In 1936, Father Charles E.
Coughlin, a Catholic priest of the Diocese of Detroit, U.S.A., and
founder of “The National Union for Social Justice”, wrote a book
entitled “Money! Questions and Answers”. One can read in the
foreword: “Because money is the most vital and fundamental problem to
be solved before social justice can be reestablished, this is the first
of a series of books which will deal with the entire program of social
As William Jennings Bryan put it (see Chapter
49), as long as the Federal Government does not take back its power
to issue the money for our nation, there is no other reform that can be
accomplished. In other words, if one does not want to correct the
financial system, one goes round in circles; one wastes his time, no
matter what organization one belongs to. This is why the “Michael”
Journal lays so much stress upon that issue, which is of the utmost
importance: every Canadian citizen must absolutely understand the
urgency for the Federal Government to take back its power to issue,
create the money for our nation, instead of borrowing it at interest
from private banks, which brings about unrepayable debts. In the
following excerpts from his book, Father Coughlin speaks about the
U.S.A., but his arguments apply just as well to Canada or any other
Charles E. Coughlin
the National Union for Social Justice appreciates the splendid efforts
which noble statesmen have made in the past to restore to Congress the
power to coin money and regulate its value, there is also the
realization that these efforts have been in vain because an uninformed
and misinformed people have labored under the delusion that switching
party politics instead of changing the money policies was the key to
contentment and prosperity...
Constitution and money
How is personal, physical life sustained under
the exchanging of goods and services.
How is this exchange of goods and services
the medium of money, which was originated by social necessity to make
possible exchanges of varieties of articles and articles of unequal
Is the substance of which money is made important?
It is the legal status given it by government stamp that makes it
acceptable by all as money, whether it be made of metal, or of paper.
Who should create money?
Government, representing all of the people.
In our country (the U.S.A.), what governing body should
represent all of the people?
Congress of the United States.
Does the Constitution of the United States provide that
Congress should originate our money?
Yes. It is very specific and well defined: “Congress shall have the power to coin money and regulate the value thereof, and of foreign coin”. Article 1, Section 8, Part 5.
Under existing laws, does our National Government
originate our money?
only to a very limited extent.
Who does originate (create) our money?
corporations, commonly called banks, now originate practically all of
Why have private individuals usurped and exercised the
sovereign power of issuing our money?
when that power is held and exercised by private individuals, they can
and do control the entire economic, social and governmental system and
derive enormous, illicit, profits therefrom.
Under our present private money-creating system, what
do the bankers get for nothing?
get interest on the money they create and lend, and title to people's
properties by confiscation of properties pledged, if the loans are not
repaid at a specific time.
Can Congress delegate a power, reserved to it by the
Constitution as a public function, to be operated for private profit
not without violating the Constitution of the United States.
Has Congress delegated for private profit and without
specification the power to originate our money?
by the National Bank Act of 1863, and the Federal Reserve Act of 1913,
as well as intermediary and subsequent enactments.
Why does this violation continue?
every time a Franklin, a Jefferson, a Jackson, or a Lincoln, or any
other honest public servant attempted to arouse the people to the fraud
from which they suffer, the private money creators — international
bankers — arose in their might and used their controlled press, their
bootlick politicians, their office boy bankers, their docile clergymen,
and their power over the prosperity of America, to smash the drive for
economic freedom. Thus far, they have succeeded.
How can Congress regain its privilege of issuing our
is no need to regain what it has not the right to surrender. It still
has that right, and can, and should immediately resume the exercise of
this most important constitutional command.
Are the Federal Reserve Banks really Federal?
are not. The Federal Reserve Banks are private stock corporations owned
entirely by other private corporations known as member banks. They are
no more Federal than the Federal Bakery or Federal Laundry.
What is a Federal Reserve Bank?
is a Central Bank, the bankers' bank.
If banks, then, are debt shops where money is
manufactured for the purpose of creating debts, is money issued
primarily for usurious purposes?
Money comes into existence from the banks only as
“interest-bearing-loans” which interest must be paid by every person
who uses money.
What is usury?
is a breach against the commandment “Thou shalt not steal”, and is
related to three specific immoral actions listed under the following:
(a) Charging an unreasonable and abnormal rate of interest. (b) Charging
interest on any recognized non-productive or destructive loan. (c)
Charging interest on a loan of fictitious money which the lender
created, thereby demanding from the borrower an unjust return, in the
latter case, the lender reaps where he did not sow.
Is usury opposed to morality?
and it is also opposed to Christian teaching.
of a dishonest money system
What will happen if the present money system is
continued and if the present policies endure?
Private individuals will coin money for their own personal gain.
Corporations organized for production, such as automobiles, steel and
textiles, will be under the domination of the private money creators.
The government itself will be dominated by the money plutocrats.
The press, dependent upon advertising received from banker-dominated
corporations and commercial houses, will continue to deceive the people.
The educational system will continue to ostracize the truths of
economics from our schools.
The citizens, weighed down by the unbearable costs of war and
depression, will be inclined to blame a democratic form of government
and unwittingly relinquish the liberties already won for the bare
necessities of life, which the plutocrats will allow them only at the
sacrifice of liberty. Dictatorship will necessarily ensue.
of an honest money system
What will happen after an honest money system is
established? An honest money system will help us:
To restore sovereignty over money to its rightful possessors, namely,
the People, through Congress.
To rid Congress of servile politicians.
To eliminate from domination over the government the manipulators of
money who oftentimes were the cause of war.
To insure lasting peace among nations whose governments will be able to
legislate laws independent of the international money changers.
To make possible the real freedom of the press and the teaching of the
truth in all schools, freed once and for all from the domination of
To permit Christian virtue to be practised when want is destroyed in the
midst of plenty.
Father Coughlin concludes his book with the following
Without economic freedom, both physical and political
liberty are meaningless. Their existence depends almost totally upon
financial freedom. It is essential that we Americans recapture our
sovereign right of coining and regulating our money and of foreign coin.
It is essential that we cease paying tribute to the Federal Reserve
Banks who create our money out of nothing and lend it into use with an
invisible tax appended to it. It is either your money or your life.
You must act like apostles who have learned the truth.
You must spread the gospel of financial freedom even at the cost of life
itself... Form your battalions, independent of the leadership of the
press, the politician and the poltroon! Cast aside your lethargy!
In the name of Christianity, I implore you to
participate in duplicating the miracle of the Master Who fed the hungry
multitudes. This can be accomplished by insisting, by demanding the
institution of an honest money system... The money changers must be
driven from the temple of America. If we of this generation, numbed with
the opiate of indifference and cowered by the appeals to selfishness,
fail to dislodge the radical rule of the money changers, may we go to
our graves unwept, unhonored and unsung!