Fed Audit: $16 Trillion in Bailouts.

[G.T.]

$16 Trillion.

Yes, those hard working top 1% definitely earned their way to those Dollars.

I'm being facetious, I don't believe that most of the Top 1% are corrupt.

But j-e-s-u-s christ.

lol @ most of the Fed Reserve employees signed "Conflict of Interest Waivers"

Are you fucking kidding me?





Bankers own the United States, period.

Not the hard working, self made Millionnaires and small Business owners.

No,

The people who received $16 TRILLION.

 

[Mad Scientist]

We were told it was a 700 Billion dollar bailout but as we've seen, it's closer to 16 Trillion. And guess who pays that back? Taxpayers.

But as Trajan has kindly pointed out, the Fed gave the Treasury 78 Billion last year! Fantastic At that rate the 16 Trillion should be paid of in about, oh 200 years or so.

Why can't I get a 16 trillion dollar load with 200 years to pay it off?

 

[eflatminor]

Centralized price controls never work in the long run. That is certainly the case with the federal government's attempts to control the price of money, and we all pay for it in false inflation and an increased debt burden following bailouts. So, you can vote for more government meddling or less, it's your choice. I say end the central planners meddling in our markets. End the Fed.

 

[G.T.]

We were told it was a 700 Billion dollar bailout but as we've seen, it's closer to 16 Trillion. And guess who pays that back? Taxpayers.

But as Trajan has kindly pointed out, the Fed gave the Treasury 78 Billion last year! Fantastic At that rate the 16 Trillion should be paid of in about, oh 200 years or so.

Why can't I get a 16 trillion dollar load with 200 years to pay it off?

But I thought the people complaining about this HAND OUT to the Elite Upper Class, were lazy, non working class warfare wagers?

No, we should all have a hugew problem because this is, in PRACTICE (not in rhetoric), Class Warfare. And it's not The Middle and Lower Classes "waging it" by standing up and saying something.

 

[G.T.]

Centralized price controls never work in the long run. That is certainly the case with the federal government's attempts to control the price of money, and we all pay for it in false inflation and an increased debt burden following bailouts. So, you can vote for more government meddling or less, it's your choice. I say end the central planners meddling in our markets. End the Fed.

The only guy in the GOP running on that is Black-Balled by everyone else. Wonder why that might be?

 

[G.T.]

$16, 000, 000, 000, 000.00

usd.

 

[eflatminor]

Centralized price controls never work in the long run. That is certainly the case with the federal government's attempts to control the price of money, and we all pay for it in false inflation and an increased debt burden following bailouts. So, you can vote for more government meddling or less, it's your choice. I say end the central planners meddling in our markets. End the Fed.

The only guy in the GOP running on that is Black-Balled by everyone else. Wonder why that might be?

Because for the Progressives and big government Conservatives alike, the Fed is a cash dispenser, a means to pay for social programs, meddling in markets, and overseas interventions without actually having to pay for those programs...not in their lifetime anyway. Imagine how many fewer wars and entitlement programs we'd have if politicians that supported those programs actually had to pay for them with tax dollars or specifically borrowed dollars.

 

[G.T.]

Centralized price controls never work in the long run. That is certainly the case with the federal government's attempts to control the price of money, and we all pay for it in false inflation and an increased debt burden following bailouts. So, you can vote for more government meddling or less, it's your choice. I say end the central planners meddling in our markets. End the Fed.

The only guy in the GOP running on that is Black-Balled by everyone else. Wonder why that might be?

Because for the Progressives and big government Conservatives alike, the Fed is a cash dispenser, a means to pay for social programs, meddling in markets, and overseas interventions without actually having to pay for those programs...not in their lifetime anyway. Imagine how many fewer wars and entitlement programs we'd have if politicians that supported those programs actually had to pay for them with tax dollars or specifically borrowed dollars.

It's a sick world we live in.

 

[Sundial]

You're misunderstanding what's going on here. The $16 trillion number comes from multiplying the amount times the number of days it was borrowed.

So, for example, if Citi borrowed $10 billion for one day, and then paid it back, and did that for 30 days, that's $300 billion.

 

[Toro]

$16 Trillion.

Yes, those hard working top 1% definitely earned their way to those Dollars.

I'm being facetious, I don't believe that most of the Top 1% are corrupt.

But j-e-s-u-s christ.

lol @ most of the Fed Reserve employees signed "Conflict of Interest Waivers"

Are you fucking kidding me?





Bankers own the United States, period.

Not the hard working, self made Millionnaires and small Business owners.

No,

The people who received $16 TRILLION.

Where did you get that number from?

 

[Sundial]

I mean, criticize the Fed all you want, but criticize for what it did. The highest amount outstanding was about $1 trillion, not $15 trillion, the money went to banks, not wars and entitlements, and the banks did pay it back.

 

[Mad Scientist]

Where did you get that number from?

I can see that even you, Toro, USMB economic "Go To Guy" can't believe that number. That can't be right can it? Our gov't wouldn't put us taxpayers on the hook for 16 Trillion would they? Read em and weep!:
The Fed's $16 Trillion Bailouts Under-reported - Forbes
What's more Toro, banks have leveraged that and more into 1,500 Trillion in Derivatives that they want US to pay for! That's more than the entire GDP of all the countries on Earth!
If we let the Banks f*ck us we'll be debt slaves forever!

 

[Toro]

Where did you get that number from?

I can see that even you, Toro, USMB economic "Go To Guy" can't believe that number. That can't be right can it? Our gov't wouldn't put us taxpayers on the hook for 16 Trillion would they? Read em and weep!:
The Fed's $16 Trillion Bailouts Under-reported - Forbes
What's more Toro, banks have leveraged that and more into 1,500 Trillion in Derivatives that they want US to pay for! That's more than the entire GDP of all the countries on Earth!
If we let the Banks f*ck us we'll be debt slaves forever!

The number is misleading.

First, here is the report. You can see where they get the $16 trillion number on page 144.

www.gao.gov/new.items/d11696.pdf

$9 trillion of that $16 trillion was the Primary Dealer Credit Facility. Here's what that is.

The Primary Dealer Credit Facility (PDCF) was created in March 2008 as an overnight loan facility that provided funding to primary dealers in exchange for a specified range of eligible collateral. The PDCF was intended to foster the functioning of financial markets more generally. The facility expired on February 1, 2010.

Primary Dealer Credit Facility - Federal Reserve Bank of New York

The PDCF was an overnight loan facility designed to inject liquidity into the financial system that was rolled over every night. These were overnight loans that were repaid (with interest) every day. The Fed does that all the time in the normal course of business in transactions called repurchase agreements or "repos." Here is a repo.

The Fed uses repurchase agreements, also called "RPs" or "repos", to make collateralized loans to primary dealers. In a reverse repo or “RRP”, the Fed borrows money from primary dealers. The typical term of these operations is overnight, but the Fed can conduct these operations with terms out to 65 business days.

Repurchase and Reverse Repurchase Transactions - Fedpoints - Federal Reserve Bank of New York

So the Fed expanded its normal course of business during the Financial Crisis. That's what the Fed is supposed to do. The central bank is supposed to be a lender of last resort when there is a liquidity crisis. That's a big reason why central banks came into existence in the first place.

$4 billion was from the Term Auction Facility. Here is the TAF

The TAF is a credit facility that allows a depository institution to place a bid for an advance from its local Federal Reserve Bank at an interest rate that is determined as the result of an auction. By allowing the Federal Reserve to inject term funds through a broader range of counterparties and against a broader range of collateral than open market operations, this facility could help ensure that liquidity provisions can be disseminated efficiently even when the unsecured interbank markets are under stress. Each TAF auction will be for a fixed amount, with the rate determined by the auction process (subject to a minimum bid rate). Bids will be submitted by phone through local Reserve Banks. The final Term Auction Facility auction was conducted on March 8, 2010.

FRB: Frequently asked questions (revised January 12, 2009)

Under the Term Auction Facility (TAF), the Federal Reserve will auction term funds to depository institutions. All depository institutions that are eligible to borrow under the primary credit program will be eligible to participate in TAF auctions. All advances must be fully collateralized.

FRB: Term Auction Facility

Again, this facility was created to inject liquidity into the financial markets. Other central banks around the world did the same thing.

$2 trillion came from the Terms Securities Lending Facility.

The Term Securities Lending Facility (TSLF) was a weekly loan facility that promoted liquidity in Treasury and other collateral markets and thus fostered the functioning of financial markets more generally. The program offered Treasury securities held by the System Open Market Account (SOMA) for loan over a one-month term against other program-eligible general collateral. Securities loans were awarded to primary dealers based on a competitive single-price auction. The TSLF was announced on March 11, 2008, and the first auction was conducted on March 27, 2008. The TSLF was closed on February 1, 2010.

FRB: Term Securities Lending Facility

This allowed institutions to swap their assets on their books for Treasury securities.

All of these programs were the same in principle. Because there was a liquidity crisis, the Federal Reserve (and other central banks) lent Treasury securities to the banks collateralized by assets on the balance sheets of the banks. This is what central banks were supposed to do. Most of these loans were from one day to one month. If the loan would not have been paid back, then the Fed would have seized the collateral. It's like you borrowing against your house, and if you can't repay your loan, the bank seizes your house. And I believe that all of these facilities made profits for the Fed.