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The Prophetic History of the United States

This book devotes its chapters to specific important dates in the history of the USA, beginning with Columbus' arrival to the New World in 1492. It shows the connecting links to the biblical history of Israel and the 2,520-year cycle that culminate in modern times. There are also Cursed Time cycles and Judged Time cycles that help explain the meaning of these historical events.

Category - Short Book

Chapter 4

1914 The Babylonian Captivity

The year 1914 was 2,520 years after Babylon became an empire (607 B.C.). We see history repeating itself in 1914, when a New Babylonian Empire was created. The book of Revelation refers to it as “Mystery Babylon,” because it was a secret empire hidden from ordinary people.

On Dec. 23, 1913 the Federal Reserve Act was passed, and it was signed into law in February 1914. This Act created a neo-Babylonian Empire in the modern world and put us into financial bondage to certain bankers of Europe who controlled political leaders through the power of money.

Most people who understand the basic problem view this event as purely the result of smart bankers, ignorant people, and corrupt politicians. I view it as a judgment from God in the same manner as Jerusalem was divinely judged in the days of Jeremiah. But let us look briefly at the rise of this financial Babylon.

In 1604 war ended Spain's dominance in North America and gave Britain the region known as the Virginia Grant. The Crown was then anxious to bring settlers to form a colony in this part of the world, and so gave the colonists much freedom as an incentive to live there. In the first charter of Virginia in 1606, Article X dealt with financial freedom:

"And that they shall, or lawfully may, establish and cause to be made a coin, to pass current there between the people of those several Colonies, for the more ease of traffic and bargaining amongst them and the natives there, of such metal and in such manner and form, as the said Councils shall there limit and appoint."

The American Colonists thus created their own money and put it into circulation by public expenditures until such time as there was sufficient money in circulation to equal the amount of real wealth and goods being produced. As long as government kept the amount of money roughly equal to its actual production, there was neither inflation nor deflation.

But then in 1694 the Bank of England was formed, which gave its private bankers the right to create money, and it was not long before these bankers looked upon the Colonists' currency as a competing currency. They looked upon the prosperity of the Colonies with covetous eyes and began to manipulate the monarchs into oppressive laws that would transfer Colonial wealth into their own hands.

In 1741 the English government was induced to suppress the Land Bank in Massachusetts. Ten years later Parliament "enacted a law forbidding any further issue of legal tender or bills of credit by the New England Colony, and in 1764 this earlier prohibition was extended to all other Colonies." (The Money Creators, by Gertrude Coogan, p. 178).

This was "a direct usurpation of the rights granted by the Crown to the Colonial assemblies. Willing Kings had granted those rights a hundred years before--several generations before the money creators usurped money powers in England." (Coogan, p. 183)

Benjamin Franklin wrote often that this was the real cause of the American Revolutionary War. It was not merely "taxation without representation," although that was another major Colonial right that had been usurped.

And so, after Independence had been won, and the new States were writing their Constitution, Franklin was most vocal in insisting upon the passage of Article 1, Section 3, Part 3: "Congress shall have power to coin money and regulate the value thereof."

The value of money is regulated by its quantity in relation to the amount of production and real wealth which it represents. Too much money regulates the value downward, with the result that goods cost more dollars to buy. Too little money regulates the value upward and constricts commerce, causing recessions and depressions. He felt that no private party ought to have the right to create money, but that this was the primary duty of government. This would also largely, if not completely, finance the government without the necessity of taxing the people.

Alexander Hamilton opposed Benjamin Franklin. He advocated a national bank modeled after the Bank of England. He was much younger than Franklin and only had to await Franklin's death in 1791 to implement his plan. Hamilton is called the Father of our National Debt, because on April 30, 1781 he wrote to Robert Morris, "A national debt, if it is not excessive, will be a national blessing; a powerful cement of union; a necessity for keeping up taxation, and a spur to industry."

Under this same philosophy, the United States public debt ceiling has now (2006) been raised to nine trillion dollars, more than the value of the entire nation. If this debt were to be paid, Americans would own nothing and would still be in debt. All because we have given away the right to create money to private banking interests, allowing them to create money out of nothing and loan it to our government at interest. There is no reason why Congress should not have created the money itself and spent it into circulation without interest.

Hamilton did not believe that the power to create money ought to be entrusted to government.

"The wisdom of the government will be shown in never trusting itself with the use of so dangerous and seductive an expedient" (Coogan, p. 202, quoting from Dewey).

"No, this would never do; far better, in Hamilton's opinion, for this 'dangerous and seductive expedient' to be placed in the hands of private bankers for their special privilege and private profit. . . ." (Coogan, p. 202)

Of the course, the alternative to trusting government is to trust bankers with this power. Either way, one has to trust carnally-minded men. The question, then, is whether we trust carnally-minded men who represent the people, or carnally-minded men who represent private financial interests.

The so-called "Bank of the United States" is the name Hamilton chose for his new bank. It was no more owned by the United States than the Bank of England was owned by England. It received a 20-year charter, which expired in 1811. The charter was not renewed, and this was the real reason that the British money-creators induced Britain to send troops to fight the "War of 1812."

Though America won that war, the lesson was not lost upon the politicians. After a bitter debate, the charter for the misnamed "United States Bank" was established in 1816 for another 20 years. Then President Andrew Jackson refused to renew the charter in the 1830's.

"From that time until the passage of the National Banking Act in 1863, the international money powers waged a constant battle to gain, through a central bank, control of the money creation powers in the United States" (Coogan, p. 210).

"At the time the ‘National’ Bank Act was passed, President Abraham Lincoln was honestly teaching the people to understand that non-convertible paper money created on the authority of the United States government was the only kind of currency that should be allowed." (Coogan, p. 214).

Lincoln financed the Civil War by issuing $150 million in "Greenbacks," under the authority of the Constitution. This was, of course, the unpardonable sin to these top bankers. It is not surprising that he was assassinated. The next President to commit the same "sin" was John Kennedy, who issued lawful U.S. Notes in 1962, thus sealing his doom. These were quickly removed from circulation as soon as President Johnson succeeded Kennedy. Even so, some remained in circulation. I have personally seen a few of these bank notes.

Skipping to the year 1914, the Federal Reserve Act created a Central Bank that consolidated the unlawful and unconstitutional banking practices into a single private banking system through which the American economy and government could be controlled and managed from behind the scenes.

This is what turned Babylon from a mere "country" into an "empire" in the modern era. It was a repeat performance 2,520 years after the original biblical empire.

The United States thus found itself under divine judgment. What sins did we commit? Better yet, what sins did we NOT commit? But primarily, this neo-Babylon was made possible primarily because we did not exclude non-Christians from becoming citizens and even from holding positions in government. Thus, we allowed wicked and greedy men to gain control over our institutions.

The Christian people in America voted by party, not on Christian character issues. They convinced themselves that carnally-minded men could be entrusted with power, if they only promised what the people wanted to hear. This is, of course, always the downfall of Christian government whenever it has been attempted. The Bible has given us a perfect judicial system and form of government, but as long as it is implemented by imperfect men, it will never become a reality in the earth. Israel’s history proves this to be the case.

But God has been working to bring forth the Sons of God, so that His Kingdom will have incorruptible administrators. When this time is completed, Daniel 7:27 tells us,

27 Then the sovereignty, the dominion, and the greatness of all the kingdoms under the whole heaven will be given to the people of the saints of the Highest One; His kingdom will be an everlasting kingdom, and all the dominions will serve and obey Him.

But before this great event takes place, it was necessary in the divine plan to see the rise of this end-time Babylonian Empire. It was necessary to bring the world into a final time of bondage so that the people would know by experience the bitter alternative to His kingdom. Thus, the prophecy in Daniel 2, which portrays the succession of oppressive world-empires from ancient Babylon to the present Mystery Babylon, shows that it will be overthrown in the end. Only then will it be replaced by the kingdom represented by the Stone, which will then grow until it fills the whole earth (Dan. 2:35).