For months the top leaders of the European Union resisted the idea of a bailout for Greece, wringing their hands over the estimated $61 billion cost. While the jawboning continued, the infection took hold. Bond vigilantes drove the Greeks' borrowing costs into the double digits. Investors, fearing a contagion in Europe's southern tier, dumped the stocks and bonds of Portugal and Spain. As it spread, markets started to pummel European banks and insurers for their exposure to what could prove to be one of the worst sovereign debt disasters ever. A bank crisis and a debt crisis rolled into one—the medical bills for this extreme case will make Europe long for the modest $61 billion of just a few weeks past.
This is the trap of a private central bank issuing the public currency at interest. The moment that first note goes into circulation, more money is owed to the private central bank than is actually in existence. Repayment of the debt is impossible. That is the trap.
The founders of the United States saw the trap clearly, which is why they set up a Treasury Department that issued the public currency interest free, to prevent private bankers from enslaving the public labor.
“The refusal of King George 3rd to allow the colonies to operate an honest money system, which freed the ordinary man from the clutches of the money manipulators, was probably the prime cause of the revolution.” – Benjamin Franklin, Founding Father
Sadly, greed by politicians sold this nation back into the same private bankers' trap in 1913. There can be only one outcome and because people who have spent their lifetimes addicted to other peoples' money would rather die than surrender their wealth, the path we were placed on ultimately ends with the bankers and their politician lackeys hanging from the streetlamps.