Who Really Owns the Federal Reserve

The mere existence of the Federal Reserve is why I have no faith in humanity. By all metrics, it simply SHOULDN'T exist. But then, you get people in power who are either selfish or cowards, and a prideful populace that REFUSES to acknowledge anything is wrong. Instead of dealing with the problem, they just bully those who identify it, because accepting it exists means they have to deal with it. Unfortunately, people want easy lives, thus they are predisposed to just letting things get out of hand.

We need another evolutionary split.

Very excellent Joe thxu

Congress mandates the Federal Reserve. Danielle DiMartino Booth says "the Federal Reserve is owned by the United States government". Whips and Leaders control Congress. And Whips and Leaders were implimented into Congress in the late 1800's. During the most corrupt era of Congress. The "Anti-Trust" era. Whips and Leaders are for sale by donor monies and campaign contribution monies. Then they tell Congress how to vote. So they'll never get rid of the Federal Reserve.

OMG
I think the is full of deception.

Hey hey, easy with the anti-semitism.

So it's the club of the banking gangsters

@ heresy financial: I would be very interested to hear your thoughts about Cede & Co. and Depository Trust Company.

I have the Jekyll book but have never read it. I have, however, always understood that the Fed was there for the big banks. This begs the question – why not create policies that favor the big banks? Who cares id SVB goes belly up or any bank in the world as long as it benefits the Fed's share holders. If the Fed can create policy that destroys all other banks that should certainly please it's masters. The Fed(and Treasury) also have another master – congress. Current events certainly show that monetary and fiscal policy can be quite an effective weapon. Maybe we should begin to look at the Fed as being more similar to the CIA or even as a branch of the military. Everyone should realize that before there was an academic discipline called "economics" there was a field called political economy. Today you don't get a degree in political economy just economics or political science – why is that? In my opinion you should never study economics outside the context of politics(and visa-versa). I believe the majority of economic theory is fabricated to support the current political goals. This has always been obvious in communist countries but it is reasonably true in the western world as well – Keynes himself thought as much toward the end of his life when he saw his own theories being used in ways he had never intention-ed. This quote says it all? "We are all Keynesians now" is a famous phrase attributed to Milton Friedman and later rephrased by U.S. president Richard Nixon.

And yet, ANOTHER great presentation for the masses. If the people knew, and understood this, boy would things be different. The chances of congress doing its job practically guarantees more of the same. At least until we are out of options. It certainly seems we are already.

The situation gets even more worst ….no profit at the fed and money printing

It's starting to look like the more the fed "prints" the more deflation it will cause. The fed's one and only mechanism to print money is to buy bonds from the open market, which very temporarily injects cash into the economy, but then it's immediately removed again when the government makes a bond payment. The principle and interest just vanish into the fed's black hole. So ultimately, the idea that the fed can monetize the debt suffers from the exact same underlying issue as all other growth in money supply, in that every dollar in new money creates a dollar's plus worth of debt that has to be paid back. One hundred dollars goes in, one hundred and six dollars goes out. Eventually the rate of new money can't replace the rate that the old money is leaving. This gets magnified even further if the fed starts buying up MBS again. I think the deflation is about to get insane.

And while I get the fed can buy bonds at whatever rate it wants, the treasury can't tax people at whatever rate it wants. The taxpayer is like the proverbial golden goose. If you want to increase the rate of golden egg production you have to kill the goose. The government is always limited in what it can borrow by how much it can collect in taxes. If they increase taxes to borrow more, they will just increase the rate at which money is leaving the economy and going to die on the fed's balance sheet. Which will actually decrease their tax revenues in the immediate term. And that's not even mentioning the damage they would do to the economy by raising taxes significantly. Which would of course result in immediate reductions in tax revenue. Ergo, raising taxes in a deflationary environment would actually decrease the tax revenue below what it would have been had they not raised them. Either way, the idea that the fed and treasury can work together to monetize the debt is deeply flawed it would seem. I think the only way that could possibly work is if the treasury implemented the nuclear option and printed the trillion dollar coin, which is a poison pill. Sure it would pay off the debt, but it would also kill the dollar and the government would have no means to fund itself. They would collapse overnight, so I really don't think they're going to do that.