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Politics : Dutch Central Bank Sale Announcement Imminent? -- Ignore unavailable to you. Want to Upgrade?

To: Ahda who wrote (18158)	5/2/2003 3:49:38 PM
From: sea_urchin	Read Replies (2) \| Respond to of 81265

Darleen > Surprisingly grim figures on U.S. manufacturing and jobs on Thursday showed the end of fighting in Iraq provided no immediate boost to the economy, suggesting drastic remedies from the Federal Reserve may yet be needed. That single sentence illustrates the whole problem. 1. How can the cessation of 3 weeks of military activities in a remote part of the world boost the economy? In truth, war is the boost to the economy, peace is the opposite. But the Iraqi war, in fact, was neither --- it was hardly a war and will be a fictional peace. 2. What remedies can the Fed apply which are more drastic than that which exists at the moment --- the creation of even more money out of nothing and the simultaneous creation of more unpayable debt? Indeed, if there is no economy, then what good is fiat money? gooff.com >>>It is difficult for Americans to come to grips with the fact that their total money supply is backed by nothing but debt, and it is even more mind boggling to visualize that, if everyone paid back all that was borrowed, there would be no money left in existence. That's right, there would not be one penny in circulation -- all coins and all paper currency would be returned to bank vaults -- and there would be not one dollar in any one's checking account. In short, all money would disappear. Marriner Eccles was the Governor of the Federal Reserve System in 1941. On September 30 of that year, Eccles was asked to give testimony before the House Committee on Banking and Currency. The purpose of the hearing was to obtain information regarding the role of the Federal Reserve in creating conditions that led to the depression of the 1930s. Congressman Wright Patman, who was Chairman of that committee, asked how the Fed got the money to purchase two billion dollars worth of government bonds in 1933. This is the exchange that followed. ECCLES: We created it. PATMAN: Out of what? ECCLES: Out of the right to issue credit money. PATMAN: And there is nothing behind it, is there, except our government's credit? ECCLES: That is what our money system is. If there were no debts in our money system, there wouldn't be any money.<<< >>>Treasury Says U.S. Could Face Default <<< To whom? The banks, of course. The whole financial system is designed simply with one purpose in mind --- to make more and more money for the banks. And, in case you didn't know, the Fed is the "agent" of the banks. It is their creation. While pretending to act on behalf of the American people, promoting business and fighting inflation etc, in truth, it has a function even more important than that --- to make money for the banks --- either by enabling more debt at low interest rates or raising rates at times of lower debt creation. Right now, when interest rates are historically low, the Fed's function is to see that debt is created as fast and as much as possible. And, the government's task is to assist the Fed in every way, which it clearly does. guardian.co.uk So, if you want to know who the "terrorists" are who are destroying your once great nation, look no further than the nearest bank.