Let's be Competitive — Free the Fed!

MoneyNews.com (Newsmax) ^ | May 30, 2007 | John Browne

[Moonman62]

Ultimately. Especially since Chase is one of the major shareholders of the Federal Reserve.

And who are the shareholders of Chase and the other money center banks?

[rednesss]

Show me the audit.

[Toddsterpatriot]

Follow my link. Two links there will show you the audits.

[Toddsterpatriot]

You never did say whether it was a good idea that that information is more closely guarded than the nuclear launch codes.

Who owns the Federal Reserve?
The Federal Reserve System is not "owned" by anyone and is not a private, profit-making institution. Instead, it is an independent entity within the government, having both public purposes and private aspects.

As the nation's central bank, the Federal Reserve derives its authority from the U.S. Congress. It is considered an independent central bank because its decisions do not have to be ratified by the President or anyone else in the executive or legislative branch of government, it does not receive funding appropriated by Congress, and the terms of the members of the Board of Governors span multiple presidential and congressional terms. However, the Federal Reserve is subject to oversight by Congress, which periodically reviews its activities and can alter its responsibilities by statute. Also, the Federal Reserve must work within the framework of the overall objectives of economic and financial policy established by the government. Therefore, the Federal Reserve can be more accurately described as "independent within the government."

The twelve regional Federal Reserve Banks, which were established by Congress as the operating arms of the nation's central banking system, are organized much like private corporations--possibly leading to some confusion about "ownership." For example, the Reserve Banks issue shares of stock to member banks. However, owning Reserve Bank stock is quite different from owning stock in a private company. The Reserve Banks are not operated for profit, and ownership of a certain amount of stock is, by law, a condition of membership in the System. The stock may not be sold, traded, or pledged as security for a loan; dividends are, by law, 6 percent per year.

Who owns the Federal Reserve?

Wow! 6%!

[rednesss]

Organization - The Federal Reserve System was established by Congress in 1913 and consists of the Board of Governors (Board), the Federal Open Market Committee, the twelve regional Federal Reserve banks, the Federal Advisory Council, and the private commercial banks that are members of the System.

The Board, unlike the Reserve Banks, was established as a federal government agency and is supported by Washington staff numbering approximately 1,800, as it carries out its responsibilities in conjunction with other components of the Federal Reserve System.

[Toddsterpatriot]

So what?

What'd you think about my uncovering of those top secret profit numbers? Pretty cool, huh?

Wow, 6% dividend! You'd think that controlling the Fed would get you a higher rate of return.

[rednesss]

And Wikipedia is never wrong is it??? http://en.wikipedia.org/wiki/Federal_Reserve

Nice cut and paste. Wikipedia.

[Toddsterpatriot]

If you followed my link, you’d know it wasn’t Wikipedia.

[ovrtaxt]

FAIRTAX!!!

[rednesss]

Profit, from Latin meaning "to make progress", is defined in two different ways. Pure economic profit is the increase in wealth that an investor has from making an investment, taking into consideration all costs associated with that investment including the opportunity cost of capital. Accounting profit is the difference between retail sales price and the costs of manufacture. A key difficulty in measuring either definition of profit is in defining costs.

Dividends are payments made by a company to its shareholders. When a company earns a profit, that money can be put to two uses: it can either be re-invested in the business (called retained earnings), or it can be paid to the shareholders of the company as a dividend. Many companies retain a portion of their earnings and pay the remainder to their shareholders.

And anyone who has ever been self-employed knows that the biggest friend to you when it comes time for taxes, is business "COSTS" wink wink, nudge nudge. Now where are those receipts.

[Toddsterpatriot]

Wikipedia! I’m so proud of you. Ping me when you actually make some sort of point.

[Fan of Fiat]

Now that’s funny!

[Toddsterpatriot]

Did you know we pay the Fed $1 trillion a year and all the shareholders get is a lousy 6% dividend? LOL!

[rednesss]

Do you actually believe that??

[Toddsterpatriot]

No, I don’t believe that we pay the Fed $1 trillion a year. I also don’t believe that we owe the Federal Reserve $6.5 trillion.

[Fan of Fiat]

Strike “so bad at math”

Insert “dumb”

[Toddsterpatriot]

Better?

[Fan of Fiat]

Perfect!

[Toddsterpatriot]

You’re right, their ignorance goes beyond math.

[rednesss]

Oh, how cute, you two are like the two chipmunks, Chip and Dale.