Bankers are planning to invest a lot of money on him and carefully "carve" them for great use.

Just in time, Cleveland Dodge, the director of the National City Bank of New York, was Wilson's college classmate in Princeton. In 1902, Wilson was able to successfully become the president of Princeton, which was the result of the wealthy Dodge's help. With this considerable relationship, Dodge began to expose on Wall Street under the planning of bankers that Wilson was a piece of information to be president.

A principal who had been in office for only a few years was suddenly praised as the president's information, and it was normal for a burst of joy. Of course, it always cost a price to be famous, and Wilson began to get stuck with Wall Street behind his back. Sure enough, Wilson was soon elected governor of New Jersey in 1910 with the support of Wall Street bosses.

In public, Wilson still criticized Wall Street's financial monopoly and privately understood that his status and political future depended entirely on the power of bankers. Bankers' criticism of Wilson was surprisingly tolerant and restrained, and the two sides maintained a subtle and indescribable tacit understanding.

Just as Wilson's reputation grew, bankers were intensively raising funds for him to run for president. Dodge set up an office for Wilson at 42 Broadway Avenue, New York, and established a bank account. Dodge donated the first $1,000 check. Soon, Dodge quickly collected a large amount of funds from the bankers' circle by direct mail, two-thirds of which came from seven Wall Street bankers. [Note: 3.7]

After Wilson was nominated for the presidential election, he was so excited that he said in a letter to Dodge that he said, "I can't imagine my happiness." Since then, Wilson has completely rushed into the arms of bankers. As a Democratic candidate, Wilson holds the great hope of the Democratic Party. The Democratic Party, who has lost the presidential throne for many years, has been as strong as Wilson's hunger for power.

Wilson challenged the current President Tuft. Compared with Wilson, who was still unknown nationwide at the time, Tuft had a great advantage. Just when Tuft, who was full of confidence and prepared to take office as the second president, said he was not ready to give the green light to the Olitch Act, an unprecedented strange thing happened. Tuft's former president, Roosevelt, suddenly broke out and wanted to participate in the presidential election again. For the successor he chose by Roosevelt himself and Tuft, who is also a Republican Party, it was a huge bad news. Roosevelt, who forced the disintegration of Northern Securities and became famous and enjoyed the reputation of never being rude to antitrust. His sudden appearance would seriously erode Tuft's votes.

In fact, behind the three campaigners, bankers were all supported, but among the three, they secretly turned to the most controllable Wilson. Under the arrangement of Wall Street, Roosevelt, the old man "accidentally" hit Tuft hard, causing Wilson to be elected successfully. This scene is similar to the unexpected defeat of Bush Bush in 1992 and was accidentally defeated by novice Clinton.

6. Plan B

The banking giants' planning on Jekyll Island was very confidential. Out of their rigorous professional instinct, they prepared two plans. The first one was a plan chaired by Senator Nelson Aldrich, who was responsible for feinting attacks in order to attract the firepower of the opposition. The Republicans were supporters of the Olich plan. Another plan called "Plan B" was the real main attack direction, which was later the Federal Reserve bill, and the Democrats were the main driving force. In fact, there was no essential difference between the two plans, just the wording was different.

The presidential election also revolves around this core goal. The relationship between Senator Olitch and Wall Street is well known. In the strong anti-Wall Street atmosphere across the country at that time, the financial reform bill he proposed would inevitably fail. The Democratic Party, which had been away from the center of power for many years, has always played a role in strong criticizing financial monopoly. Coupled with the fresh image of Wilson, all this gave the Federal Reserve bill supported by the Democratic Party a greater chance of being accepted. The crisis design in 1907 cleverly reached a bipartisan consensus that the financial system must be reformed, "compliant" with public opinion. At this time, bankers sacrificed the Republican Party and made the Democratic Party all become a logical necessity.

In order to further confuse the public, bankers used the trick of giving up to support the same content, and different versions of the two factions attacking each other. Senator Olitch took the lead in attacking, and he sternly accused the Democratic proposal of hostility to banks and was not conducive to the government. He claimed that all fiat monetary policies that deviated from the gold standard were serious challenges to bankers. Nation magazine pointed out on October 23, 1913: "Mr. Olitch opposed to government fiat currency without gold support is exactly what he wanted to do with the bill proposed in 1908 (The Emergency Currency Act). He should also know that the government has nothing to do with the issuance of currency, and (the bill in discussion stipulates that the Federal Reserve has full control over the issuance of currency."

The Democrats’ accusations of Olich’s proposal are also eye-opening, claiming that Olich is maintaining the interests and financial monopoly of Wall Street bankers, and the Federal Reserve proposal proposed by the Democrats aims to break this monopoly and establish a perfect central bank system with regional separation, presidential appointment, congressional review, bankers providing expert opinions, and separation of powers. Wilson, who is not fond of financial affairs, sincerely believed that this plan broke the monopoly of Wall Street bankers on finance.

It was precisely because Olic, Van der Rip and Wall Street spared no effort to oppose and accuse the Democratic Fed bill won the favor of the people, and bankers used the plan to openly repair the plank road and secretly escape Chen Cang to a remarkable level.

7. The Federal Reserve Act passes, and bankers' dreams come true

At the same time as Wilson was elected president, Plan B was officially launched. On June 26, 1913, just three months after Wilson entered the White House, Virginia's Representative Banker Carter Glass officially launched Plan B in the House of Representatives: The Glass Bill, who deliberately avoided overly stimulating words such as the central bank and replaced it with the Federal Reserve. On September 18, the proposal was passed with 287 to 85 votes without the majority of Representatives.

The proposal was transferred to the Senate and became the Glass-Owen Bill, and Senator Irving was also a banker. The Senate proposal was passed on December 19. At this time, more than 40 differences in the two proposals need to be resolved. According to the practice of the two houses, important bills will not be passed within a week before Christmas. According to the gap between the proposals of the two houses at that time, under normal circumstances, they can only wait until the second year to discuss, so many important lawmakers who oppose the bill have left Washington and returned home to celebrate the festival.
To be continued...