A friend has shown me your excellent article in the New York Times of May 13, on the 1874 Greenback Bill.

In those days, the means of inflating the circulation was by printing currency. The modern way is to print bonds, sell them to commercial banks, then print checks to draw against the bank balance and let the currency expand according to public demand. This is the smarter way of using the printing press. It fools the people.

You will recall that the Act of May 12, 1933 gave Roosevelt the authority to direct the Treasurer to issue greenbacks up to $3 billions, which authority he did not use. He used the roundabout method and increased the circulation by many times this amount with not a single banker crying out, "printing press money." You see, the greenback way pays no interest, while the bond-check-currency printing-press method does, and that stops the mouths of the wise and deceives the public.

The practice by government of inflating the circulation is now in its third and last phase. The first was by debasing coins, the second was printing currency, and now it is by the method above described. This is the end of the trail; all governments are now perpetrating this ultimate fraud, and I see no escape from total inflation, not only national but worldwide.