The Federal Reserve Act was passed at 11:45 p.m. on Christmas Eve in 1913 by congress. Congress is solely granted the power “To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures;” by Article 1 Section 8 of the US Constitution. The fact that the congress handed this power to the fed without a Constitutional Amendment is unconstitutional, wrong and offensive.
The FED is the central bank of the United States. The problem is that it is private and for profit just like any other bank. They control the currency and credit for our nation and they seek to make profits off the backs of the American taxpayers. What is worst is that they are secretive. They have NEVER BEEN AUDITED. Their books are sealed and they refuse to let even Congress know what they are doing or where they direct the American people’s money. The value is not based on a hard commodity like gold, nor is it backed up by silver. Instead the "money" in circulation is printed out of thin air and is essentially backed up by your future work. The dollars in circulation are really notes of debt, they are borrowed by the federal government from the private FED against your future earnings just like you would get a mortgage for example.The "money" which is all borrowed from the FED must be paid back with interest which is impossible because they print and digitally issue far more currency then we could actually pay back when viewed against our GDP.
I really recommend anyone interested in learning more about the FED read the book "End the FED" by Ron Paul. I am reading it now and it really paints a clear and simple picture of what the FED is, how it work and why we need to replace it.
"Since 1913 the dollar has lost over 95f its purchasing power, aided and abetted by the Federal Reserve's loose monetary policy. The Federal Reserve Transparency Act would achieve much-needed transparency of the Federal Reserve System." - Ron Paul
This inflation is a hidden tax, much larger then the rest of the taxes combined.
The Federal Reserve System does appear to be very mysterious, but your arguement doesn't seem to contain any factual information. It sounds like a conspiracy theory, a very interesting one, however there has to be evidence. This was stated on Wiki "According to the board of governors of the Federal Reserve, "It is not 'owned'by anyone and is 'not'a private, profit-making institution'. It's basically there word against yours or the author that you cited as a source in your arguement.
ReplyDeleteWiki does state under the criticisms section that audits are limited and there has been a proposal for a Federal Reserve Transparency Act to "broaden the scope of the audits". In your post you state that American dollars in circulation are really just notes of debt. I did find that the Federal Reserve has the power to act as a lender of last resort by extending credit. I find it interesting that the wiki article didn't go into detail on exactly how much tax is charged for money that is generated. It didn't even state if there was an interest charge which I found very peculiar. So in conclusion, I think your argument could be true but until this is truly exposed and there is real proof of this happening, then it's not a valid argument.
Source: http://en.wikipedia.org/wiki/Federal_Reserve_System