Congress to audit the FED

[Martinghoul]

Quote from jem:
If you go to the fed website... it says the FED is run by the Regional FED banks. And the regional fed banks are owned by the shareholders who are banks.

so that part is not foolish. So according to the fAQ on the fed website the federal reserve system is owned by bankers.

So what about the lending in exchange for interest concept is not accurate.

But, according to your logic and your definition of ownership, aren't the private banks in turn owned by their shareholders? So, by simple transitivity, the Fed is owned by the public (whether directly or intermediated by financial institutions).

As to the lending in exchange for interest, I ask you the same question I asked achilles. Please be kind enough to explain to me the specifics of lending in exchange for interest that the Fed does.

 

[achilles28]

Quote from Martinghoul:


As to the lending in exchange for interest, I ask you the same question I asked achilles. Please be kind enough to explain to me the specifics of lending in exchange for interest that the Fed does.

Maybe you ought to explain how the FED doesn't earn interest on the Treasuries it holds.

 

[Martinghoul]

Quote from achilles28:
You don't know?

Firstly, it's not very polite to answer a question with another question, achilles. Secondly, whether or not I know the answer (and I do) is immaterial. You're making a certain claim, but in very general, vague terms. I would like to hear exactly how you think this lending is done by the Fed.

 

[Martinghoul]

Quote from achilles28:
Maybe you ought to explain to us how the FED doesn't earn interest on the Treasuries it holds.

Of course it does, just like most modern central banks. Whatever payments are made to the Fed on its outright holdings of securities are passed back to the US Treasury in full (apart from costs) at the end of each fiscal year.

In terms of monetary operations, the Fed, like any other repo/reverse repo cpty, might be a payer or a receiver of interest payments.

 

[Options_Noob]

Quote from SideShowBob:

Obama started the fed back in 1913 before Nigeria was a state so he is behind this socialist plot!

Kenya! He was born in Kenya!

All kidding aside, I'm amazed that people still believe that.

 

[cstfx]

You people actually trust Congress' math abilities?

 

[achilles28]

Quote from Martinghoul:

Of course it does, just like most modern central banks. Whatever payments are made to the Fed on its outright holdings of securities are passed back to the US Treasury in full (apart from costs) at the end of each fiscal year.

Now we're getting somewhere. That's right.

So why should we pay taxes on debt owned by the FED, when those interest and principle payments are just remitted back to the Treasury and destroyed? Think about it. Income taxes that Americans labored over, get handed over to the FED > Treasury > destroyed.

The net result is taxpayers pay interest on money they borrow from themselves. Because Government institutions and contractors spend that money first and enjoy the benefit of lower prices, it's the taxpayer who bears the burden of that spending through inflated CPI + interest + bubbles from artificially suppressed interest rates, taxpayers finance!

Had interest free money just been printed and spent, taxpayers only shoulder debasement. Not debasement + interest. It unfairly punishes taxpayers for the benefit of Government, contractors, and Bankers who use that money first.

And btw, you answered my question with a question. So please.

 

[HiF trader]

Quote from Dataa:


http://video.google.com/videoplay?docid=-515319560256183936#

Martinghoul I suggest you inform yourself on how FED works

This documentary link shows how wrong you are. Assuming you are not a paid FED shill. Spreading propaganda and lies that everything is peachy.

Things are not Peachy, things are rotten peachy

 

[amtrak]

Martinghoul, I have a question --

It was my understanding that the Fed initially DID collect interest on the national debt for the benefit of the Fed's owners (Rothschild's, etc.) until a law change in 1947 caused almost all of the interest on the debt to go back to Treasury.

Correct or no?

 

[jem]

Quote from Martinghoul:

But, according to your logic and your definition of ownership, aren't the private banks in turn owned by their shareholders? So, by simple transitivity, the Fed is owned by the public (whether directly or intermediated by financial institutions).

As to the lending in exchange for interest, I ask you the same question I asked achilles. Please be kind enough to explain to me the specifics of lending in exchange for interest that the Fed does.

I am not sure which bankers own the regional fed banks or what their structure is - are you?

For that matter do we know who really runs JPM or Citi? Is GS a shareholder, is morgan are europeans?

Could it be those same european families who (allegedly) helped one of my grandfather's relatives (as family lore has it) avert a panic almost a century ago paving the way for the fed?