| richardhutnik said: More to raise a voice in anger at: http://www.truth-out.org/77-trillion-wall-street-anything-keep-banksters-happy/1322841741 Over $7 TRILLION in low interests loans to the big banks by the Federal Reserve, without any oversight by congress. Do feel free to ignore this and not get upset. It is easier to yell about an unclear message, taking a bath and getting a job. |
I really thought you'd of been more knowledgable about the Fed.
To say there was no oversight by congress isn't really true.
First off, the Fed's board of govonors are NOT technocrats. Well unless you consider the Supreme court, Department of Justice, FBI, the Secretary of State and like 95% of the government as technocrats. What this article overlooks is the fact that the board of govonors is a feederal agency and they are all appointed by the President and approved by Congress for something like 10-14 year terms. Additionally, the regional govonors have VERY little control and can't do much in the way of fiscal policy and loans without support of the head govonor... who is apointed at the start of every presidents term and can be removed at will... he's a guy you might be familiar with.
Ben Bernake.
Furthermore, the Federal Reserve is beholden to the GAO... and Bernake gives annual yearly reports to congress detailing all of their actions.
As for giving loans to troubling banks... that was the exact reason the federal reserve was founded. To loan banks money as a creditor of last resort when liquidity markets are tightening up to ensure banks don't fail. They did exactly what they were created to do. If the plan is to have congress vote for every loan you should get behind Ron Paul to end the fed.
As for owenship of the fed. The commercial banks with a stake in it hold no proprietary rights. Essentially it's more like a volentary tax to get on the Federal Reserve system. The tax money used to fund the federal government agency. The board of govonors.
While anyone paying attention to Greece can tell you it's Sarkozy and Merkel who were against the referendum, and the ECB was going to deny funds only because Merkel and Sarkozy made the austerity a part of the deal. Enough of his own party caused the greek government to collapse and forced the prime minister's abdication however. Largely because his government didn't want responsibility of making the needed cuts required of them. Which is what the refferendum plan was as well. A way to try and skirt responsibility. He thought the people would vote for it and then he could fall back on "I did what you said! You didn't want to leave the euro." However, a lot of his allies were afraid they would vote against it, and essentially destroy greece.
In otherwords, the writer of the article is either ignorant of the very basics of the federal reserve system or delibritly mistating things.
