Quote:
Originally Posted by Raharu Haruha
We don't BUY money. we lend it. small banks lend from the Fed. The Fed makes money off of the interest. The Fed can't keep this money, or else the amount of money would inflate at close to twice the rate it does now. Interest paid to the fed is either removed from the money supply or it is given directly to the government.
|
I'm not really sure where to begin there. The FED prints the money for the United States. We borrow it FROM them at interest. We pay them to print our money. So in short, we are buying our money from them.
Quote:
Originally Posted by Raharu Haruha
It IS a way that we get taxed, but it also keeps our money from inflating too fast and it gives one singular group the ability to affect the demand of housing. since they have that power they use it to help americans.
|
Perfectly true, except the last line. This discussion is showing that they are not using that power to help Americans, and therein lies the core problem.
Quote:
Originally Posted by Raharu Haruha
if you've been watching wall street, you would have seen that we are close to a recession. however, the fed lowered interest rates so much that we may just be able to stop ourselves before we fall to that point.
|
Recession, we'll be lucky if that's all. You can mark my words, we will be in a depression before it's over. That's what this entire system has been building to, the control of the citizens through the only means of value-trading they've allowed; money. The FED lowering the interest rates is just to appease the people. Keep in mind, if you're thinking about things in their terms of the hows whens and whys, they're going to keep the public as unaware and happy as long as they can. In the end, those lowered interest rates won't mean a thing when they crash the market. Yes, they will crash it.
Quote:
Originally Posted by Raharu Haruha
i will consider your theory proven if you can explain what the fed does with its money that it makes off inflation.
|
Makes off inflation or interest? The answers would be different, but here's the thing: it doesn't matter. You're focusing on the outside facade and forgetting that they
print the money. Any money they "make" in return is just superfluous paper with a trail. Money means nothing to those who create it.