Federal Reserve Should Become A Public Institution

[OohPooPahDoo]

Right. They own a small fraction of the debt. It's just they happen to be the owner of the largest amount of US debt.

Have a pretzel.

Great! Now what's your point? That the Fed has only caused about 10% of our current debt? I agree!

That's enough reason to can their ass right there. Do you understand how much that is ?

Is it... 10%?

So your plan is just to get rid of the Fed so we don't have to pay that part of the debt? Brilliant. I'm sure that will send a shock of confidence to the other buyers of our debt.

 

[eflatminor]

...its worked well for the past 100 years...

Depends on your definition of "well":

My quality of life is a lot better than it would have been in 1912. Its primarily due to our great economy. The past 100 years of the U.S. economy has been the most prosperous 100 year period of any nation in the history of the world.

And for that, you can credit reasonably free markets. The Fed did not spur prosperity, it only took it away with inflation that markets would not have otherwise produced.

U.S. National Debt Clock : Real Time

You owe nearly $139,000. How will you be paying your share?

I owe more on my house note, and the interest rate on my home is higher.

So you'll be paying back both then? Cash or check?

There is no way we'd have debt like this without the powers given to the Fed. NO WAY.

The Fed only owns a small fraction of the U.S. Governments debt.

Well, that's simply not true. The Fed owns more of the debt than any other entity.

 

[eflatminor]

...you refuse to explain what banking system should replace the fed...

How about a free market of money lending? Why can't banks and other lending institutions determine the interest rates they feel are appropriate?

Once again, if you're so into central price controls, tell us what other products and services should have their price controlled by the feds. Please, I'm truly interested.

 

[OohPooPahDoo]

Depends on your definition of "well":

My quality of life is a lot better than it would have been in 1912. Its primarily due to our great economy. The past 100 years of the U.S. economy has been the most prosperous 100 year period of any nation in the history of the world.

And for that, you can credit reasonably free markets. The Fed did not spur prosperity, it only took it away with inflation that markets would not have otherwise produced.

So the reason the economy didn't move as quick prior to the Fed was because inflation was worse? That's interesting.

U.S. National Debt Clock : Real Time

You owe nearly $139,000. How will you be paying your share?

I owe more on my house note, and the interest rate on my home is higher.

So you'll be paying back both then? Cash or check?

Taxes for one cash with another.

There is no way we'd have debt like this without the powers given to the Fed. NO WAY.

The Fed only owns a small fraction of the U.S. Governments debt.

Well, that's simply not true. The Fed owns more of the debt than any other entity.

I didn't say they didn't own more of the debt than any other entity.

 

[eflatminor]

So the reason the economy didn't move as quick prior to the Fed was because inflation was worse? That's interesting.

Wow, that's some supreme ignorance you're demonstrating there. Inflation was determined by markets prior to the Fed in 1913. From our founding until then, the price of a widget remained practically unchanged. From 1913 until today, a MASSIVE increase in prices, none of which was market driven; it all came from the Fed. And, the economy during the first half of America was one in which more poor became middle class and more middle class became rich than at any other time in history. Your understanding of economic history is sorely lacking.