The Myth of the Independent FED Source: http://www.lewrockwell.com/dilorenzo/dilorenzo147.html Excerpts A must read. Possibly the best short article on the FED I have ever come across. It is amazing how DiLorenzo packs so much historical information and scandal into what is a relative short piece.
Interesting historical facts... I wish more people would read and ponder over the need to maintain a Central Bank. You would most probable not need a central bank, if you have a surplus in trade and savings. But if thats not the case, someone has to fund the shortfall. But since most countries in the world have to maintain a "ponzi" welfare state and massive military infrastructure, all of them need Central Banks. USA is no different IMO...
Did you like The Manifesto? I'm reading it for the second time. It's probably one of the best political books I have read. I was listening to the Lew Rockwell podcast with Prof. Hans Hoppe, an anarcho-capitalist. He was saying that economists universally regard competition as a good thing for the market and the consumer, but when it comes to government, suddenly there should be a monopoly. I suppose that also applies to money. Competing currencies as Ron Paul has suggested, would be a good thing. There is no reason to have a monopoly on money, concentrated so closely to the institution that produces the most war, the most corruption and the most debt. I've been reading up on free banking and the like. It's very interesting stuff. Unfortunately, most people do not even understand what money is, let alone why we should get rid of the FED. I try to push all of my friends to learn, because I think it is very, very important. The Bank of England is pretty bad too. The new European Central Bank is the master counterfeiter, it's so bad, that I posted a story from a few months ago, in it Europeans were not accepting Euros in cash from the bank if the notes were printed in Spain, Italy or Greece because those notes were perceived to have lower value than say German or French notes. If you read any of Murray Rothbard's books on banking, you will find that banks organize into cartels under the government, and then they keep the ponzi scheme going a long time by absorbing each other if there are individual failures, bailing each other out etc. It's much more profitable for the banks to work together in the long run, than to compete with one another. That is why it is believed that the biggest banks are all owned by the same people.
Hi Guerilla The Germans did an unexpected thing, as you had posted, when they rejected Euros printed in Spain, Italy and Greece. It could not work. The value of a currency should depend on the productivity of a nation. The UK was smart enough to keep its Pound Sterling in place and not opt for the Euro... I think in the next 5 years, when the global economy would be really hell, the Germans will bring back the Deutsche Marks. For how long can Banks continue to cheat the people? I must look up what Austrian Economics says about insurance? IMO, its a sort of a ponzi scheme, where the insurers count on increasing number of new subscribers, and believe that everything cannot go wrong at the same time...
I would tend to agree, the Euro might be in very bad shape in 5 years. Not too much longer, but the problem is, most people don't understand it, and again, it falls under the "big lie". That's why it's called "waking people up" when you expose them to the truth. Because they are asleep and their eyes are closed. Insurance is fine. It's a private contract. As long as the contract is executed faithfully, how it is structured, or how they assess risk is their business. The problem comes, when government forces people to buy insurance. Now the insurance companies can go to Washington (or any capital around the world), lobby for regulation to limit competition, lobby for regulation (against the citizens) that lock in their customers, new regulation so they can sell news kinds of insurance etc. In a free market, bad banks, and bad insurance companies will fail, and their owners will be held liable for fraud or bankruptcy. The only reason they persist today, is that the government provides cover for them, by legitimizing all of the fradulent things they do.