19 Reasons Why The Federal Reserve Is At The Heart Of Our Economic Problems

reply to post by sligtlyskeptical


Once again, very close:

However,

If we just printed no one would be bitching about taxes going up or future generations being on the hook

You do understand that taxes have gone up? Another form of taxation is the increase in food prices. ( which is another topic but you get the point). Taxation, to cover the deficit isn't always what is seen up close in personal.

Of course any move to printing our currency instead of borrowing would require a significant decrease in the bank's ability to leverage their and their customers assets

That's were fractional reserve banking comes into play. You see, Fractional reserve banking, in easy terms is basically smaller banks, using the " warehouse " funds to invest. Hoping for a great return. Sometimes when they lose, as they did when the economy plummeted, they have to obtain the means to continue daily transactions with their customers, even though they lost their " warehouse " funds, they go the Fed Reserve for " backing" or also known as interested asset.

I think we can print the money we need and offset any inflationary effects just simply by making banks pull in a portion of their leverage at the same time.

Sounds good in theory, but what do we know, regardless what is done outside of the currency, when you push more dollars into the system, you increase inflation, and push down the value of the dollar, also known as devaluation.

This I gotta laugh at! Do you even understand fractional Reserve banking? Probably not.

Obviously.

Yeah pretty much, considering the Fed Reserve is a private organization, and not Government operated.

Considering the board of governors of the federal reserve is a government agency, you're wrong.

Honestly, give me a legitimate source showing why you think the board of governors is not a government agency.

I suggest you try again with your google searches! BWAHAHA!!

I apologize for using sources that are based in reality rather than pulled out of a bodily orifice of some conspiracy theorist site.

I'm laughing to hard at your un-educated statements

Don't take the time to point them out or even try to offer your own insight into the matter, I'm sure you can pull more facts out of thin air, at the very least.

Again, PLEASE try to show me why you think the FED is privately owned.

PS: I'd have a good laugh if you use some other conspiracy theorist as a source like the creature from jekyll island or something equally fictitious.

Is the Fed hit by sequestration?

And if they quit printing now, and if we begin saving money due to furloughs...
Could we maybe not have to raise our debt ceiling in a couple weeks like its scheduled?

hmmmm

reply to post by bozzchem


The Federal Reserve is a major part of our American success. No complaints here. I think you are new to the topic and you have been shocked and angered a little bit.

Oh, and did you know that every time you borrow money to buy a car, or borrow money to buy a house, you inflate the money supply?

Did you know that every time you use a credit card to make a purchase you inflate the money supply?

The way this debt based double entry accounting banking system works is absolutely fascinating. Go study all you can. You can be very successful with American backing.

www.online-accounting-degrees.net...

This link is excellent for idiots like me , its got pictures and makes it easy to understand what an evil institution the Fed really is

reply to post by bozzchem


Only 19?
But yes, the Fed and the global banksters MUST go.

1913-2013

Happy Centennial of Secretion of Wealth!!

Whereweheaded
reply to post by neo96

 

I realize that. The point I was trying to make, was that many don't even know " why " the gold standard was removed. Further, many don't know that in 1933, FDR deemed it illegal for private ownership of gold. It wasnt till 1971, under Nixon, that, that was repealed.

yes, the gold standard will never be re-implemented. Doesn't take a rocket scientist to figure that one out. But IMO, we need some type of tangible asset backing our currency, without it will remain worthless. But then again, its been worthless for decades.

It looks like labor wages became the new tangible asset.

reply to post by XXX777


You may be correct about some of my attitude...but your wholehearted support of this govermental system and diversion from the problem...reminds me of this thread:

www.abovetopsecret.com...

I wonder if your job is considered essential...I think yes as I see the sequestration has not affected your work

;-)

XXX777
reply to post by bozzchem

 

Oh, and did you know that every time you borrow money to buy a car, or borrow money to buy a house, you inflate the money supply?

Did you know that every time you use a credit card to make a purchase you inflate the money supply?

Did you also know that you contribute do the debt when you do those things? If you borrow 20,000 for a car you are expected to pay back that 20k plus the interest (let's say 5k), but they only give you 20k for the car. If you have a job and 'make' enough money to pay off the car AND the interest on the loan, then you have paid back the original 20k they printed for you plus the 5k the bank sucked out of the system (that 5k you 'made' is somebody else's principle as borrowed money) for interest.

It keeps the economy in a state of perpetual debt and borrowing.

If we backed the dollar by gold then the price of an ounce would probably rise to abound 120k per oz. Then there would be enough gold to back the dollar.

In the long run a loan actually shrinks the monetary base (deflation) while increasing the debt.

SouthernForkway26

XXX777
reply to post by bozzchem

 

Oh, and did you know that every time you borrow money to buy a car, or borrow money to buy a house, you inflate the money supply?

Did you know that every time you use a credit card to make a purchase you inflate the money supply?

Did you also know that you contribute do the debt when you do those things? If you borrow 20,000 for a car you are expected to pay back that 20k plus the interest (let's say 5k), but they only give you 20k for the car. If you have a job and 'make' enough money to pay off the car AND the interest on the loan, then you have paid back the original 20k they printed for you plus the 5k the bank sucked out of the system (that 5k you 'made' is somebody else's principle as borrowed money) for interest.

It keeps the economy in a state of perpetual debt and borrowing.

If we backed the dollar by gold then the price of an ounce would probably rise to abound 120k per oz. Then there would be enough gold to back the dollar.

In the long run a loan actually shrinks the monetary base (deflation) while increasing the debt.

edit on 3-10-2013 by SouthernForkway26 because: (no reason given)

edit on 3-10-2013 by SouthernForkway26 because: (no reason given)

When somebody borrows money the banker uses paper and ink to draft a note. The banker is guarding a great secret and is allowed to do this according to State and Federal law as long as he abides by strict regulations. Then the note is monetized. No sane banker would ever loan out his bank's capital, his personal money or any of his depositors savings. In fact, no money is ever put at risk when a loan is made. New money of account is created by the banker's hand and magical pen and ink so that you can pursue your dreams.

Our ''debt'' equals our ''wealth''. We would never want to pay off our debt because then we would be broke.

If we backed the dollar by gold then the price of gold would be counted in what?... dollars. Why do that? Why not back the gold by dollars instead of the dollars by gold? We do in fact back the gold with dollars that we create whenever we need them. Our sweat equity backs it all up with our human labor, our high intelligence and our willingness to build the finest weapons systems and put it all into action when necessary. We are living the dream.

And in the long run a loan increases the money supply. It does not shrink. Every loan increases the money supply by pulling it forward from our future labors. When you go to McDonald's and get a $6 meal and use your credit card to pay for it the McDonald's owner gets $6 in his account, you get to stave off your hunger a little while longer, 30 days later you get a bill from your card issuing bank, you pay the bill in full to avoid interest charges, and now not only does the McDonald's owner have $6 but the banker has $6 of revenue also. The very act of eating a cheeseburger and fries on credit has inflated the monetary supply and you yes YOU did it all at your own discretion utilizing consumer discretionary credit. Thanks a lot, pal. Now I have to work harder to earn more of those devalued dollars I mean gold nuggets or seashells or cheeseburgers or whatever ad infinitum.