Quote:
Originally Posted by djplong
To those who suggest the Fed is destroying the country and that it either should be abolished or recognized as illegal, I *respectfully* submit the following:
How would you then prevent the boom/bust/panic cycle that preceeded it?
Granted the economy today isn't the greatest, by a long shot, but the Fed *did* intervene and most seem to concur that it would have been a LOT worse without the intervention.
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The FED intentionally CAUSES these bubbles that result in the crisis when the air comes out. The FED creates money out of thin air and pumps money into the system to create a fever of false level of economic activity, then when inflation comes they raise interest rates to try to cool off the fever THEY CREATED. This has happened over and over, and the cycle gets bigger and faster each time until it cannot be controlled.
And worst, when bankers and nations believe that it is ok to take more risk than they should because they know the FED Is the safe haven of last resort will always PRINT us out of any mess , they will loan money to home buyers or businesses who cant afford it, and they support a gov that will nationalize the risks and losses, and privatize the gains, and we will just run HUGE deficits using PHONEY money printed by the FED to pay for it.
Do you know who is being hurt the most by the FED?
SAVERS like you and me. They are deliberately trying to hold interest rates low to encourage people to borrow, take RISKS, NOT SAVE, and when it comes due they are trying to create "controllable" inflation which reduces the value of our savings. They are interfering with the free market economy which destroys our savings.
Do you really think that is a GOOD idea?
FIAT money systems ALWAYS fail..
JJ