Originally posted by masterofnone
Originally posted by XXX777
The government is not limited. They are in fact the origin of the money. They make as much as they want. There is a constant effort to limit the growth of the money supply just enough to keep things in order. Too much money floating around creates too much price inflation. Too little money floating around creates too much price deflation, a bad thing.
The government IS limited, by the Constitution and by legal mandates. The problem is that too many of us BELIEVE the government is not limited
The Federal Reserve Note does NOT originate from the government. They are created by the Fed without having to answer to ANY of us or our representatives. This includes the money supply, which the Fed has played with for 100 years. Every major recession/depression in our history has been preceeded by a sharp drop in the money supply available to the masses. We've learned very little from our own history!
The only money created by our government are COINS.
I appreciate your input, and do agree with some of your statements, but I felt I should point out a few glaring fallacies.
I know the Fed is not part of the Gov.
The Fed and the Gov cooperate hand in hand. There is an illusion of control. The Gov argues whether to create more money, the Gov agrees with itself, then the game continues. The Gov prints the money and gives it to the Fed. The Fed ''loans'' it back. I know. It is a game. It works. How else would you do it? Any way you choose to do it would result in ''central'' control. You call the controller ''Fed'' or ''Gov'' or ''Piggy''. The game stays the same.