United States Heading towards a Depression?

The federal reserve controls the monetary policy, not the government. The treasury only creates the money, not how much is in supply.

 

Ultimately the Fed and the board of governors are still the "government" and controlled, guided and overseen by congress...

in the end, that policy/currency IS controlled by the government and that control can affect the value of the currency. However they have absolutely no control over that value. I think we have all seen in the last few years that no amount of control over banking regulation, monetary policy, interest rates both moderate and long term have had any accurate, controllable positive affect on our economy. If anything the meddling had made things worse.

The feds job is to protect society from panic. The actions they take are designed to avoid another economic collapse such as the Great Depression and the events that led up to that collapse. Unfortunately like any and every other government agency, over time its mission and usefulness has been long since outlived. They no longer protect us from economic collapse. They instigate its arrival and seek to collude with the executive and legislative branch to give the appearance of a stable or positive growth in terms of our economic position. In reality they are merely further devaluing our currency and destabilizing our credit globally.

 

I'm going to have to disagree with you Mia. The Fed. is a private company and has a majority of private board holders. I've seen enough Bernanke clips to know that congress has no control over what actually matters.

I don't understand what you're getting at with the value of currency. The Fed. asks for more money, the Treasury prints it and thus inflation increases.

Funny how the Fed, established in 1913, was shoved down people's throats to "save the economy from another depression" when it didn't help 16 years later.

It has never been audited and those in the Fed. want to keep it this way. I'm with Ron Paul on this one. At least use a chartered central bank, sheesh.

 

You answered your own question. When you print more money you devalue money currently in supply. Inflation occurs in two ways. The level of the price of goods and services rise thus causing buyers to get fewer of those goods and services for the value of their currency.

It also occurs when you PRINT more money. You LOSE the value of currency when you devalue its purchasing power. When more money is in supply the value of that money is lowered thus causing you to have to use MORE of that money to purchase those goods and services.

And there is little that is private about the fed.

 

Yeah I know exactly what you're saying about the devaluation of the currency. I didn't understand this bit:

Like you say, the control is through inflation. So they have complete control.

Lol come on. Elaborate. There is little that is public about the Fed. It is in fact a cartel.

 

Control would indicate they could make a concise and conscious decision to accurately and efficiently effect change in one direction or another.

I think the first dictionary definition pretty accurately illustrates what I am trying to say.

Which is controlled by a public entity. The legislative and executive branches of government. Don't be so naive. There's more public control of the fed and the monetary supply here in the US and abroad taking place than you realize.

 

Yeah, they could slow down the printing of money to make the dollar more valuable or keep doing what they're doing to make it worth less.

I found a great website breaking it down. Read it here: Is the Fed. a private organisation? Here's the most important part, for me:

I think you're naive to think that congress has any real degree of oversight.

 

In an interview Alan Greenspan remarked that The Fed frequently hosts schoolchildren for tours. During this tour, the U.S. monetary system would be explained. At the end of the tour, they would offer a crisp $100 bill to anyone that could explain the U.S. monetary system. Greenspan mentioned that in the ten years they did this he gave out maybe $300.

Years ago I tried reading a book om the U.S. monetary system and it's relation to the economy. It's damn complicated.

I recall once that The Fed is deliberately set up so that it is not under the control of the three branches of government. It is done this way purposely so that the money supply can't be manipulated for political purposes, which would be disastrous. The analogy is asking politicians in Executive or Congress to manage the money supply is professionally identical to asking a high school biology student to perform open-heart surgery. The results would be just as fatal.

In other news Obama can be proud of:

 

Are you aware that most of these foreclousers are the result of loans that everyone knew will no be paid back? I personally know a woman who was loan officer in Bank of America and she was fired from he job because she was denying loans to people that couldnot qualify. I aslo know a poor bastard that some people took him from bank to bank to borrow in total 450,000 dollars to buy an apartment and a "business" while the guy didin´t even have a job or education.

 

It is good to a degree, but what happens when the Fed. has its own political agenda? No one can stop it and no one can ask where anything has gone. As I said in a previous post, the US should bring back charterism that it used for decades, if a central bank is desired. Real growth was experienced during the early 19th century under this idea. Huge infrastructure all over the country was built for the good of the people who would use it because they knew in 20 years time their charter would be up for renewal. They've had almost exactly 100 years of free reign.. I think it's time they were put on the spot.

Since when did Americans settle for monopolies? The Fed. can't be overseen by politicans, true, but the vested interests that control them can't be trusted either. What would be a good solution to this? Busting up the giant Fed. and going back to many competing banks. This is what America is all about! Right?

 

There is some really bad data in this thread. If you're interested in the truth, read Debunking the Federal Reserve Conspiracy Theories.

 

For July 2012, the unemployment rate went up 0.1%, to 8.3%.

Total unemployed is at a staggering 15.39%.

 

I read an article tonight about a retiree that's found a way to make a little extra money.

Before he spends a dollar he writes on it: "Please return this bill to me." Also, he puts his name and address on it. And, at the bottom writes "I am very poor." It said last month he made $60, the month before $94. I just thought that was a nice story, that people would return the money.

kpho.com

 

Very clever! I should try that with a Benjamin. Couldn't hurt!

By the way, Will Spencer! How the hell are ya man! Welcome back!

 

I like that. I think I'll start doing it. Hope Donald Trump doesn't beat me to the draw.

 

Thanks for giving me this morning's laugh!

 

Interesting website, it's a shame that the opening "fact" is actually untrue:

Taken from wikipedia:

Hmmm that's interesting. I thought these members were publicly appointed? Or does the "debunking theories" site think the president is the public and the senate rubber stamping his decisions is a public act?

No one debates this. I love the strawmen constructs these sites use, which ironically they claim "conspiracy theorists" use.

The fact that a political figurehead ultimately chooses who the board of governors are does not help one bit. These governors' basis of appointment is by definition political. Just like the supreme court judges. You can't complain that Obama chooses judges who align themselves with his party but then claim that the federal reserve board is not politically motivated.

 

This is probably just another one of little willy web sites like his fort shitty that he makes by copy & pasting other people thoughts. On the positive side this one states the source and doesn´t claim to be his "thoughts".

 

Let it go... You're gonna have a heart attack before your 15th birthday if you keep holding such hate and animosity towards one person.

 

BRUm:

In a Democracy, public "appointments" are made by state officials. That's what separates "appointees" from "elected officials." You of all people here should understand the English language.

Thanks man! Life is amazingly good. As I write this, I am looking over the water and enjoying a little known but excellent red wine from Mostar. Balkan wines are, in general, unknown and undervalued. This vintner doesn't even appear to have a web site. I wish I knew more about importing wines, I would send shiploads of wine to the US.

I am humbled by how good my life is. It may be undeserved and unwarranted, but I shall endeavor to live up to the task of simply treasuring every moment.

It's so sad to see someone waste their life meaninglessly. gworld, this toast is to you and to your mental illness. You have my best wishes for a speedy recovery of your sanity. Also, I hope you find your bicycle.