Monday, June 15, 2009

In Opposition to People's Wishes, Obama to Give Fed MORE Power


The people are demanding that the Fed be audited, and then closed. In fact, so many people have demanded that their Congress members audit the Fed, that a majority of Congressional representatives have signed on to Ron Paul's bill to audit the Fed.

In response, what is the Obama administration doing?

Endorsing an audit? Saying that the Fed should be shut down?

Nope. As the Wall Street Journal reports:

President Barack Obama is expected Wednesday to propose the most sweeping reorganization of financial-market supervision since the 1930s, a revamp that would touch almost every corner of banking from how mortgages are underwritten to the way exotic financial instruments are traded.

At the center of the plan, which administration officials are referring to as a "white paper," is a move to remake powers of the Federal Reserve to oversee the biggest financial players, give the government the power to unwind and break up systemically important companies -- much like the Federal Deposit Insurance Corp. does with failed banks

Is it wise to give the Fed more powers?

Judge for yourself:

  • This is the Fed that won't tell Congress or the American people where the trillions of dollars in bailout money are going
  • This is the Fed that states that its 12 member banks are private - not governmental - institutions, owned by private banks:
The New York Fed and other regional banks maintain they are separate institutions, owned by their member banks, and not subject to federal restrictions.

It is not an exaggeration to say that - while we want government of the people, by the people and for the people - we're getting government of the banks, by the banks and for the banks.

2 comments:

  1. The greater question becomes... who exactly does he work for? It certainly appears to not be our country's interests, or the constituents...

    ReplyDelete
  2. I have heard it said that all the interest the fed accrues from the loans to the US Treasury is repaid at the end of the year, which would contradict the common claim that they collect massive amounts of interest from the government to print the nations money. Can you speak to this? Thanks

    ReplyDelete

→ Thank you for contributing to the conversation by commenting. We try to read all of the comments (but don't always have the time).

→ If you write a long comment, please use paragraph breaks. Otherwise, no one will read it. Many people still won't read it, so shorter is usually better (but it's your choice).

→ The following types of comments will be deleted if we happen to see them:

-- Comments that criticize any class of people as a whole, especially when based on an attribute they don't have control over

-- Comments that explicitly call for violence

→ Because we do not read all of the comments, I am not responsible for any unlawful or distasteful comments.