bobomite

To Avoid Failure, Get Really Big; Everybody Else, Watch Out

The Federal Reserve System is owned by the largest of those banks. I am going to take a wild guess that the banks doing well own the shares.

The Fed is not our friend at all. Neither Bernake or Paulson can be trusted in this matter in the least.

The US Government is charged with issuing currency, debt free currency. Paying interest to the "Fed" for our own currency is the beginning of this debt spiral we now see unwinding.

The solution is really simple.

Is the $700 Billion Really for Bailing Out the Fed?

This is one of the better articles I have read on the root of the problem.

Interestingly no one has proposed issuing actual, debt free US currency to simply buy these distressed banks. The US had a very successful debt free currency from the Revolutionary War until it was eliminated in 1971. It was called the Greenback.

The largest of these distressed banks who need a bailout are the owners of the shares of the Federal Reserve System. These shares pay a 6% annual dividend. This is information available on the Federal Reserve website.

This bailout is simply the Fed desperately trying to stay alive by sucking cash directly from the taxpayer. If we demand equity from these banks for this cash, we will start buying back the right to issue our own currency.

Don't let them get this money without handing over equity.

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PS, Wyoming: The Treasury does print the paper, and the "Fed" buys it for the cost of printing, and then sells it back to the US at interest. This is the beginning of the debt spiral we now see unwinding.