Who is the Federal Reserve?
From the WSJ (subscription):
Treasury Secretary Henry Paulson called Wednesday for "some type" of additional oversight of investment banks by the Federal Reserve in connection with the recent decision to give them access to the central bank's credit.
Separately, the top two members of the U.S. Senate Finance Committee have asked the Federal Reserve and Treasury Department for extensive details on J.P. Morgan Chase & Co.'s deal to acquire Bear Stearns Cos.
The Fed's move earlier this month to start providing liquidity to primary dealers for the first time since the 1930s "deserves praise," said Mr. Paulson in prepared remarks for a speech to the
"Certainly any regular access to the discount window should involve some type of regulation and supervision," said Mr. Paulson. (Read the prepared text of the speech.)
Thus, he suggests two measures to improve Fed oversight of investment banks, including greater access to information and public disclosure.
The Fed should have access to the information it needs to make lending decisions, said Mr. Paulson. The central bank should continue to work with the Securities and Exchange Commission and Commodity Futures Trading Commission, he said, and consider whether more formal cooperation is needed.
The recently created Term Auction Facility to lend more cash to commercial banks could provide a model for transparency, disclosing the eligible institutions and the magnitude and pricing structure of the lending program, he said.
Still, Mr. Paulson said it is premature to conclude that primary dealers or other nonbanks should have permanent access to Fed credit, saying the recent action "should be viewed as a precedent only for unusual periods of turmoil."
Comment: Since I started studying the events that took place in 1913, the 16th and 17th Amendments, and the Federal Reserve, I believe we have been marching toward one end; despotic oligarchic tyranny aided by corporatists (fascists) and socialists. And with the information contained in this article my opinion is further bolstered.
Are we that stupid that we can’t see what’s going on? Why would we turn over further unconstitutional oligarchic authority to an entity that we have no control over nor know who has membership? Where in the US Constitution does it say anything about a Federal Reserve?
Beware folks, Treasury Secretary Henry Paulson is not a republican, conservative, or even libertarian minded; he is democrat with socialist inclinations who is close friends with Sen. Chuck Schumer of
Write your Congressman, Rep. Ron Paul, and Sen. Grassley and tell them you are opposed to any further control of the banking industry by the Federal Reserve. Tell them it’s time we knew more about this secretive body.
While you should contact your Senator, I believe it is useless. The Senate long ago stopped representing their respective state and US citizens, today they serve only the elites; this is why Paulson can say what he did publicly. If wasn’t the case you be reading about the
Cross posted at One Oar in the Water