Quote from Anaconda:
You don't think the Fed is a problem.
Again, you're wrong. If you read the auditor's statement and Note 4, you will realize that. Firstly, the audits are conducted in accordance with the standards of the Public Company Accounting Oversight Board. Secondly, the differences between the guidelines provided by the FRB Board of Governors (FAM) and GAAP relate to presentation of SOMA holdings and other technical concerns. Moreover, guidelines set forth in the FAM are a matter of public record. Please do refrain from talking about things you don't even want to try to understand.Quote from Anaconda:
You don't realize it's a self audit, do you?
If you bothered to read the standard into letter of the audits, as well as the accompanying notations, you would know that the guidelines for the financial statements (which are in turn "independently" audited) are set by the BoD of the Federal Reserve. In other words, you will only know what they want you to know.
As I keep asking you, what specifically do you want to know that you don't already? At any rate, we'll never agree on this, 'cause you don't understand what I am trying to tell you. I urge you to consider that your tax-paying ability is also collateral for whatever future borrowing you might want to do. Are you happy to raise your own long-term borrowing rates, just because you have a conspiracy theory? Read Wayne Angell's excellent argument for why it makes sense to restrict some aspects of the Fed's function.You're essentially being told by an institution that is in full charge of monetary policy that they will not disclose everything and that is the law. Being that our tax paying ability is essentially collateral for the whole system, I think we have a right to know what exactly is going on. The analogy holds correct, an investor wants to know where his money is going and an audit where it's blatantly stated where certain financial dealings will not be disclosed would be laughed at.
I repeat you don't understand basic economics. Moreover, you don't understand how the money mkts work. Currency "under the Fed" doesn't come with anything attached. Money creation is not necessarily through debt, 'cause nominal GDP is, obviously, not constant. I don't need to research anything, 'cause, guess what, I trade in this mkt. I know how money circulates in the system. Your comments tell me you have no clue.Kindergarden economics stuff is understanding that P+I cannot equal to P. Maybe that part is too complicated for you. The fact is that all currency under the Fed comes with interest attached. Feel free to look at what we call a dollar bill anytime, it does not say "dollar bill", it's a federal reserve note. All money creation is through debt, that is how the Federal Reserve Banking act is devised, for a reason.
Try actually researching the history of the Fed and central banking in general. The design is genius and has thousands of years of history behind it. All that you see happening now is by design, not by accident.
It's not all above board and rosy... When did I ever say that? The only thing I keep saying is that it's silly to accuse the Fed of single-handedly causing all the world's ills.Quote from wavel:
If everything is above board and so rosy, why is the world in such a financial mess?
Perhaps the truth is we are all imbeciles and what we don't understand is the fact that we are quite simply stupid and therefore unable to comprehend why everything is just fine the way it is.
Quote from Martinghoul:
Generally, unlike Misthos and Anaconda, I choose to believe that the system we have, just like our other institutions, is flawed, but fundamentally suits modern society best. I don't want to tear it down, 'cause I believe it's a bloody process.
Quote from Martinghoul:
It's not all above board and rosy... When did I ever say that? The only thing I keep saying is that it's silly to accuse the Fed of single-handedly causing all the world's ills.
We're collectively to blame for the mess we got ourselves into. We all benefited, in one way or another, on the upside. We will all pay on the downside. How these costs get distributed is what we're all debating, 'cause, guess what, nobody wants to pay and blames "the other guy".
Generally, unlike Misthos and Anaconda, I choose to believe that the system we have, just like our other institutions, is flawed, but fundamentally suits modern society best. I don't want to tear it down, 'cause I believe it's a bloody process. All I want is to fix the flaws in the system to make it more robust, so that it can survive the shocks it's subjected to.
On that note, after another painful day, I'm outta here. Peace.
Quote from Martinghoul:
I repeat you don't understand basic economics. Moreover, you don't understand how the money mkts work. Currency "under the Fed" doesn't come with anything attached. Money creation is not necessarily through debt, 'cause nominal GDP is, obviously, not constant. I don't need to research anything, 'cause, guess what, I trade in this mkt. I know how money circulates in the system. Your comments tell me you have no clue.
At any rate, let's stop this useless back 'n forth. You have a political agenda, so there's nothing I can say that you will actually be willing to listen to. Let's just choose to respectfully disagree.
I repeat you don't understand basic economics. Moreover, you don't understand how the money mkts work. Currency "under the Fed" doesn't come with anything attached. Money creation is not necessarily through debt
Quote from Lethn:
I laughed at this as well.
So tell me then, oh almighty intellect. If the creation of this money is not through debt then what is it? Fairy dust? Some secret dragon hoard that the federal reserve doesn't want us auditing? The mere fact that you say "I don't need to research" just makes your idea ever more laughable. If they didn't want us to know what's going on then what are the Federal Reserve so afraid of exactly, I'm very convinced that they simply don't want us to know what their exact figures and holdings are because it could well be almost 0.
Why do you think that the U.S have been cozying up to China so much lately and Obama has been in negotiations with them. The U.S owes almost over a trillion dollars in debt to China from what I remember so as far as I'm concerned realistically the U.S government and Federal Reserve has no money of its own.