[Tony_SS]

Originally Posted by parsonsj

Somebody overheard us:

http://money.cnn.com/2012/07/25/news....htm?hpt=hp_t3

Interesting stuff.

This from the guy who lobbied to repeal Glass-Steagal. Yeah, it should be brought back, even after the damage has been done.

Originally Posted by parsonsj

That's not true. The Fed is run by a set of regional governors appointed by the President and confirmed by the Senate, with a clear mandate: manage inflation, and maintain full employment. There is a need to keep it from being directly managed by the government, because we don't want politicians managing our economy for political gain.

Creating dollars out of thin air has been the way of the US currency for a long long time, and it is a necessary tool for managing the economy. See Spain, Greece, and Italy as we've been discussing.

I don't see conspiracy and criminal conduct by the Fed, I see principled bankers doing their best in an unbelievably complex environment. Sometimes thing get missed and asset bubbles arise. Sometimes they get flattened in time (dot com), and sometimes they don't (housing).

I'm sure we aren't going to agree on this.

We agree on some things though.

As for the Fed chairmen, The president can only appoint from a pre-selected pool of people. Pre-selected by the heads of the Federal Reserve banks. The chairman is accountable only to the shareholders within the Fed system. An the regional directors are all chosen from within, outside of politics.

Let me ask this... What is more dangerous, a top down monetary policy controlled by a cartel or monopoly of private banking institutions, or a monetary policy that is transparent and accountable and reflects the will of the people?

John: I don't see conspiracy and criminal conduct by the Fed, I see principled bankers doing their best...

Well no one see's ANY conduct because the Fed isnt transparent or regulated in any shape or form! It's ironic that people want to regulate Wall St and banks, but not the Fed.... that is made up of banks. The Fed conducts policy completely outside of any oversight.

This is supposed to be our nation's currency, not the bank's currency, that is used for their gain, at our expense. John, I think you give these institutions far too much clout and trust. Even IF they are innocent, trust worthy principled little bankers, they still need to be transparent and held to certain laws to protect our economy.

But c'mon, you gotta get peeved when Goldman Sachs CEO Blankfien said "he's just a banker, doing God's work". My question is which God?