Constitutional Principles and the Battle Against Bank Consolidation

On Friday, September 22, 2023, Kim Monson explores America’s founding principles through two distinct but connected conversations. First American State Bank CEO Jay Davidson exposes how Federal Reserve monetary policy has devalued the dollar and threatens Main Street businesses, while Liberty Toastmasters members reflect on constitutional principles and the sanctity of the individual. Republican activist Patty McKernan also weighs in on the critical vote to opt out of open primaries. Federal Reserve Policy Threatens Independent Banking Start listening at 72:41 – Hour 2 Jay Davidson, CEO and founder of First American State Bank, sounds the alarm on bank consolidation and its implications for American liberty. Davidson explains that the banking system has consolidated dramatically over the past 50 years, dropping from over 12,000 banks to around 4,000 today, with the top 10 largest banks now controlling approximately 90% of all deposits. The community banker argues that independent banks serve a critical function that mega-banks cannot replicate. While large institutions handle commodity transactions with cookie-cutter approaches, community banks work directly with Main Street America, private businesses, and independent entrepreneurs who do not fit standardized lending criteria. Davidson warns that regulators have been systematically targeting independent banks, particularly since the 2008 Great Recession, attempting to dilute ownership or force them out of business. Davidson traces inflation directly to Federal Reserve monetary policy, specifically the quantitative easing that printed over $8 trillion since 2008. He argues that every dollar printed devalues existing currency in circulation, forcing consumers to spend more for the same goods. Rather than reducing the money supply through decreased government spending, the Fed has chosen to raise interest rates, which Davidson contends crushes private business with higher debt burdens instead of addressing the root cause. “The sanctity of the individual is paramount in our nation. It should be paramount in all our minds. It should be the criteria by which we judge the people that we support in politics. And if the individual that’s trying to get our money for a political run says anything about forming some new government program to solve your problem, run from that person.” Jay Davidson, CEO, First American State Bank Liberty Toastmasters on America’s Founding Principles Start listening at 33:43 – Hour 1 Bob Zimmerer, President of Liberty Toastmasters North, leads an in-studio discussion on the timeless principles of America’s founding. The segment features table topics from multiple Toastmasters members who share their perspectives on constitutional values, individual rights, and civic responsibility. Brad Beck opens by quoting Margaret Thatcher: “Europe was created by history, but America was created by philosophy.” He emphasizes that individual rights are inherent in American DNA, with government power deriving from the consent of the governed. Beck outlines Dr. Cranawitter’s four components of citizenship: self-reliance, self-restraint, self-assertiveness, and civic knowledge. He connects these to classical virtues of fortitude, courage, justice, prudence, and temperance. Marshall Dawson draws on Justice John Marshall Harlan’s lone dissent in Plessy v. Ferguson, highlighting Harlan’s declaration that “our Constitution is colorblind. Neither knows nor tolerates classes among citizens in respect of civil rights.” Dawson encourages listeners not to fear stan...