END THE FED Annual Phoenix Rally - Monday, November 22nd - 9:00 a.m.
• AZ Coordinator for END THE FED Ed VallejoOnce again we Rally for SOUND MONEY FOR AMERICA at the hidden Federal Reserve Cash Processing Facility in West Phoenix WITH SIGNS IN HAND...
Is this a joke? It says “PARTY TIME”. I don’t like it at all when it sounds like this event is organized as a form of merrymaking.
The weakest way to kick Bernanke in the ass is when you attack his motive. No one can “create” a motive for him so that you can paper-bomb it to smithereens! That’s brain that is not working properly because it is consumed by too much hatred against the Fed and its alleged conspirators who like economic vampires are sucking the nation’s blood dry to the bone.
Actually, the FED is just another company. Let the dumb thing exist. Simply take away anything that they have to do with Government or the people. Put the money back into the hands of the Treasury. And, let the States print and mint their own money individually, like they originally had the right to do.
:)
I can't make it this year because I have to work. But, I have gone the last few years and my experience has been that having the rally in front of the processing center in west Phoenix did not give much exposure and with the exposure it did have, the message didn't quite penetrate the language barrier. If I could make a suggestion: maybe there could be a freeway signwave during rush hour or at least pick an intersection that has more traffic.
Is the pasted writing of interest ??
Reb
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QE2 --- A RATIONAL COURSE OF ACTION ???
Pundits are reacting with aghast at Bernanke’s QE2. The purpose of QE2 is not for the benefit of society; it is a desperate act of self-preservation by the Federal Reserve.
If the market is left alone, the value of mortgages held by the banks will continue to fall. When the toxic mortgages eventually have to be written to value, the assets of the banks will rapidly de-leverage---and the banks are obviously bankrupt. When the banks fail, the riots start and Congress--to make a show for the public--will have to point fingers at someone (other than themselves) and that will be at the Fed. If the man behind the curtain is exposed to scrutiny or an audit, all hell will break loose. The Fed will be like BCCI on steroids.
We have to appreciate how the Fed receives phenomenal gain from T-securities---and the transfer of wealth from the citizenry to the financiers.
Let us make sure we agree on how the Fed and Congress create printing-press fiat money via deficit spending. Congress grants a T-security to the Fed (asset) and the Fed credits the Treasury’s account (Federal Reserve Notes) as a liability. The checks written by the Treasury on that credit will then be honored by the check clearing procedure of the Fed. (Congress recently gave $700 billion in T-securities as TARP funds. Congress spent the money. The Fed swapped the T-securities for toxic MBS.)
[Granted, this is a vast simplification of the process. The basic accounting by the Fed can be reviewed at 2009 Annual Report to Congress by the Board of Governors, from page 448 http://www.federalreserve.gov/boarddocs/rptcongress/annual09/pdf/ar09.pdf . Treasury accounting breakdown is accessible at http://www.fms.treas.gov/mts/mts0610.pdf .]
, from page 448Congress gets to spend the fiat money so created and the Fed holds the security and receives interest. When the security matures, the Treasury must redeem the security. The value of fiat money initially created must then be paid to the Fed and becomes gain. The “loan” has been repaid. The Fed has the entire value of the security as profit.
The Fed has an acceleration option used for virtually all securities--it will sell the security. Arrangements are made whereby the Treasury acts as auctioneer. Primary Dealers are required to submit bids and usually about 90 percent of each new issue is sold. The operation is touted as the public buying securities from the Treasury. Upon maturity the Treasury redeems the security from the holder. The Fed receives the (bid) value of the security upon the sale. [The Fed’s receiving the bid value is disputed by Treasury statements. Ref. http://www.forexpros.com/news/general-news/analysis-angry-us-bankers-seek-curbs-on-direct-bidders-118760. Treasury financial statements also claim “borrowing from the public” finances government operations. Direct borrowing from the public cannot, in any way, expand the monetary system or result in the creation of fiat money. The label is deliberatively misleading.]
By either of the two methods, the Fed has received the value of the security. The total value of all issued T-securities becomes a gain for the Fed. Good luck on trying to follow this sequence in the accounting records. Even Enron, World Com, and Bernie were able to cook the books---and they were audited.
The method used by Congress to fund the redeeming of the security, and the interest incurred, is beyond the scope of this writing. THINK---more T-securities. The economic scheme imposed by the Federal Reserve is a self-destructive Ponzi scheme predestined to inherent national bankruptcy. Any Ponzi scheme, including the Fed, cannot survive downsizing (or deflation). Ref: Rip-off by the Federal Reserve, http://www.scribd.com/doc/43482648/rip-off-by-the-FR
Postscript: The law, and the public, be damned. We are seeing the essence of government---POWER. And the origin of that power is in New York---not in Washington. Congress sold out the public in 1913 and in repeated legislative acts since then. Congress has danced to the tune of deficit spending; the piper is now being paid. Unfortunately, it is the public paying the price.
PPS: Numerous writers have written that the Fed is printing money. (The actual “printing” of what are labeled Federal Reserve Notes is by the U.S. mint and sold to the Fed for the cost of printing---about 4 or 5 cents per Note---whether it reads $1 or $100.) QE2 involves purchases by the Permanent Open Market Operation which put money into circulation. The purchase power the Fed is using has been created by the humongous deficit spending (giving T-securities to the Fed) by Congress. The Fed cannot create money by itself. Ref. Rip-off by the Federal Reserve, http://www.conspiracyarchive.com/Blog/?p=3908