The Fed

So the Fed helped caused the mess and then saved the whole world from it ? How much does the world owe them now ?

The "mess" was a team effort, with the Fed playing a very minor part.

As for how much the world owes them, the loan were short term. 30 day, 90 day loans.

Our currency remains the world's reserve.

I love talking about the causes of the crisis, and the solutions that are necessary. However, ending the Fed will solve nothing.

Repealing the CFMA and FSMA will. Putting fraudsters like Fabrice Tourre, John Paulson, Angelo Mozilo, Daniel Sparks, Roland Arnall, and James Cayne in federal pound-me-in-the-ass prison for life will. Regulating CDS will. Banning naked CDS will. Putting OTC derivatives on an open exchange will.

"This Act shall supersede and preempt the application of any State or local law that prohibits or regulates gaming or the operation of bucket shops".

Why do banks need to be exempted from gaming laws? Why do banks need to be exempted from law banning bucket shops?

Why did not one Republican scream about states rights with respect to this exemption?

Probaby because they wrote it, with the banks' hand on their elbow.
 
So the Fed helped caused the mess and then saved the whole world from it ? How much does the world owe them now ?

The "mess" was a team effort, with the Fed playing a very minor part.

As for how much the world owes them, the loan were short term. 30 day, 90 day loans.

Our currency remains the world's reserve.

I love talking about the causes of the crisis, and the solutions that are necessary. However, ending the Fed will solve nothing.

Repealing the CFMA and FSMA will. Putting fraudsters like Fabrice Tourre, John Paulson, Angelo Mozilo, Daniel Sparks, Roland Arnall, and James Cayne in federal pound-me-in-the-ass prison for life will. Regulating CDS will. Banning naked CDS will. Putting OTC derivatives on an open exchange will.

"This Act shall supersede and preempt the application of any State or local law that prohibits or regulates gaming or the operation of bucket shops".

Why do banks need to be exempted from gaming laws? Why do banks need to be exempted from law banning bucket shops?

Why did not one Republican scream about states rights with respect to this exemption?

Probaby because they wrote it, with the banks' hand on their elbow.


Again---we pay these assholes to keep this shit from happening. Apparently we are wasting our money.
 
Again---we pay these assholes to keep this shit from happening. Apparently we are wasting our money.

The Fed has a very limited charter. They do not create derivatives regulations. Congress does.

The Fed could no more have stopped this from happening than you or I could have. The SEC is more to blame than the Fed. They are the cops of the broker-dealers. I am of the opinion Christopher Cox belongs in prison as much as the people I named in my last post.


The Fed exacerbated it, but they could not have stopped it from happening.

I am not letting the Fed off the hook. I am putting their culpability in perspective.
 
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Again---we pay these assholes to keep this shit from happening. Apparently we are wasting our money.

The Fed has a very limited charter. They do not create derivatives regulations. Congress does.

The Fed could no more have stopped this from happening than you or I could have. The SEC is more to blame than the Fed. They are the cops of the broker-dealers. I am of the opinion Christopher Cox belongs in prison as much as the people I named in my last post.


The Fed exacerbated it, but they could not have stopped it from happening.

I am not letting the Fed off the hook. I am putting their culpability in perspective.

If their charter limits them to such an extent that they cannot perform, why are we wasting our time and money with them ? Maybe they offer the real crooks a nice mysterious scapegoat.
 
So the Fed helped caused the mess and then saved the whole world from it ? How much does the world owe them now ?

The "mess" was a team effort, with the Fed playing a very minor part.

As for how much the world owes them, the loan were short term. 30 day, 90 day loans.

Our currency remains the world's reserve.

I love talking about the causes of the crisis, and the solutions that are necessary. However, ending the Fed will solve nothing.

Repealing the CFMA and FSMA will. Putting fraudsters like Fabrice Tourre, John Paulson, Angelo Mozilo, Daniel Sparks, Roland Arnall, and James Cayne in federal pound-me-in-the-ass prison for life will. Regulating CDS will. Banning naked CDS will. Putting OTC derivatives on an open exchange will.

"This Act shall supersede and preempt the application of any State or local law that prohibits or regulates gaming or the operation of bucket shops".

Why do banks need to be exempted from gaming laws? Why do banks need to be exempted from law banning bucket shops?

Why did not one Republican scream about states rights with respect to this exemption?

Probaby because they wrote it, with the banks' hand on their elbow.


Again---we pay these assholes to keep this shit from happening. Apparently we are wasting our money.

Its been apparent since their inception.
 
Again---we pay these assholes to keep this shit from happening. Apparently we are wasting our money.

The Fed has a very limited charter. They do not create derivatives regulations. Congress does.

The Fed could no more have stopped this from happening than you or I could have. The SEC is more to blame than the Fed. They are the cops of the broker-dealers. I am of the opinion Christopher Cox belongs in prison as much as the people I named in my last post.


The Fed exacerbated it, but they could not have stopped it from happening.

I am not letting the Fed off the hook. I am putting their culpability in perspective.

If their charter limits them to such an extent that they cannot perform, why are we wasting our time and money with them ? Maybe they offer the real crooks a nice mysterious scapegoat.

The Fed charter is to promote growth and price stability. That means they have no power to regulate the world's financial derivatives markets.

They have very limited means to achieve their goals. Raising and lowering interest rates, monetizing debt.

Greenspan lowered interest rates, making the subprime loans being dangled in front of the middle class look all that more attractive. The people who took out ARMs did not stop to wonder what interest rates would be three to five years down the line. They just looked at the low, low, low introductory rates of the ARM and jumped. Then that ARM was rolled into a CDO and sold to investors, and the investors' money was used to rinse and repeat the whole cycle over again.

When I was offered an ARM even though I had an over 800 credit rating, the very first question I asked after the broker offered it to me was, "And what will the prime interest rate be when this resets in three years?"

I already knew the answer to that question. They had no way of knowing what they would be three years in the future. So my next statement was, "It could be 8 percent three years from now for all you know."

But most people did not know what they did not know, so they could not ask those questions.
 
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The Fed has a very limited charter. They do not create derivatives regulations. Congress does.

The Fed could no more have stopped this from happening than you or I could have. The SEC is more to blame than the Fed. They are the cops of the broker-dealers. I am of the opinion Christopher Cox belongs in prison as much as the people I named in my last post.


The Fed exacerbated it, but they could not have stopped it from happening.

I am not letting the Fed off the hook. I am putting their culpability in perspective.

If their charter limits them to such an extent that they cannot perform, why are we wasting our time and money with them ? Maybe they offer the real crooks a nice mysterious scapegoat.

The Fed charter is to promote growth and price stability. That means they have no power to regulate the world's financial derivatives markets.

They have very limited means to achieve their goals. Raising and lowering interest rates, monetizing debt.

Greenspan lowered interest rates, making the subprime loans being dangled in front of the middle class look all that more attractive. The people who took out ARMs did not stop to wonder what interest rates would be three to five years down the line. They just looked at the low, low, low introductory rates of the ARM and jumped. Then that ARM was rolled into a CDO and sold to investors, and the investors' money was used to rinse and repeat the whole cycle over again.

When I was offered an ARM even though I had an over 800 credit rating, the very first question I asked after the broker offered it to me was, "And what will the prime interest rate be when this resets in three years?"

I already knew the answer to that question. They had no way of knowing what they would be three years in the future. So my next statement was, "It could be 8 percent three years from now for all you know."

But most people did not know what they did not know, so they could not ask those questions.

How is it they have "limited means" yet saved the world ?
 
How is it they have "limited means" yet saved the world ?

They monetized debt. That is within their means.

ETA: But the cartoon's claim they monetized the debt of home buyers is false. Institutional investors did that.
 
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Why did the Fed allow this to happen ? We are paying them to manage America's fiscal policies.

The Fed contributed to the train wreck by keeping interest rates low for too long. They are certainly not blameless.

The US Congress deregulated the derivatives driving the train wreck. And every politician was taking credit for getting more Americans into homes.



But there is not an ounce of this reality in the film.

You literally just summed up a large portion of the film...
 
I have thoroughly debunked the film. Do you have anything more intellectually inspired to contribute other than mindless acclaims or invective?

If not, I will take that as an assent my deconstruction of it is beyond your abilities to refute.

YOU haven't debunked SQUAT.

The Founders WARNED about a Central bakning authority tied to the Federal Government asswipe.:eusa_hand:

Some of the Founders opposed a central bank. And? Around this tiny grain of truth is built a completely false film. I can show Ben Franklin playing with electricity. That does not mean he knew about Three Mile Island.

The film goes off the rails by saying the Federal Reserve printed all the money people borrowed to buy houses and run up credit card bills.

I have shown the lies, deceptions, and sheer incorrectness of the film. Care to point out where I was wrong?


It's a film made by simpletons for simpletons.

The film did not say the bank printed all the money, it showed how "IOU's" came to be and then it showed when loaning money out when you don't have it caused crashes, debt, and deficits.
 
How is it they have "limited means" yet saved the world ?

They monetized debt. That is within their means.

ETA: But the cartoon's claim they monetized the debt of home buyers is false. Institutional investors did that.

Give someone else the power to monetize debt. Someone who is accountable to Americans.
We have way too many fingers in our economic pie. No one knows what the hell is going on which I imagine is the basic idea.
 
And by the way, the JFK quote near the end? He was speaking about the Soviet Union, not banks.

So yet another dishonest piece of shit lie.

And the film claims the banks killed JFK. And you say this isn't a conspiracy theory propaganda piece? :lol:

OK, whatever you say, Bro. The Warren Commission got it all right on the money.

I'm with ya, pass the fucking Kool-Aid... :cuckoo:

ETA: That's funny coming from the guy who's trying to educate people on the unregulated derivatives market...

So you admit the film includes a JFK assassination conspiracy theory, contrary to your initial claim that it was not a conspiracy theory film.

And it is a fact that the JFK audio clip was from a speech about the Soviet Union, not banks.

I am 100 percent correct. The film contains a conspiracy theory and the JFK quote is about the USSR. So I don't know what you think you achieved with your last post except to identify yourself as a conspiracy theorist who lied in your first post.

Oooohhh, got your panties in a wad right quick, huh? Too fucking bad, man. Say whatever you want, but you have NO PROOF of the subject of Kennedy's Press Club Speech any more than I do. But you'd figure that a cabal of international bankers wouldn't want their applecart upset by an upstart son of a bootlegger...

"Print Constitutional money?? And not pay us INTEREST?!?!?"

Yeah, that's one of those 'way far out there' ideas that is just too crazy to believe, right.

Occam's Razor, dude... Look it up...
 
OK, I'm only caught up to page 3 1/2, but GT, you're not paying enough attention. All those folks at the Fed for the last 30 years? They've been the movers and shakers at all the big banks that drove the derivatives bubble IN THE FIRST PLACE!

Same crooks, different titles. Prove THAT statement wrong, hotdog!
 
How is it they have "limited means" yet saved the world ?

They monetized debt. That is within their means.

ETA: But the cartoon's claim they monetized the debt of home buyers is false. Institutional investors did that.

Give someone else the power to monetize debt. Someone who is accountable to Americans.
We have way too many fingers in our economic pie. No one knows what the hell is going on which I imagine is the basic idea.
Not true.

The Fed knows exactly what is going on, right down to the last copper.
 
YOU haven't debunked SQUAT.

The Founders WARNED about a Central bakning authority tied to the Federal Government asswipe.:eusa_hand:

Some of the Founders opposed a central bank. And? Around this tiny grain of truth is built a completely false film. I can show Ben Franklin playing with electricity. That does not mean he knew about Three Mile Island.

The film goes off the rails by saying the Federal Reserve printed all the money people borrowed to buy houses and run up credit card bills.

I have shown the lies, deceptions, and sheer incorrectness of the film. Care to point out where I was wrong?


It's a film made by simpletons for simpletons.

The film did not say the bank printed all the money, it showed how "IOU's" came to be and then it showed when loaning money out when you don't have it caused crashes, debt, and deficits.
Shhhhh....he is counting on no one else watching...
 
What was driving the train wreck that was the 2008 mortgage collapse was government interference. In the mid-90's the Clinton administration radically interpreted the Community Reinvestment Act, dramatically changing lending standards that banks use to determine who they will lend to.

Holy shit. I cannot believe the CRA meme is still alive.

Astounding.

Please explain how the negroes of Iceland caused their property bubble. Please explain how the negroes caused the bubbles in Spain and Italy and England.

There was $70 trillion of investor money out there which the banks wanted. But there was not $70 trillion worth of good risk to loan money to. So the banks threw the underwriting laws of the universe out the window and made riskier and riskier loans in order to capture the fees on all that investor money. And this required a global team effort.

They did not need the CRA to motivate them. Lehman Brothers was not subject to the CRA, dumbass. Nor was Bear Stearns. Nor was Merrill Lynch. Nor was the Royal Bank of Scotland. Nor was Spain's Bankia. And on and on and on.

Lehman Brothers bought its own chain of brokerages so its supply chain feeding the derivatives products it was selling to investors would not be broken. And those brokers lowered their lending standards in order to keep the monster fed. And as I said, Lehman was not subject to the CRA.

The CRA meme was invented six minutes after Lehman collapsed by idiots who had no clue of what was going on who felt that negoes just HAD to be behind all this.

Dick Fuld was even asked by one of the CRA bongwater drinkers when he went to Congress. His answer, "De minimus."

I defy you to find anyone in any of the failed banks around the world who blames the CRA.
Negroes? :offtopic:

I'm truly sick and tired of race baiters throwing up mythical innuendos against conservatives to keep a marxist government propping up their houses of cards. :mad:

Knock the racist bs off.
 
What was driving the train wreck that was the 2008 mortgage collapse was government interference. In the mid-90's the Clinton administration radically interpreted the Community Reinvestment Act, dramatically changing lending standards that banks use to determine who they will lend to.

Holy shit. I cannot believe the CRA meme is still alive.

Astounding.

Please explain how the negroes of Iceland caused their property bubble. Please explain how the negroes caused the bubbles in Spain and Italy and England.

There was $70 trillion of investor money out there which the banks wanted. But there was not $70 trillion worth of good risk to loan money to. So the banks threw the underwriting laws of the universe out the window and made riskier and riskier loans in order to capture the fees on all that investor money. And this required a global team effort.

They did not need the CRA to motivate them. Lehman Brothers was not subject to the CRA, dumbass. Nor was Bear Stearns. Nor was Merrill Lynch. Nor was the Royal Bank of Scotland. Nor was Spain's Bankia. And on and on and on.

Lehman Brothers bought its own chain of brokerages so its supply chain feeding the derivatives products it was selling to investors would not be broken. And those brokers lowered their lending standards in order to keep the monster fed. And as I said, Lehman was not subject to the CRA.

The CRA meme was invented six minutes after Lehman collapsed by idiots who had no clue of what was going on who felt that negoes just HAD to be behind all this.

Dick Fuld was even asked by one of the CRA bongwater drinkers when he went to Congress. His answer, "De minimus."

I defy you to find anyone in any of the failed banks around the world who blames the CRA.
Negroes? :offtopic:

I'm truly sick and tired of race baiters throwing up mythical innuendos against conservatives to keep a marxist government propping up their houses of cards. :mad:

Knock the racist bs off.

Agreed.
 
What was driving the train wreck that was the 2008 mortgage collapse was government interference. In the mid-90's the Clinton administration radically interpreted the Community Reinvestment Act, dramatically changing lending standards that banks use to determine who they will lend to.

Holy shit. I cannot believe the CRA meme is still alive.

Astounding.

Please explain how the negroes of Iceland caused their property bubble. Please explain how the negroes caused the bubbles in Spain and Italy and England.

There was $70 trillion of investor money out there which the banks wanted. But there was not $70 trillion worth of good risk to loan money to. So the banks threw the underwriting laws of the universe out the window and made riskier and riskier loans in order to capture the fees on all that investor money. And this required a global team effort.

They did not need the CRA to motivate them. Lehman Brothers was not subject to the CRA, dumbass. Nor was Bear Stearns. Nor was Merrill Lynch. Nor was the Royal Bank of Scotland. Nor was Spain's Bankia. And on and on and on.

Lehman Brothers bought its own chain of brokerages so its supply chain feeding the derivatives products it was selling to investors would not be broken. And those brokers lowered their lending standards in order to keep the monster fed. And as I said, Lehman was not subject to the CRA.

The CRA meme was invented six minutes after Lehman collapsed by idiots who had no clue of what was going on who felt that negoes just HAD to be behind all this.

Dick Fuld was even asked by one of the CRA bongwater drinkers when he went to Congress. His answer, "De minimus."

I defy you to find anyone in any of the failed banks around the world who blames the CRA.
Negroes? :offtopic:

I'm truly sick and tired of race baiters throwing up mythical innuendos against conservatives to keep a marxist government propping up their houses of cards. :mad:

Knock the racist bs off.

Only an idiot who has absolutely no clue about the causes of the financial crisis falls for the CRA meme. And it is a thinly failed attempt to blame blacks. That's why it is usually coupled with Jesse Jackson and/or Al Sharpton.

The CRA meme has been completely shredded. You need to update your talking points feed from the people who mix your bongwater for you.

Any dumbshit driving around their town watching all the new houses go up would have noticed all those houses were being bought primarily by middle class whites. Not "low income" (code for negroes) buyers.



Sorry to make your butts hurt. But racist stupidity needs to be called out and stomped on.
 
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So we have, what, two or three CRA bongwater drinkers gathered here?

Let's slay them all at once.

The government of Iceland acquires 75 percent share in Glitnir Bank

Based on New Legislation, the Icelandic Financial Supervisory Authority (FME) Proceeds to take Control of Kaupþing to ensure Continued Commercial Bank Operations in Iceland


Northern Rock now in public hands

Statement by the Chancellor on financial stability

Royal Bank of Scotland Group PLC - Capital Raising

Irish Nationwide Chairman resigns

Government Announcement - 11 February 2009 - Recapitalisation of Allied Irish Bank and Bank of Ireland

Bank recapitalisation plan

Banking crisis: Germany earmarks €500bn for rescue package


Spain Property Prices 1995 - 2007

Spanish economy: What is to blame for its problems?

Evidently, this crisis has nothing to do with the recklessness of Spain's government.

Instead, it was other people in Spain who behaved recklessly.

Interest rates fell to historic lows when the euro was launched in 1999. So Spain's banks, property developers and ordinary home-buyers collectively borrowed and fuelled an enormous property bubble.

Between 1996 and 2007, Spanish property prices tripled - comparable to the price rises seen in the UK.


And so forth, and so on.

Home loans are merely the raw materials for derivatives. And they are not the only raw materials. Other raw materials are corporate bonds (loans to companies), credit card balances, student loans, auto loans, and sovereign bonds (loans to countries...like Greece). Greece was a subprime borrower, just like the middle class bozos all over the western world whose eyes were bigger than their paychecks.

Some negro buying a house in a US city is the tiniest of cogs in the gigantic derivatives bubble.

$70 trillion. That's what the banks were taking from investors and lending out to every entity they could find. Not just "low income" (wink wink) borrowers in the US. Every borrower on the planet. People, companies, and countries.

Did you think Greece was a separate problem?

It isn't.

The opening post cartoon could not be more amateurish, ignorant, or off base.


AIG, Goldman, and Credit Default Swaps



And here's something that is common knowledge and yet eluded the dunces who made the cartoon which I have pointed out more than once:

Lenders sell their mortgages on the secondary market to free up money so that they have funds available to continue making new mortgage loans. If lenders ended up holding onto all of their loans, they would eventually run out of money to lend, or put themselves at too much risk by holding so many mortgages, and they would have to stop lending to new borrowers. However, by selling their mortgage loans on the secondary market, they are able to free up money and room to continue originating new loans for more borrowers.

The banker doesn't call the Fed who then calls the Treasury printing press, as depicted in the cartoon. The broker calls Lehman Brothers who calls the investors.


And "subprime" is not synonymous with "low income". A subprime loan is any loan that was not prime. A prime loan is a fixed, low interest loan. You had people who qualified for a prime loan who were lured by their brokers into subprime loans. So middle class and upper class people with solid credit were put into subprime loans.

If you got into a Pick-A-Payment loan and were making the lowest payment, as 80 percent of all Pick-A-Payment borrowers did, then you were in a subprime negative amortization situation. And the middle class was the primary target for subprime loans, not low income, for the very simple reason that middle class people qualify for bigger loans than low income people, and when you are trying to shovel $70 trillion into people's hands, you are going to lend to EVERYONE with a pulse. High income, middle income, low income. Everyone.

Suggesting the banks needed to be FORCED to lend this money to low income people is insanely hysterical ignorance of what was going on.

During the frenzy, the politicians got to take credit for more citizens getting into homes, the US banks got to take credit for making CRA loans even though they would have made those loans regardless. We know this because far more people were put into loans than were required. And we know this because Lehman Brothers was not subject to the CRA. Nor was Merrill Lynch. Nor was Bear Stearns. Nor was JP Morgan. Nor was Morgan Stanley. Nor was Goldman Sachs. Yet these were the biggest derivatives broker-dealers in the America rolling out the structured finance products loaded with subprime mortgages, loans, and bonds.

Everyone in the secondary market was doing it. Everyone. Banks around the world.

The CRA meme was invented at the very beginning of the collapse by idiots who had no clue how the markets work and they figured the negroes just HAD to be responsible for this mess somehow.

They conjured up visions of Jesse Jackson and Al Sharpton being behind all this.

Retards. Seriously. Drooling retards invented this meme. Drooling racist clueless retards.

Ever since, every time someone blames the CRA, they are waving a giant flag with big letters that says I HAVE NO CLUE.

So it is not surprising to see them saying "Outstanding" to the idiotic cartoon in the OP.
 
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