Mary E. Hobart Issues the Most Important Economic Challenge of Our Age

7 posts / 0 new
Last post
DrKrbyLuv's picture
DrKrbyLuv
Status: Diamond Member (Offline)
Joined: Aug 10 2008
Posts: 1995
Mary E. Hobart Issues the Most Important Economic Challenge of Our Age

Kind reader, before perusing this little work, you are earnestly requested to lay aside all prejudice and preconceived ideas, and examine the facts and demonstrations herein set forth in the spirit of a truth seeker.

The subject of money has for so many centuries been surrounded by complexities and superstitions, and shrouded in mystifications, purposely imposed upon the unthinking masses, that it would seem like egotism on the part of any ordinary mortal to attempt to clear the subject of its obscurities.

A reward has been offered for the purpose of giving prominence to a fact which is a disturbing element in our financial system, and which clearly accounts for the vast number of business failures which are taking place yearly throughout the United States. This mathematical law seems to have been unobserved by all our writers on finance, and it is to be hoped that this formula will unite all scientists in condemning the system of loaning money. If any criticism are to be made on this work, let them be made in the name of science and supported by logical and mathematical demonstration.

A complete history of all the want, misery, crime and distress brought to the people of the United States by the means of financial panics brought about by the suspension of specie payments and bank failures would fill volumes with records of untold suffering. Upon every page would be inscribed the wail of starving children, the breaking hearts of women, and the blighting despair which comes to manhood when the toil of his best years has been swept away forever.

The great robber of all our financial prosperity is the legalized power of the dollar to draw interest. It is only legalized power because the dollar is a dead, inanimate piece of matter utterly destitute of the power of increase and when we give it the power to draw interest we give it the power to disturb our business, bankrupt our merchants, to foreclose our real estate and to rob labor of its just rewards. To substantiate these statements we need not at all resort to theory. There is an abundant mathematical proof. Whenever we operate with numbers we have mathematical law and the operations which we perform with numbers must conform to mathematical law and be susceptible of mathematical proof. Our present monetary system was established by legislation, without any reference to the mathematical science of numbers.

Let a==the amount of a contract (which is the sum of the principal and interest).
p==the principal.
r==the rate per cent.
t==the time

Now p==a at the date the contract is drawn, and p+prt/100==a at the time the contract expires. Quantities that are equal to like quantities are equal to each other. Hence p==p+prt/100 which is impossible

This formula shows that the contract is impossible, that prt/100 calls for a production of money and cannot be canceled by a production of values. Neither can it be eliminated by a contraction of t, which constantly increases pr/100. This being true of one contract it must be true of any number of contracts with the credit system may contain. This formula solves one of the important problems of the age and is presented to the scientific people of America for inspection.*

* A reward of $500 will be given to the first person who demonstrates this formula to be mathematically false.

The mathematical conclusion which must be drawn from this formula is that the interest on our circulating medium is imaginary and impossible, and under our present system must be satisfied by securities, which is legalized robbery...This condition corresponds precisely to the past history of the credit system. It has centralized the real estate of Great Britain into the hands of the noble(?) few and converted her hardy yeomanry into tenant farmers and paupers. One half of England is said to be actually owned by twelve persons and the other half by less than 20,000. What this system has done for Great Britain it will do for America.

The only remedy suggested, is to open the flood-gate of coinage and give the river a little more power. This enormous debt is a monument of our ignorance and stupidity. We possess the intelligence to measure vast distances of suns and worlds, to weigh their masses and determine their chemical compositions, but we have utterly failed to frame a system by which we can adjust and balance our social debts and credits without leaving an evidence of debt behind in the form of bonds, mortgages and interest.

This enormous volume of debt is yearly increasing, and can never be liquidated under our present system, because our circulating medium can only be obtained by borrowing, thus still further increasing the debt. 

Excerpt from A Scientific Exposure of the Errors in Our Monetary System, published 1891

If you successfully completed the Crash Course this information should be not be new as the exponential growth of debt (from interest) is explained in detail. 

It is important to note that at the time Mary Hobart wrote this, virtually all of the paper money in circulation were silver or gold certificates (mostly silver).  And, coins worth a dollar or more were all made of silver or gold.  The point clearly being that the species of money doesn't matter if interest is charged.  And, there was no Federal Reserve or a central bank in the United States.  It all comes down to interest charges which have been the cornerstone of banking profits.

Here we are, more than 100 years later and we are going bankrupt as a nation because the science of money has not advanced one step.  If we don't understand the problem we will never find a solution.  Why are there no prominent economists or politicians discussing this terminal flaw in our money system?  Why isn't this being taught in our schools and universities?

1886 Silver Certificate   

Larry

LogansRun's picture
LogansRun
Status: Diamond Member (Offline)
Joined: Mar 18 2009
Posts: 1444
Re: Mary E. Hobart Issues the Most Important Economic ...
DrKrbyLuv wrote:

Kind reader, before perusing this little work, you are earnestly requested to lay aside all prejudice and preconceived ideas, and examine the facts and demonstrations herein set forth in the spirit of a truth seeker.

The subject of money has for so many centuries been surrounded by complexities and superstitions, and shrouded in mystifications, purposely imposed upon the unthinking masses, that it would seem like egotism on the part of any ordinary mortal to attempt to clear the subject of its obscurities.

A reward has been offered for the purpose of giving prominence to a fact which is a disturbing element in our financial system, and which clearly accounts for the vast number of business failures which are taking place yearly throughout the United States. This mathematical law seems to have been unobserved by all our writers on finance, and it is to be hoped that this formula will unite all scientists in condemning the system of loaning money. If any criticism are to be made on this work, let them be made in the name of science and supported by logical and mathematical demonstration.

A complete history of all the want, misery, crime and distress brought to the people of the United States by the means of financial panics brought about by the suspension of specie payments and bank failures would fill volumes with records of untold suffering. Upon every page would be inscribed the wail of starving children, the breaking hearts of women, and the blighting despair which comes to manhood when the toil of his best years has been swept away forever.

The great robber of all our financial prosperity is the legalized power of the dollar to draw interest. It is only legalized power because the dollar is a dead, inanimate piece of matter utterly destitute of the power of increase and when we give it the power to draw interest we give it the power to disturb our business, bankrupt our merchants, to foreclose our real estate and to rob labor of its just rewards. To substantiate these statements we need not at all resort to theory. There is an abundant mathematical proof. Whenever we operate with numbers we have mathematical law and the operations which we perform with numbers must conform to mathematical law and be susceptible of mathematical proof. Our present monetary system was established by legislation, without any reference to the mathematical science of numbers.

Let a==the amount of a contract (which is the sum of the principal and interest).
p==the principal.
r==the rate per cent.
t==the time

Now p==a at the date the contract is drawn, and p+prt/100==a at the time the contract expires. Quantities that are equal to like quantities are equal to each other. Hence p==p+prt/100 which is impossible

This formula shows that the contract is impossible, that prt/100 calls for a production of money and cannot be canceled by a production of values. Neither can it be eliminated by a contraction of t, which constantly increases pr/100. This being true of one contract it must be true of any number of contracts with the credit system may contain. This formula solves one of the important problems of the age and is presented to the scientific people of America for inspection.*

* A reward of $500 will be given to the first person who demonstrates this formula to be mathematically false.

The mathematical conclusion which must be drawn from this formula is that the interest on our circulating medium is imaginary and impossible, and under our present system must be satisfied by securities, which is legalized robbery...This condition corresponds precisely to the past history of the credit system. It has centralized the real estate of Great Britain into the hands of the noble(?) few and converted her hardy yeomanry into tenant farmers and paupers. One half of England is said to be actually owned by twelve persons and the other half by less than 20,000. What this system has done for Great Britain it will do for America.

The only remedy suggested, is to open the flood-gate of coinage and give the river a little more power. This enormous debt is a monument of our ignorance and stupidity. We possess the intelligence to measure vast distances of suns and worlds, to weigh their masses and determine their chemical compositions, but we have utterly failed to frame a system by which we can adjust and balance our social debts and credits without leaving an evidence of debt behind in the form of bonds, mortgages and interest.

This enormous volume of debt is yearly increasing, and can never be liquidated under our present system, because our circulating medium can only be obtained by borrowing, thus still further increasing the debt. 

Excerpt from A Scientific Exposure of the Errors in Our Monetary System, published 1891

If you successfully completed the Crash Course this information should be not be new as the exponential growth of debt (from interest) is explained in detail. 

It is important to note that at the time Mary Hobart wrote this, virtually all of the paper money in circulation were silver or gold certificates (mostly silver).  And, coins worth a dollar or more were all made of silver or gold.  The point clearly being that the species of money doesn't matter if interest is charged.  And, there was no Federal Reserve or a central bank in the United States.  It all comes down to interest charges which have been the cornerstone of banking profits.

Here we are, more than 100 years later and we are going bankrupt as a nation because the science of money has not advanced one step.  If we don't understand the problem we will never find a solution.  Why are there no prominent economists or politicians discussing this terminal flaw in our money system?  Why isn't this being taught in our schools and universities?

1886 Silver Certificate   

Larry

I think the above questions are what every American (or any other nationality that is a slave to the banking elite) should be asking.  When the truth is found out, I think revolution would be at hand.  With this, the "truth" is unbelievably complicated and entails every aspect of our lives, upbringing, education, culture, etc.....  Even the ability to see the "truth" has been taken from our consciousness.  

Carl Veritas's picture
Carl Veritas
Status: Gold Member (Offline)
Joined: Oct 23 2008
Posts: 294
Re: Mary E. Hobart Issues the Most Important Economic ...

Larry,

I will try to locate a copy of the book and  actually read it before making any comment.     When you read the book, did she mention who was doing all the borrowing?    Thanks.

DrKrbyLuv's picture
DrKrbyLuv
Status: Diamond Member (Offline)
Joined: Aug 10 2008
Posts: 1995
Re: Mary E. Hobart Issues the Most Important Economic ...

Carl,

You can read it online for free and it is not too long.  I provided the link, but here it is again:

A Scientific Exposure of the Errors in Our Monetary System, Mary E. Hobart, Published 1891

Here's an outline:

  • P R E F A C E
  • INTRODUCTION
  • OUR FINANCIAL CONDITIONS CLEARLY STATED
  • Four financial fallacies
  • Financial fallacy of a metallic currency
  • Fallacy of intrinsic value in gold and silver
  • Mathematical fallacy of interest
  • Bonded debts
  • The fallacy of awarding to bankers, corporations and private individuals the right to loan and control our medium of exchange

Larry

DrKrbyLuv's picture
DrKrbyLuv
Status: Diamond Member (Offline)
Joined: Aug 10 2008
Posts: 1995
Re: Mary E. Hobart Issues the Most Important Economic ...

LogansRun wrote:

When the truth is found out, I think revolution would be at hand. With this, the "truth" is unbelievably complicated and entails every aspect of our lives, upbringing, education, culture, etc..... Even the ability to see the "truth" has been taken from our consciousness.

Well said! 

This is a good example as Mary E. Hobart is presenting mathematical proof, in the form of a simple equation, that our system cannot be sustained.   She establishes the reason for our current situation and it may be clearly seen as a mathematical certainty.  While this is surely a key fundamental flaw, it is not shown on TV or discussed by economists, politicians or pundits. 

Their reassurance is needed because self evident truths have been replaced by rationalizations, spin and denial. 

 

When the fox fails to reach the grapes, he decides he doesn't want them anyway, an example of adaptive preference formation designed to reduce cognitive dissonance  - The Fox and the Grapes by Aesop

Let a==the amount of a contract (which is the sum of the principal and interest).

p==the principal.

r==the rate per cent.

t==the time

Now p==a at the date the contract is drawn, and p+prt/100==a at the time the contract expires. Quantities that are equal to like quantities are equal to each other. Hence p==p+prt/100 which is impossible

It is liberating to find truth and order in contrast to the chaos spun by the governBank and their paid dupes.

Larry 

Carl Veritas's picture
Carl Veritas
Status: Gold Member (Offline)
Joined: Oct 23 2008
Posts: 294
Re: Mary E. Hobart Issues the Most Important Economic ...

Larry:

http://en.wikipedia.org/wiki/Coin_clipping              Coin Clipping:   is the act of shaving off a small portion of a precious metal coin for profit.   Coins of the realm would be shaved and melted to produce more coins.    The result was coins  cointained less and less  gold and the market. This  counterfeiting was practiced by ancient Kings to fatten their treasuries.   It was later punishable by death in England. See Treason act 1415.

Mary E. Hobart tried to pass this off as that old  "there s just not enough gold"   misdirection antic.

Under    Chapter 111    Financial Fallacy Of A Mettallic Currency

The author described how beginning with William the Conqueror, Britains rulers and later other European rulers were dividing their kingdom's coinage into larger and larger quantities    " on account of the failing capacity of gold and silver to exchange the productions of the people"

"The honest attempt of the crowned Kings and Queens of Europe to relieve the necessities of the people . .. ..."

What a mess.

 

 

PfMPE's picture
PfMPE
Status: Member (Offline)
Joined: Dec 4 2010
Posts: 2
Re: Mary E. Hobart Issues the Most Important Economic ...

Larry,

She describes Mathematically Perfected Economy by Mike Montgane in it´s basic form.

MPE however takes care of many more things to make this work.

 

Great find though, thanks

 

 

 

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Login or Register to post comments