March 9, 1998

Good Morning from the Zundelsite:

A friend sent me a book as a gift that is a stunner. On its cover, it shows the "All-Seeing Eye" atop the pyramid that is on every dollar bill and is believed to be by many the logo for the New World Order.

These past few days, I have been reading this paperback with growing admiration and respect. Its title is "Money: A Medium of Power" and its author is Roger C. Elletson.

( Grand Teton University Press, P.O. Box 15480, Jackson, WY, 83002, $ 26 U.S.A. )

One of the author's main themes is the effects of usury in every last nook and cranny of our lives. Usury, of course, depends on compound interest charged on loans "created out of nothing", as the author repeatedly points out.

He writes:

"As ubiquitous as the air we breathe, the effects of compound interest are taken for granted and seldom thought of. Yet they sustain the economic and financial foundations of life itself. They determine the power and prosperity of nations and the world. The following example illustrates the magnitude of that power:

Question:

"If one penny had been borrowed at 6% compound interest in the year zero (at the birth of Christ Jesus), and no payments made, how much would be owed in 1994?

Answer:

Using the formula for compound interest we substitute the amounts thus:

$0.01 x (1.06) to the power of 1994 = $2,032638 x 10 (to the power of 48)

If we calculate this amount in cubic feet of gold (weighing 1,205.6 pounds per cubic foot) at $400 a Troy ounce ...the answer is:

3.0748823 cubic feet of gold

How much gold is this? Let's calculate it in terms of the size of the sun, since the amount is so vast.

Diameter of the sun: 865,000 miles.

Volume of the sun: 4.988825575 x 10 (to the power of 28) cubic feet.

How many suns: 4.3455494 x 10 (to the power of 12)

This is a difficult number to comprehend. Can it be stated more simply? Yes. Let's assume (one billion) suns in a galaxy and express the figure in galaxies.

6,164 galaxies

So the amount of money we would have to repay on the 1 cent borrowed at 6% compound interest 1,994 years ago would be the value of 6,164 galaxies each containing (one billion) solid gold suns.

Now suppose the interest rate had been 1% instead of 6%. How much would we have to repay in 1994?

$0.01 x (1.01) (to the power of 1994) = $4,138,275

These calculations show the amazing effect of compounded interest and also the dramatic reduction in long-term debt by reducing the interest rate by five percentage point from 6% to 1%.

If the interest had been zero, the amount due in 1994 would be simply the one penny borrowed in the first place."

Thought for the Day:

It is said that when Einstein was being congratulated on his momentous scientific discoveries, he replied that his work did not compare with what he regards as the greatest invention: compound interest.

(Thoren and Warner, Truth in Media Book)

Comments? E-Mail: irimland@cts.com

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