Locke and Load

Two of My Posts Removed...

...possibly permanently, pending further research into something I read on Division of Labour.

The first post, "Brain Teaser of the Week," dated 10/5/2005, posed the question, "Why is counterfeiting a federal crime while Treasury seigniorage is not?" The second post, "Money vs. Wealth," dated 10/16/2005, relied heavily on the first.

It's possible that both are a crime. From the DOL post:

The atheist who is fighting to take the phrase "under God" out of the Pledge of Allegiance filed a lawsuit late Thursday seeking to prevent the U.S. government from printing the national motto -- "In God We Trust" -- on any future coins or paper money.

In the suit filed with the U.S. District Court in Sacramento, Calif., Michael Newdow claims that the present use of the phrase "violates the Establishment and Free Exercise Clauses of the United States Constitution," and he seeks to stop the government from using it on mint coins and print currency, as well as in "any act or law."

Newdow’s suit fails to challenge what’s really unconstitutional about our present currency notes and coins, namely that the US government is not empowered to issue fiat money. Article I, Section 8 grants Congress the power to “coin money”, but not to print money. Article I, Section 10 forbids any state to "coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts". No section empowers the Congress to emit bills of credit (paper money) or to declare anything but gold and silver coin a legal tender.

Read the whole thing, and follow the links here. The Cato Institute makes an excellent case that all fiat currency is unconstitutional here.

posted by Immanuel Can't @ 7:11 PM