Why We Have the Fed and Other Central Banks

Discussion in 'Economy' started by Toro, Jan 29, 2009.

  1. Toro
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    Toro Diamond Member

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    Central Banks Are Creatures of Financial Crises - WSJ.com
     
  2. Zoomie1980
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    Zoomie1980 Senior Member

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    Like the Fed or hate the Fed, it is a very small rudder on a very large boat. All the machinations of the Fed in the past 18 months have virtually NO effect in stemming the crisis. In fact, overall fiscal policy, from the Fed to Congressional spending has had almost NO impact. The lesson is that US governmental fiscal policy, in general, has less and less impact on economic reality in this age of globalism. The rise of China, India, S. Korea, eastern Europe, and even post communist Russia along with the continued impact of Japan and the EU, simply means we just aren't big enough anymore to have the impact we used to. And within most of those economies the size of government as a percentage of their overall economy continues to shrink, dramatically in many cases. With every passing decade government as an economic player becomes less and less relevant.
     
    Last edited: Jan 29, 2009
  3. Killuminati
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    Killuminati Member

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    [

    Like the Fed or hate the Fed, it is a very small rudder on a very large boat. All the machinations of the Fed in the past 18 months have virtually NO effect in stemming the crisis. In fact, overall fiscal policy, from the Fed to Congressional spending has had almost NO impact. The lesson is that US governmental fiscal policy, in general, has less and less impact on economic reality in this age of globalism. The rise of China, India, S. Korea, eastern Europe, and even post communist Russia along with the continued impact of Japan and the EU, simply means we just aren't big enough anymore to have the impact we used to. And within most of those economies the size of government as a percentage of their overall economy continues to shrink, dramatically in many cases. With every passing decade government as an economic player becomes less and less relevant.[/QUOTE]

    You have no idea what you're talking about, the fed has every thing to do with this
    crisis. The fed controls inflation, and inflation is the main reason for this mess we are in now. Inflation devalues our money, and rises prices of services and goods. With less spending power behind the dollar, and service and good prices rising we have a big problem. Nothing like the great depression. In the depression there was a shortage on money, this go round there is to much money in circulation.
     
  4. AVG-JOE
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    AVG-JOE American Mutt Staff Member Gold Supporting Member

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    Do you think that China will be better at building an economy where central direction learns the value of free enterprise than the USA will build as our free enterprise learns the value of central direction?

    I would like to see banking and insurance nationalized - but that's it - only banking and insurance. Like a national credit union... It is not like either of those "industries" actually makes anything.

    -Joe
     
  5. Toro
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    Toro Diamond Member

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    The Fed does not control inflation. It effects inflation but it does not control it.
     
  6. editec
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    editec Mr. Forgot-it-All

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    The FED as currently designed puts enormous power into the hands of the banking establishment.

    Let's remember that the FED is owned by those private banks, shall we?

    So naturally the FED dances to the tune that them what brought it to the dance (in 1913)

    The FED thinks nothing of ratcheting up the interest rates to surpress inflation, and they do so knowing full well that thier actions cause millions of Americans to lose their jobs.

    But the FED doesn't even recognize the pernicious effects of inflation in the stock market, and certainly doesn't do anything to curtail that when it sees it happening.

    That is partially how we got into this mess, folks.

    Bubbles in the investments markets, bubbles that the FED not only allowed, but encouraged popped and now our economy is in a shambles.

    Note how even after the BANKS were given a half trillion dollars, these private banks are not lending to get the economy going, and there isn't JACKSHIT that the FED can do about it?

    This leads me to believe that the FED (as currently designed) and our Congress (as currently manned) is not really so interested in the wellbeing of the AMERICAN PEOPLE, but that they are both merely tools of the monied classes which dominate our government, our economy, and our way of life.
     
    Last edited: Jan 30, 2009
  7. sealybobo
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    sealybobo Diamond Member

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    Yes, crisis' they cause. It's called disaster capitalism. Create a crisis and people always turn the the government to help. And in this case, the government is the enemy.

    It still made no sense turning over our gold to the rich bankers and in turn they would keep the gold for themselves and now our money isn't worth the paper it is printed on. It is only worth what you think it is worth.

    And now the debt grows and grows and grows. But if we managed our own $ then we wouldn't charge ourselves interest. But the Bankers that own the federal reserve do.

    Here's the thing. Our founding fathers warned us not to let this happen. But all it took was for them to bribe a few Senators in 1913 and they passed the Federal Reserve Act.

    Why didn't those politicians heed this warning?

    “If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around them will deprive the people of all property until their children wake up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs.”

    – Thomas Jefferson, Letter to Treasury Secretary Albert Gallatin (1802)


    And why doesn't this quote from Woodrow Wilson alarm you?

    I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated Governments in the civilized world no longer a Government by free opinion, no longer a Government by conviction and the vote of the majority, but a Government by the opinion and duress of a small group of dominant men." -Woodrow Wilson, after signing the Federal Reserve into existence


    It absolutely baffles me that the American public is so stupid, lazy and sheepish to allow this to continue. Yet we do. Republican voters vote for men who serve these bankers and Democrats think their party doesn't serve these bankers, and they do.

    Watch Freedom to Fascism by Aaron Russo. It explains everything.
     
  8. Richard-H
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    Richard-H Gold Member

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    What a bunch of bunk. No law requiring taxation - another BIG LIE!

    Try this:

    The Congress shall have Power To lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defence and general Welfare of the United States; but all Duties, Imposts and Excises shall be uniform throughout the United States;
     
  9. Toro
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    Toro Diamond Member

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    Just ask Wesley Snipes.
     
  10. indago
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    indago VIP Member

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