Supposing the Federal Reserve gets abolished, how will you pay your bills?

Do you really think the banks will sit patiently for months until a new currency is valued, printed, and traded? Utility companies, automobile credit systems, insurance companies, credit card companies, and many other institutions will not sit idly by to let America catch up.

How about purchasing food, gasoline, and medicine? How will that be accomplished when Federal Reserve Notes TRULY become Monopoly money?

Am I in favor of fiscal reform? Sure, but not abolishing the Federal Reserve. Doing so will cause more harm than good for a vast majority of Americans. Practically every small business would have to close its doors. Unemployment would skyrocket and the entire middle class would disappear. Think carefully about the repercussions of such an action, and realize such ambitions are perhaps noble as an ideal, but impractical and dangerous in practice.

There are 2 federal reserves, 1 in DC and one in New York. The one in DC is actually federal, they could take over from the privately owned fed in new york id expect.

reply to post by DaTroof

How about purchasing food, gasoline, and medicine? How will that be accomplished when Federal Reserve Notes TRULY become Monopoly money?

too little too late.

that monopoly money is buying you food now why should that be different with other monopoly money?

Am I in favor of fiscal reform? Sure, but not abolishing the Federal Reserve. Doing so will cause more harm than good for a vast majority of Americans.

Perhaps.

but surely, in the long run, abolishing the FED is an awesome idea.

Originally posted by DaTroof
impractical and dangerous in practice.

So... in comparison, you are saying the current system is fine?

What if...

What if it's not so much the currency as it is the private institution as a whole.

Originally posted by DaTroof
Practically every small business would have to close its doors. Unemployment would skyrocket and the entire middle class would disappear. Think carefully about the repercussions of such an action, and realize such ambitions are perhaps noble as an ideal, but impractical and dangerous in practice.

Thought that had allready happen...

Abolish the Federal Reserve NOW, it can only get better with out those sick, sick criminels controlling the money...

reply to post by DaTroof
Who exactly is saying "Abolish the Federal Reserve without getting something else lined up first"?

I know Paul wants to end the Fed, but not like that - he advocates getting rid of legal tender laws and opening up the US to currency market competition, forcing the Fed to better manage their monetary policies and keep their reserve notes competitive. Allow gold & silver, etc. as currency and let the market decide on its own safe havens - if people don't trust greenbacks due to financial mishandling that robs us at the highest levels, they should be able to trade in whatever they like that gives them more security.

Originally posted by Maponos
There are 2 federal reserves, 1 in DC and one in New York. The one in DC is actually federal, they could take over from the privately owned fed in new york id expect.

If you're talking about The Federal Reserve Bank of New York, I think you've misunderstood - it's one of the 12 member banks of the US Federal Reverse system, and is no more federal than the rest of it (and no less...it's a hybrid situation, not entirely private and the Fed does return funds to Treasury).

There is no federal "Federal Reserve" or US Central Bank otherwise beyond the one we know.

There's not enough gold and/or silver to back any potential new currency, unless we buy/steal it from other countries, or pile up more debt internationally.

State Nationals have been living without FRNs for 35 years with no problem, yes it is a new life style but as a many will see just like in the past with the great depressions the crisis passes quickly. Interested in true and total freedom without the intrusion of the defacto system, and is the only lawfully recognized means to claim you freedom check out my thread: www.abovetopsecret.com...

Originally posted by BeforeTheHangmansNoose

Originally posted by DaTroof
impractical and dangerous in practice.

So... in comparison, you are saying the current system is fine?

What if...

What if it's not so much the currency as it is the private institution as a whole.

No, I believe it needs to be reformed. Fractional Reserve is what devalues the dollar the quickest,so that practice needs to be addressed.

Originally posted by DaTroofThere's not enough gold and/or silver to back any potential new currency, unless we buy/steal it from other countries, or pile up more debt internationally.

I'd have to look into this deeply to verify one way or the other (the late great congressman Larry McDonald always attacked this claim as false during his tenure), but why limit it to gold and silver? The point is to end up in a situation where the currency can't be devalued by ongoing printing/manipulation, which also allows military adventurism and all sorts of risky ventures that we're seeing the results of now to some degree.

A commodity-backed currency or something similar that is strictly limited in quantity rewards savings and wise dealings, preventing people or businesses from doing stupid things because they have "lenders of last resort" and various other bailout venues that reward stupidity, IMHO.

No, I believe it needs to be reformed. Fractional Reserve is what devalues the dollar the quickest,so that practice needs to be addressed.

I can definitely agree with this - fractional reserve policies are fraudulent and inherently inflationary, and altogether unnecessary. Had laws at the time not prevented some branch actions, some of our past depressions and bank crashes would have been avoid (or greatly minimized) - but, once again, Federal regulations bit back and caused entire swaths of the financial industry to collapse...and paved the way for the entirely unnecessary Fed which has failed at pretty much all its stated goals and, well, left things pretty much the same recession-wise as they were before the Fed - aside from interventionist government policies sometimes greatly prolonging the pain after enabling the buildup.

The Federal Reserve will not be abolished overnight even if such an act to do so is initiated. To think or imply that it would be is ridiculous. Any act to abolish the said institution would involve numerous highly intelligent and well- versed economist and politicians, who would work out every detail to facilitate the change-over. To believe that a change of that magnitude will be painless is also unwise. The hardest hit would more than likely be the larger corporations who hold stock in the Fed. The push to end the Fed is not a fly-by night wet-dream, it is a well thought out plan to install the basis for a sound economy that is not dependent on a fiat currency and debt.

reply to post by Praetorius


Heres the one in washington
www.federalreserve.gov...

Heres the one in New York
www.newyorkfed.org...

the other regional federal reserves (like New York) are

1-Boston
2-New York
3-Philadelphia
4-Cleveland

5-Richmond
6-Atlanta
7-Chicago
8-St. Louis

9-Minneapolis
10-Kansas City
11-Dallas
12-San Francisco

reply to post by Maponos
Correct - but it's all still part of the same system based in Washington. From the NY Fed's site:

The Federal Reserve Bank of New York works within the Federal Reserve System and with other public and private sector institutions to foster the safety, soundness and vitality of our economic and financial systems.

The Federal Reserve Bank of New York is one of 12 regional Reserve Banks which, together with the Board of Governors in Washington, D.C., make up the Federal Reserve System. The Fed, as the system is commonly called, is an independent governmental entity created by Congress in 1913 to serve as the central bank of the United States. It is responsible for
- formulating and executing monetary policy,
- supervising and regulating depository institutions,
- providing an elastic currency,
- assisting the federal government's financing operations, and
- serving as the banker for the U.S. government.

In addition, the Federal Reserve System has important roles in operating the nation's payments systems, protecting consumers' rights in their dealings with banks and promoting community development and reinvestment.

The New York Fed oversees the Second Federal Reserve District, which includes New York state, the 12 northern counties of New Jersey, Fairfield County in Connecticut, Puerto Rico and the U.S. Virgin Islands. Though it serves a geographically small area compared with those of other Federal Reserve Banks, the New York Fed is the largest Reserve Bank in terms of assets and volume of activity.

All of the regional Fed banks are directly involved with "the Fed" - not a separate organization. They pretty much tie all the smaller banks in their jurisdiction into the Fed system, and are who the banks reach out to when they need more cash, etc. (my father works for a local bank here in the state).