Federal Reserve Trivia

[Fast Gunn]

Going back to the gold standard is insane.

The value of money is not inside a piece of metal.

. . . The value of money is in the minds of people who hold it and in the confidence they have in their government.

Originally Posted by I B Hankering

Can the U.S. return to the gold standard as Ron Paul suggests? What impact would such a change have on the U.S. economy?

[I B Hankering]

Originally Posted by Fast Gunn

Going back to the gold standard is insane.

The value of money is not inside a piece of metal.

. . . The value of money is in the minds of people who hold it and in the confidence they have in their government.

An ‘automatic’ gold currency is part and parcel of a laissez-faire and free-trade economy. It links every nation’s money rates and price levels with the money-rates and price levels of all the other nations that are ‘on gold.’ It is extremely sensitive to government expenditure and even to attitudes or policies that do not involve expenditure directly, for example, to foreign policy, to certain policies of taxation, and, in general, to precisely all those policies that violate the principles of [classical] liberalism. This is the reason why gold is so unpopular now and also why it was so popular in a bourgeois era. It imposes restrictions upon governments or bureaucracies that are much more powerful than is parliamentary criticism. It is both the badge and the guarantee of bourgeois freedom—of freedom not simply of the bourgeois interest, but of freedom in the bourgeois sense. From this standpoint a man may quite rationally fight for it, even if fully convinced of the validity of all that has ever been urged against it on economic grounds. From the standpoint of etatisme and planning, a man may not less rationally condemn it, even if fully convinced of the validity of all that has ever been urged for it on economic grounds.
—Schumpeter, History of Economic Analysis

[Texas Contrarian]

The manner in which we're conducting fiscal policy is what's really insane.

Does anyone have the slightest bit of confidence in this government?

Just take a quick look at how unserious Obama's new budget proposals are, for starters.

[CuteOldGuy]

Originally Posted by Fast Gunn

Going back to the gold standard is insane.

The value of money is not inside a piece of metal.

. . . The value of money is in the minds of people who hold it and in the confidence they have in their government.

Really? LOL! How's that working for you?

[Whirlaway]

Still waiting on the explainstion of how the FRsquanders trillions.

The problem isn't the FR. That is tin foil conspiracy craziness.

The problem is Big spenders in Congress and an electorate. That wants more, more and more.


[QUOTE=CuteOldGuy;2168974]........the Fed is a. much bigger problem. They print and squander trillions of dollars that they print, and the US is left holding the bag..[/QUOTE

[CuteOldGuy]

Whatever. You've drank the kool-aid. The fact is we know very little of what the Fed does, which is why we need an audit.

[Whirlaway]

I have always said audit the Fed Res. But next time please don't state as fact somthing you are not prepared to back up with the facts.

There are no facts on the table that the FR "squandered" $16 trillion, those loans have likely been repaid with interest!

Like I said, you are fighting a straw man when the real danger is coming from Congress that spends too much and an electorate that demands too much.

You are the one drinking the FR conspiracy kool-aid my friend.

[CuteOldGuy]

The point is, what the hell gives the Fed the authority to lend money to banks in the TRILLIONS of dollars on the credit of the US taxpayer? Who would be left holding the bag if they hadn't been repaid? According to this article, we still lost money, but without an audit, we will never know for sure. We don't even know if we have all the loans accounted for. We have no idea how much was lent, given away or lost. And again, just the loans we found out about exceed the National Debt. If this isn't an out of control organization, then nothing is.

All they did by issuing these loans IN SECRET on TAXPAYER'S RISK is enrich their member banks. This is fraud of the first order, and people should be going to jail.

This is not a small issue, nor is the Fed a benign entity. They are high class white collar criminals and their gravy train needs to end. Think of what the expansion of the money supply by these loans did to devalue the dollar? You need to figure out where the real power in Washington lies. It ain't in Congress or the White House, it's in the Fed.

"Give me control of a nation's money supply, and I care not who makes its laws." Mater Amschel Rothschild, founder of the Rothschild banking dynasty.

http://www.sfgate.com/cgi-bin/articl...23B.DTL&ao=all