"So what Pound is pointing out is that the whole money system, banking system, is a hallucination, a shell game, and he's explaining the structure of this hallucination and going back historically, because the structure changes from bank reform to bank reform era."
April 26, 1971
(Allen Verbatim, p. 175)
[NOTE: The Fed has traditionally been lender of last resort to commercial banks. On March 18, 2008, it "ripped up its rule book" and made itself lender of last of resort also to investment banks. At that time I vaguely felt the nature of money changing. The "hallucination" felt, you know, different. A new banking era. On September 17, the New York Times could announce that "by acquiring almost 80 percent of A.I.G. in exchange for lending it $85 billion, and holding $29 billion in securities once owned by Bear Stearns, the Fed is now becoming the investor of last resort as well." Welcome to the ownership society. Like the man said, You are on ... your ... own.]