1890-1940 Three Cents State of Wyoming 50th Anniversary Equal Rights Live Stock Mines Grain Oil

This is Part Twenty Six of a series showing how inflation, postage, history, economics, religion, education, and specie are combined into one great whole.

Part Twenty Six. Why study gold and silver specie as legal tender in Wyoming?

Wyoming USA 20C Western Meadowlark & Indian Paintbrush- State bird.

If you have followed the previous columns on inflation, note this article entitled Gold and Silver Are Money Again in Wyoming.

USA 25 Wyoming 1890, centennial 1990.

In part, we read ‘’ The Wyoming Legal Tender Act (HB103) removed tax penalties from people who choose to use gold and silver specie as a currency of exchange. In plain English, this statute provides a way for men and women of Wyoming to buy and sell gold and silver without having to treat it as a capital gain, thus reducing the reach of the Federal Reserve inside the sovereign borders of their state.’’ 34 USA Greetings from Wyoming 2002

The U.S. Constitution reads Article 1 section 10 ‘’No State shall enter into any Treaty, Alliance, or Confederation; grant Letters of Marque and Reprisal; coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts; pass any Bill of Attainder, ex post facto Law, or Law impairing the Obligation of Contracts, or grant any Title of Nobility.’’

U.S. Postage 50th Anniversary Devils Tower National Monument 3c 1956

The Federal Reserve banking system was formed just before the great war, about 1913, to provide liquidity for commerce, the reverse of the barter system. The system clears checks and commercial paper, and creates money by extending credit. J.P. Morgan reportedly commented, ‘the Federal Reserve system was better than printing money.’ Why? Because besides printing the money, the Federal Reserve uses the full faith and credit of the United States to loan the printed notes – money – back to the United States and in return, collect interest on the loans on the United States own credit. Amazing!

USA 17.50 Old Faithful

Half of the Federal Reserve bank deposits in America are within the New York Federal Reserve district (which is New York City, Westchester County, Long Island, northern New Jersey, and Fairfield County in Connecticut.) The other rest of the deposits are spread out between markets such as  Boston, Philadelphia, Cleveland, Richmond, Atlanta, Chicago, St. Louis, Minneapolis, Kansas City, Dallas, and San Francisco. Imagine commercial markets in Chicago, Los Angeles, Houston, Washington, New Orleans, or Seattle, not having a tenth or less of the New York Fed’s deposits.  The Federal Reserve is privately owned, with Governors politically appointed.

To read about how Wyoming brought back gold and silver, read

https://www.utahstandardnews.com/gold-and-silver-are-money-again-in-wyoming/#comment-335

2012 Forever USA Wyoming flag.

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