What Is The FED?, Part Two, or The Wolf Is In The Henhouse

The Federal Reserve Board controls the Federal Reserve system: an elaborate depository chain which guarantees the value of money, determines the cost of money, and controls the flow of money.  Natural economy is based on supply and demand of goods and services.  Contrarily, the American economy is based on the supply and demand of money, controlled entirely by the FED.  Basically, the FED, a private organization; autonomous and accountable to no one, controls and manipulates the American economy.

Why?  Profit.  Private profit.  As long as money is moving, or changing hands, bankers make a profit. When the money stops moving, they get busy and reverse the flow.  The money starts moving the other way, and the FED still makes a profit.

This sequence is known as inflation.  Inflation is not natural, rather it is a result of manipulation.  There was no real, sustained inflation in US history until the FED was established in the early 20th century, but it has been out of control ever since.

Inflation, deflation, it doesn’t matter, as long as the money keeps moving.  That’s the whole point of the Federal Reserve System. Our government doesn’t determine economic policy; it only reacts to it.

To review our earlier post from July 09, the FED loans money to the Federal Government, at an interest rate that the FED controls, paid by your income tax.  This is a debt that will never be paid. You, the taxpayer are hopelessly trapped.  The government keeps borrowing more money, and the national debt just spreads out and expands, and the dollar grows ever weaker.

The Federal Reserve can print money when they need it, simply declare to it have value, then charge interest on it, and it works because we believe them.  It’s basically endorsed counterfeiting.

The Federal Reserve is the faceless puppet master behind the default crisis.   Now they have maneuvered themselves into control of some of the larger private banks, too. More on that later, in the meantime, keep an eye on your credit card statements and read them carefully.

For more information about the history of US Banking and the Federal Reserve, check out this informative website: End the FED!

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