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Thread: Monopoly Men

  1. #1
    Franc Tireur is offline Senior Net Builder
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    Monopoly Men

    The Federal Reserve, or the Fed as it is lovingly called, may be one of the most mysterious entities in modern American government.

    Created during Wilson's presidency to protect the economy in times of financial turmoil, its real business remains to be discovered. During the Wilson presidency, the U.S. government sanctions the creation of the Federal Reserve. Thought by many to be a government organization maintained to provide financial accountability in the event of a domestic depression, the actual business of the Fed is shrouded in secrecy.

    Many Americans will be shocked to discover that the principle business of the Fed is to print money from nothing, lend it to the U.S. government and charge interest on these loans. Who keeps the interest? Good question. Find out as the connective tissue between this and other top-secret international organizations is explored and exposed.

    Those who can make you believe absurdities can make you commit atrocities.

    Voltaire


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    TopDogger's Avatar
    TopDogger is offline Ăśber Hund
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    A lot of people mistakenly believe that the US dollar is printed by the US government. It is not. It is printed by the Federal Reserve, which is not part of the government. The Fed chairman is appointed by the US president, but does not report to anyone in government.

    The more you dig into the Fed, the scarier the system becomes.
    "Democracy is two wolves and a lamb voting on what to have for lunch. Liberty is a well-armed lamb contesting the vote." -- Benjamin Franklin


  3. #3
    Franc Tireur is offline Senior Net Builder
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    Quote Originally Posted by TopDogger View Post
    A lot of people mistakenly believe that the US dollar is printed by the US government. It is not. It is printed by the Federal Reserve, which is not part of the government. The Fed chairman is appointed by the US president, but does not report to anyone in government.

    The more you dig into the Fed, the scarier the system becomes.
    You are right TD and I will say with my knowledge that even today the federal reserve bank is still propagate this mistake with the its domain name finishing by .gov

    The reality is that the legal status is build like any private corporation, except the gov have an insignificant overview of it and cannot even audit the federal reserve bank, because many things in the banking system is supra national and secret.


    Legal Status of the federal reserve

    The Federal Reserve System's structure is composed of the presidentially appointed Board of Governors (or Federal Reserve Board), the Federal Open Market Committee (FOMC), twelve regional Federal Reserve Banks located in major cities throughout the nation, numerous privately owned U.S. member banks and various advisory councils.[13][14][15] The FOMC is the committee responsible for setting monetary policy and consists of all seven members of the Board of Governors and the twelve regional bank presidents, though only five bank presidents vote at any given time (the president of the New York Fed and four others who rotate through one-year terms). The Federal Reserve System has both private and public components, and was designed to serve the interests of both the general public and private bankers. The result is a structure that is considered unique among central banks. It is also unusual in that an entity outside of the central bank, namely the United States Department of the Treasury, creates the currency used.[16] According to the Board of Governors, the Federal Reserve System "is considered an independent central bank because its monetary policy decisions do not have to be approved by the President or anyone else in the executive or legislative branches of government
    http://en.wikipedia.org/wiki/Federal_Reserve_System



    Legal status of federal reserve banks

    The twelve regional Federal Reserve Banks were established as the operating arms of the nation's central banking system. They are organized much like private corporations—possibly leading to some confusion about ownership.

    The Federal Reserve Banks have an intermediate legal status, with some features of private corporations and some features of public federal agencies. The United States has an interest in the Federal Reserve Banks as tax-exempt federally created instrumentalities whose profits belong to the federal government, but this interest is not proprietary. In Lewis v. United States, the United States Court of Appeals for the Ninth Circuit stated that: "The Reserve Banks are not federal instrumentalities for purposes of the FTCA [the Federal Tort Claims Act], but are independent, privately owned and locally controlled corporations." The opinion went on to say, however, that: "The Reserve Banks have properly been held to be federal instrumentalities for some purposes." Another relevant decision is Scott v. Federal Reserve Bank of Kansas City, in which the distinction is made between Federal Reserve Banks, which are federally created instrumentalities, and the Board of Governors, which is a federal agency.

    Regarding the structural relationship between the twelve Federal Reserve banks and the various commercial (member) banks, political science professor Michael D. Reagan has written that:
    ... the "ownership" of the Reserve Banks by the commercial banks is symbolic; they do not exercise the proprietary control associated with the concept of ownership nor share, beyond the statutory dividend, in Reserve Bank "profits." ... Bank ownership and election at the base are therefore devoid of substantive significance, despite the superficial appearance of private bank control that the formal arrangement creates.
    Those who can make you believe absurdities can make you commit atrocities.

    Voltaire


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    Franc Tireur is offline Senior Net Builder
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    If you like the subject, you may like this documentary or you may buy the book with more details at: http://www.amazon.com/The-Creature-J.../dp/0912986212

    Creature From Jekyll Island

    Those who can make you believe absurdities can make you commit atrocities.

    Voltaire


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    I wonder if you guys hedge against the dollar becoming devalued? For example, investing in other countries (although this may be denied you). Or what strategies do you adopt to guard against the threat to your US-based wealth?

  6. #6
    Franc Tireur is offline Senior Net Builder
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    Quote Originally Posted by Andy101 View Post
    I wonder if you guys hedge against the dollar becoming devalued? For example, investing in other countries (although this may be denied you). Or what strategies do you adopt to guard against the threat to your US-based wealth?
    For me the best strategy is still investing in assets like real estate and put it in rental, because whatever things that may happen with the US dollar anybody need to live somewhere. The key is buying low at the right time and if possible cash or with a little mortgage no more than 30% of the asset value.
    Those who can make you believe absurdities can make you commit atrocities.

    Voltaire


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