The Money Masters
Encyclopedia
The Money Masters is a 1996 American
documentary film produced by attorney Patrick S. J. Carmack and directed and narrated by William T. "Bill" Still
. It discusses the concepts of money, debt and taxes, and describes their development from biblical times onward. It covers the history of fractional-reserve banking
, central banking, monetary policy
, the bond
market, and the Federal Reserve System
in the United States
. The film is widely available online.
s, members of the financial system
, kings of England
and United States presidents
.
The film criticises fractional-reserve banking
and the control aspects of both modern banking regulation and centralized banking
systems such as the Federal Reserve System
. It describes the history of money and banking, how central banks came to be and how they operate.
The film describes how the U.S. Congress
gave the power of money creation
to private banks through the Federal Reserve Act
and how the banks accumulate large amounts of interest using this power. It asserts that wealth is slowly being drawn into the hands of a small banking elite at the expense of the general population. This can be seen through such events as the 1929 stock market crash when a broker's call
was issued, triggering the crash which further solidified the power of the Federal Reserve.
The film argues that there is no publicly owned gold left in Fort Knox
The film also asserts that the Federal Reserve System enables private banks to force recession
s at will by refusing to offer new loans while simultaneously demanding payment on existing loans. It asserts that this power has been used a number of times since the 1913 creation of the Federal Reserve.
The film asserts or implies that bankers have intentionally caused a number of significant events, including Abraham Lincoln's assassination, the War of 1812
, the Battle of Waterloo
, the American Civil War
, the Russian Revolution, and the Great Depression.
The film asserts that by the end of World War I
, private banks owned and controlled much of the United States' newspaper, news magazine, and film outlets and that they achieved this using consolidated wealth generated by fractional-reserve banking. It argues that these banks have influence over the mainstream media
through their ownership and that this influence is used to prevent criticism of the financial monopoly from entering the general public's consciousness.
The film argues that placing our economy back on a gold standard will not solve the economic crisis. The scarcity of gold means it is one of the easiest commodities to manipulate. Attempts have been made to outlaw silver, such as the Coinage Act of 1873, which caused outrage and was termed the crime of 1873.
By way of conclusion, the film advocates a Monetary Reform Act and suggests that fractional-reserve banking and the Federal Reserve System be abolished in favor of 100% reserve banking, also known as warehouse banking. These reserves would come from the U.S. Treasury, which would issue non-interest generating money to repay the public debt to the banks. This would happen over a period of one year. As the government repaid its debt, the banks would be required to hold the government's new money as reserves and the reserve rate would slowly be increased to 100%. It is claimed that thus, there would be no inflation or imbalance in the amount of money in circulation. The issuing of new money would then be controlled. In order to prevent inflation, issuance would be according to population statistics. After the public debt was repaid, money that would previously have been interest on the debt would be distributed by the government as a tax refund, leading to the abolition of the Federal income tax.
Even 15 years after its release, the film still has considerable popularity, gaining interest from an audience first introduce to this subject through other documentaries such as Zeitgeist
. The film was aired in its entirety by PBS affiliate stations in 2002 and 2008.
In a 2004 review, a VUE Weekly editor wrote: "The fruit of Carmack and Still’s labour is The Money Masters, their notoriously lengthy but captivating 1995 documentary about the history of money and the people who have sought to control it over the past 300 years." In a 2006 critique, G. Edward Griffin
stated that he found the film worthwhile, but called William's Still's approach to monetary reform
"naive." In a 2009 review, Nomi Prins
writing in Cineaste
magazine described the documentary as : "...[doing] a superb job of revealing the truth behind the Fed and the powerful global financiers whose self-interest has dictated our banking system from the beginning. One gets the feeling that, had there been a larger budget for this film, the rather drab and grainy production values might have been improved. But if you can get past the low-budget style, you’ll find the content extremely compelling." (Prins has been very critical of the banking establishment and the Federal Reserve.) In 2008, the film was profiled in a review at the conservative WorldNetDaily news site. As of February, 2010, the film is ranked #15 in the "Top 50 Documentaries" listed at the Movies Found Online web site. As recently as 2009, a review of the film was presented at an international monetary conference. The film has also been cited by conservative commentators including Patrick J. Buchanan.
written by L. Frank Baum
depicting the story hidden in symbolism about monetary reform and the economic scenario during the late 19th century.
The yellow brick road (gold standard), the Scarecrow (farmers), the Tin Man (industrial workers), the Wicked Witch of the West (Cleveland banker J.D. Rockefeller) and the Wicked Witch of the East (NY banker J.P.Morgan), the Emerald City of Oz (greenback money), the illusory power of the Wizard in the capitol city (who monopolized power through deceit), even Dorothy’s silver slippers (changed to ruby slippers for the color movie version -symbols of Baum’s and Bryan’s belief that adding silver coin to gold coin would provide much needed money to a depression-strapped, 1890s America). Oz is a virtual forest of monetary reform symbolism, done by someone extremely well versed in the Populist monetary reform goals of the period (Baum was a newspaperman and author) – goals which have never changed - they are still valid today, they are needed now more than then.
claimed that the book contained an allegory of the late 19th-century debate regarding monetary policy According to this view, the "Yellow Brick Road" represents the gold standard
, the silver slippers (ruby in the film version) represent the sixteen to one silver ratio (dancing down the road). The thesis achieved some popular interest and elaboration but is not taken seriously by literary historians.
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
documentary film produced by attorney Patrick S. J. Carmack and directed and narrated by William T. "Bill" Still
Bill Still
William T. "Bill" Still is an American documentary film producer and author of several non-fiction books. He is the creator, producer, and narrator of the documentary films The Money Masters and The Secret of Oz, which focus on the United States monetary system.The Secret of Oz won the Best...
. It discusses the concepts of money, debt and taxes, and describes their development from biblical times onward. It covers the history of fractional-reserve banking
Fractional-reserve banking
Fractional-reserve banking is a form of banking where banks maintain reserves that are only a fraction of the customer's deposits. Funds deposited into a bank are mostly lent out, and a bank keeps only a fraction of the quantity of deposits as reserves...
, central banking, monetary policy
Monetary policy
Monetary policy is the process by which the monetary authority of a country controls the supply of money, often targeting a rate of interest for the purpose of promoting economic growth and stability. The official goals usually include relatively stable prices and low unemployment...
, the bond
Bond (finance)
In finance, a bond is a debt security, in which the authorized issuer owes the holders a debt and, depending on the terms of the bond, is obliged to pay interest to use and/or to repay the principal at a later date, termed maturity...
market, and the Federal Reserve System
Federal Reserve System
The Federal Reserve System is the central banking system of the United States. It was created on December 23, 1913 with the enactment of the Federal Reserve Act, largely in response to a series of financial panics, particularly a severe panic in 1907...
in the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
. The film is widely available online.
Premise
The film makers posit that the profit from issuing money is currently being used in the United States to benefit a few wealthy individuals. It further argues that this situation should be remedied, so that the profit benefits the public good, as during four periods in the history of the United States. Finally it presents a proposed piece of legislation, the Monetary Reform Act, to implement such a remedy. As support, the film provides many quotations from notable figures including economistEconomist
An economist is a professional in the social science discipline of economics. The individual may also study, develop, and apply theories and concepts from economics and write about economic policy...
s, members of the financial system
Financial system
In finance, the financial system is the system that allows the transfer of money between savers and borrowers. A financial system can operate on a global, regional or firm specific level...
, kings of England
British monarchy
The monarchy of the United Kingdom is the constitutional monarchy of the United Kingdom and its overseas territories. The present monarch, Queen Elizabeth II, has reigned since 6 February 1952. She and her immediate family undertake various official, ceremonial and representational duties...
and United States presidents
President of the United States
The President of the United States of America is the head of state and head of government of the United States. The president leads the executive branch of the federal government and is the commander-in-chief of the United States Armed Forces....
.
The film criticises fractional-reserve banking
Fractional-reserve banking
Fractional-reserve banking is a form of banking where banks maintain reserves that are only a fraction of the customer's deposits. Funds deposited into a bank are mostly lent out, and a bank keeps only a fraction of the quantity of deposits as reserves...
and the control aspects of both modern banking regulation and centralized banking
Central bank
A central bank, reserve bank, or monetary authority is a public institution that usually issues the currency, regulates the money supply, and controls the interest rates in a country. Central banks often also oversee the commercial banking system of their respective countries...
systems such as the Federal Reserve System
Federal Reserve System
The Federal Reserve System is the central banking system of the United States. It was created on December 23, 1913 with the enactment of the Federal Reserve Act, largely in response to a series of financial panics, particularly a severe panic in 1907...
. It describes the history of money and banking, how central banks came to be and how they operate.
The film describes how the U.S. Congress
United States Congress
The United States Congress is the bicameral legislature of the federal government of the United States, consisting of the Senate and the House of Representatives. The Congress meets in the United States Capitol in Washington, D.C....
gave the power of money creation
Money creation
In economics, money creation is the process by which the money supply of a country or a monetary region is increased due to some reason. There are two principal stages of money creation. First, the central bank introduces new money into the economy by purchasing financial assets or lending money...
to private banks through the Federal Reserve Act
Federal Reserve Act
The Federal Reserve Act is an Act of Congress that created and set up the Federal Reserve System, the central banking system of the United States of America, and granted it the legal authority to issue Federal Reserve Notes and Federal Reserve Bank Notes as legal tender...
and how the banks accumulate large amounts of interest using this power. It asserts that wealth is slowly being drawn into the hands of a small banking elite at the expense of the general population. This can be seen through such events as the 1929 stock market crash when a broker's call
Broker's call
Broker's call, also known as the Call loan rate, is the interest rate relative to which margin loans are quoted. Individuals may borrow on margin a part of the funds they use to buy their securities from their broker...
was issued, triggering the crash which further solidified the power of the Federal Reserve.
The film argues that there is no publicly owned gold left in Fort Knox
Fort Knox
Fort Knox is a United States Army post in Kentucky south of Louisville and north of Elizabethtown. The base covers parts of Bullitt, Hardin, and Meade counties. It currently holds the Army Human Resources Center of Excellence to include the Army Human Resources Command, United States Army Cadet...
The film also asserts that the Federal Reserve System enables private banks to force recession
Recession
In economics, a recession is a business cycle contraction, a general slowdown in economic activity. During recessions, many macroeconomic indicators vary in a similar way...
s at will by refusing to offer new loans while simultaneously demanding payment on existing loans. It asserts that this power has been used a number of times since the 1913 creation of the Federal Reserve.
The film asserts or implies that bankers have intentionally caused a number of significant events, including Abraham Lincoln's assassination, the War of 1812
War of 1812
The War of 1812 was a military conflict fought between the forces of the United States of America and those of the British Empire. The Americans declared war in 1812 for several reasons, including trade restrictions because of Britain's ongoing war with France, impressment of American merchant...
, the Battle of Waterloo
Battle of Waterloo
The Battle of Waterloo was fought on Sunday 18 June 1815 near Waterloo in present-day Belgium, then part of the United Kingdom of the Netherlands...
, the American Civil War
American Civil War
The American Civil War was a civil war fought in the United States of America. In response to the election of Abraham Lincoln as President of the United States, 11 southern slave states declared their secession from the United States and formed the Confederate States of America ; the other 25...
, the Russian Revolution, and the Great Depression.
The film asserts that by the end of World War I
World War I
World War I , which was predominantly called the World War or the Great War from its occurrence until 1939, and the First World War or World War I thereafter, was a major war centred in Europe that began on 28 July 1914 and lasted until 11 November 1918...
, private banks owned and controlled much of the United States' newspaper, news magazine, and film outlets and that they achieved this using consolidated wealth generated by fractional-reserve banking. It argues that these banks have influence over the mainstream media
Mainstream media
Mainstream media are those media disseminated via the largest distribution channels, which therefore represent what the majority of media consumers are likely to encounter...
through their ownership and that this influence is used to prevent criticism of the financial monopoly from entering the general public's consciousness.
The film argues that placing our economy back on a gold standard will not solve the economic crisis. The scarcity of gold means it is one of the easiest commodities to manipulate. Attempts have been made to outlaw silver, such as the Coinage Act of 1873, which caused outrage and was termed the crime of 1873.
By way of conclusion, the film advocates a Monetary Reform Act and suggests that fractional-reserve banking and the Federal Reserve System be abolished in favor of 100% reserve banking, also known as warehouse banking. These reserves would come from the U.S. Treasury, which would issue non-interest generating money to repay the public debt to the banks. This would happen over a period of one year. As the government repaid its debt, the banks would be required to hold the government's new money as reserves and the reserve rate would slowly be increased to 100%. It is claimed that thus, there would be no inflation or imbalance in the amount of money in circulation. The issuing of new money would then be controlled. In order to prevent inflation, issuance would be according to population statistics. After the public debt was repaid, money that would previously have been interest on the debt would be distributed by the government as a tax refund, leading to the abolition of the Federal income tax.
Distribution, reception, and longevity
According to the producer, 50,000 units of The Money Masters were sold between 1995 and 2001. An article containing the basic ideas presented in the documentary has appeared in Nexus magazine in several languages.Even 15 years after its release, the film still has considerable popularity, gaining interest from an audience first introduce to this subject through other documentaries such as Zeitgeist
Zeitgeist, the Movie
Zeitgeist: The Movie is a 2007 documentary film by Peter Joseph. It asserts a number of conspiracy theory-based ideas, including the Christ myth theory, alternative theories for the parties responsible for the September 11 attacks in 2001 and that bankers manipulate the international monetary...
. The film was aired in its entirety by PBS affiliate stations in 2002 and 2008.
In a 2004 review, a VUE Weekly editor wrote: "The fruit of Carmack and Still’s labour is The Money Masters, their notoriously lengthy but captivating 1995 documentary about the history of money and the people who have sought to control it over the past 300 years." In a 2006 critique, G. Edward Griffin
G. Edward Griffin
G. Edward Griffin is an American film producer, author, and political lecturer. He is perhaps best known as the author of The Creature from Jekyll Island , a critique of much modern economic theory and practice, specifically the Federal Reserve System.Starting as a child actor, he became a radio...
stated that he found the film worthwhile, but called William's Still's approach to monetary reform
Monetary reform
Monetary reform describes any movement or theory that proposes a different system of supplying money and financing the economy from the current system.Monetary reformers may advocate any of the following, among other proposals:...
"naive." In a 2009 review, Nomi Prins
Nomi Prins
Nomi Prins is an American author, journalist, and Senior Fellow at Demos. She has worked as a director at Goldman-Sachs and as an analyst at Bear Stearns. Prins is known primarily for her whistleblower book, It Takes a Pillage: Behind the Bonuses, Bailouts, and Backroom Deals from Washington to...
writing in Cineaste
Cineaste
Cineaste is a film magazine published quarterly. It has been publishing reviews, in-depth analyses and interviews since 1967. The magazine independently operates out of New York City with no financial ties to any film studios or academic institutions...
magazine described the documentary as : "...[doing] a superb job of revealing the truth behind the Fed and the powerful global financiers whose self-interest has dictated our banking system from the beginning. One gets the feeling that, had there been a larger budget for this film, the rather drab and grainy production values might have been improved. But if you can get past the low-budget style, you’ll find the content extremely compelling." (Prins has been very critical of the banking establishment and the Federal Reserve.) In 2008, the film was profiled in a review at the conservative WorldNetDaily news site. As of February, 2010, the film is ranked #15 in the "Top 50 Documentaries" listed at the Movies Found Online web site. As recently as 2009, a review of the film was presented at an international monetary conference. The film has also been cited by conservative commentators including Patrick J. Buchanan.
The Secret of Oz
Still repackaged some of the material covered in The Money Masters in a 2009 film titled The Secret of Oz. The documentary draws parallels with the classic children novel The Wonderful Wizard of OzThe Wonderful Wizard of Oz
The Wonderful Wizard of Oz is a children's novel written by L. Frank Baum and illustrated by W. W. Denslow. Originally published by the George M. Hill Company in Chicago on May 17, 1900, it has since been reprinted numerous times, most often under the name The Wizard of Oz, which is the name of...
written by L. Frank Baum
L. Frank Baum
Lyman Frank Baum was an American author of children's books, best known for writing The Wonderful Wizard of Oz...
depicting the story hidden in symbolism about monetary reform and the economic scenario during the late 19th century.
The yellow brick road (gold standard), the Scarecrow (farmers), the Tin Man (industrial workers), the Wicked Witch of the West (Cleveland banker J.D. Rockefeller) and the Wicked Witch of the East (NY banker J.P.Morgan), the Emerald City of Oz (greenback money), the illusory power of the Wizard in the capitol city (who monopolized power through deceit), even Dorothy’s silver slippers (changed to ruby slippers for the color movie version -symbols of Baum’s and Bryan’s belief that adding silver coin to gold coin would provide much needed money to a depression-strapped, 1890s America). Oz is a virtual forest of monetary reform symbolism, done by someone extremely well versed in the Populist monetary reform goals of the period (Baum was a newspaperman and author) – goals which have never changed - they are still valid today, they are needed now more than then.
The Gold Standard representation of the story
In 1964, Henry LittlefieldHenry Littlefield
Henry M. Littlefield was an American educator, author and historian most notable for his claim that The Wonderful Wizard of Oz was a political satire, founding a long tradition of Political interpretations of The Wonderful Wizard of Oz...
claimed that the book contained an allegory of the late 19th-century debate regarding monetary policy According to this view, the "Yellow Brick Road" represents the gold standard
Gold standard
The gold standard is a monetary system in which the standard economic unit of account is a fixed mass of gold. There are distinct kinds of gold standard...
, the silver slippers (ruby in the film version) represent the sixteen to one silver ratio (dancing down the road). The thesis achieved some popular interest and elaboration but is not taken seriously by literary historians.
See also
- Austrian SchoolAustrian SchoolThe Austrian School of economics is a heterodox school of economic thought. It advocates methodological individualism in interpreting economic developments , the theory that money is non-neutral, the theory that the capital structure of economies consists of heterogeneous goods that have...
- Currency WarsCurrency WarsCurrency Wars by Song Hong bing, also known as The Currency War, is a bestselling book in China, reportedly selling over 200,000 copies and is reportedly being read by many senior level government and business leaders in China...
- Milton FriedmanMilton FriedmanMilton Friedman was an American economist, statistician, academic, and author who taught at the University of Chicago for more than three decades...
- Gold as an investmentGold as an investmentOf all the precious metals, gold is the most popular as an investment. Investors generally buy gold as a hedge or harbor against economic, political, or social fiat currency crises...