Pirate Economics

I noticed we are having a big bouts about the worthiness of the Amierican Dollar. Whether or not you believe investing in either, can anyone tell me this; "The Federal Reserve is no more federal then Federal Express?"

If this is true then its just another business right? Why can we not find out about this business further? I heard it had to do with other countries trying to submarine our economy economically.

Thanks for your time and responses.

reply to post by Here Now


well it isnt other countries per say

its the international elite who own stock in companies like the federal reserve.
i rember the first time i found out about this, i started asking a whole lot of related questions, and got many many ugly answers....

good luck on your journey

Can you explain more about the stock?

Originally posted by Here Now
Can you explain more about the stock?

Some would say YOU and your family and most other people are the stock, simply commodities.

Not sure exactly where I stand on the issue, I know for a fact that at numerous points in my short life I have been less than profitable, had I been a commodity I would of been tossed in the skip!

The Fed's stock is owned by other bank's and by proxy any of you can buy those shares and in effect become an "owner" in the Fed too - neato huh....

While people malign the beginnings, the whole point of the Fed and other central banks is to facilitate international trade. I mean how do I go about buying a Ferrari. They are built in Italy so it's the Lira. If there is no Fed, I have to trade in something they recognize - say gold since without a Fed they will not touch my dollars, so I need to get it to Italy. 100k in gold is kinda heavy so I will need to ship that overland and by sea and by land again just to pay for the car. Let's see, I also have to pay someone to get the thing to me but they only take hogs for payment and not dollars - so I have to find a hog trader that will take gold or my dollars, but his rate rate on gold/hogs is very bad and he's shakey on the dollar thing since nobody in his area uses dollars, they use wampum.... You can see the point, ad infinitum....

[edit on 4-10-2007 by UofCinLA]

That helps greatly! If private banks own the reserve then how is it federal? Besides makeing oversea's transactions for us, what does the gov't actually have to do with it all?

There is a lot of stuff out there beyond the conspiracy hype. Like any bank, they needed capital to start the thing. The US Gov basically appointed the group that is the Fed and the initial investors made out well. Now the regional reserves and local banks own the majority of the thing. They have been given the duty to print the money, and maintain the supply via short term rates, issue our debt, and balance our US books with respect to international trade.

Gold was and is still used to settle up accounts and many countries have very large gold deposits held at the Fed's. They move it around from time to time to balance accounts. While computers and electronic transactions rule these days, there is still a pile of gold out there.

International banking is quite complicated and very interesting and is worth a read if you have the time. A lot of the doom and gloom about trade deficits is put into perspective when balanced against the debt and investments made - as at the end of the day there is actually a nifty balance that is maintained. Those things drive the value of money up and down (now is good time to be a US exporter or foreign investor in the US) and the thing that glues it all together and makes it work is the Fed....