Federal Reserve @ MindSay

Watch this video. I'm off to the local Campaign for Liberty meeting.

When Ron Paul warned years ago against central banking, the Fed bubble, the Fed bust, the bankruptcy of too-big-to-fail Fannie, and Freddie, and their bailout at the expense of you and me--not to mention a panic and crash, he was called Cassandra. But she was right, and so was Ron. It's all here.

The Treasury Department will propose on Monday that Congress give the Federal Reserve broad new authority to oversee financial market stability, in effect allowing it to send SWAT teams into any corner of the industry or any institution that might pose a risk to the overall system.

The proposal is part of a sweeping blueprint to overhaul the nation’s hodgepodge of financial regulatory agencies, which many experts say failed to recognize rampant excesses in mortgage lending until after they set off what is now the worst financial calamity in decades.

Democratic lawmakers are all but certain to say the proposal does not go far enough in restricting the kinds of practices that caused the financial crisis. Many of the proposals, like those that would consolidate regulatory agencies, have nothing to do with the turmoil in financial markets. And some of the proposals could actually reduce regulation.

According to a summary provided by the administration, the plan would consolidate an alphabet soup of banking and securities regulators into a powerful trio of overseers responsible for everything from banks and brokerage firms to hedge funds and private equity firms.

While the plan could expose Wall Street investment banks and hedge funds to greater scrutiny, it carefully avoids a call for tighter regulation. (Source)

So...let me get this straight...we've got government wanting MORE power, but doing LESS regulating of the troublemakers?  We've got a bank that wants PATRIOT Act-style powers unto itself?  We want the Fed Chairman to be able to use paramilitary forces as a private enforcement army?  We want the Federal Reserve (a private banking cartel) to take over financial law enforcement?

It's time to allow the Columbian drug cartels the chance to run the War on Drugs, too. It's time to let Al Quaeda run the War on Terror.  It all makes sense now...the biggest offenders have the most to contribute in cleaning up their messes, so let's give them absolute power, ignore their nature, and pray for the best.  That's the strategy of a bold decider.

People seem to be really concerned about the economy lately. I think they are full of it. If they were really concerned about the economy then there would be more people listening to what Ron Paul has to say about inflation and the Federal Reserve. Here's a video of Ron on Fox Business News:

 

 

What would it be like if there were no Federal Reserve, and our U.S. Dollar was actually worth $1 in gold?  Today, thanks to the Federal Reserve bank--a quasi-private institution that has controlled the issue of the U.S. currency since 1913, the dollar is actually worth about 4 cents in gold, as opposed to the full value in 1913.  What happened?  Simply put, there is a finite gold supply, worth only a certain amount in cash, since a gold dollar is an actual measurement of grains.  If the Federal Reserve decides that there is a need for more money in the economy, it issues an order from the U.S. Mint to print more money.  So let's say the U.S. has $100,000,000,000 in gold assets.  If there are $100,000,000,000 in printed and coined money in circulation, then a $1 Federal Reserve Note is worth $1 in gold assets.  Let's say the "fed" decides that 200 billion dollars is needed in the economy.  The money is subsequently minted, and now a $1 Federal Reserve Note is worth $0.50 in assets.  Basically put, the more dollars in the system, the less each dollar is worth.  This is called inflation.  The purpose of the Federal Reserve is to control this inflation by responding to certain economic conditions.  Before, the value of the dollar was completely dependent on the fluctuating price of gold.

At any rate, in a world without the Federal Reserve, what would the value of our money be?

If you were part of a working family with an income of $40,000 a year, you'd only be making just shy of $2,000 a year.

BUT

You'd be jamming with your tunes on your new iPod that you decided to spring $17.32 to get the version with the largest hard drive
In order to show the world that you are an ulitmate douchbag, you'll have to buy a Hummer H2, at the wallet-busting price of $2,800
The average house would cost $7,500, while a 14x70 mobile home (how else are you going to afford that H2?) could go for $1,000
An expensive loaf of bread would cost 20 cents, while a cheap loaf of white bread would only cost 5 cents
You'd hit the roof if gas prices reached 15 cents a gallon, costing you an insane $2 to fill up a small car.
NASA would have trouble scrounging up the $12 million it would need to launch a space shuttle
The US GDP would be around $650 billion and the projected cost of the Iraq War would be $100 billion.