Libertarian's Forum
Libertarian Forum to discuss politics and free market economics.
Libertarian's ForumLibertarian's ForumFreedom Forum › Is the Federal Reserve Necessary for National Security Purposes?
Page Index Toggle Pages: [1] 2  Send TopicPrint
Hot Topic (More than 10 Replies) Is the Federal Reserve Necessary for National Security Purposes? (Read 518 times)
bblokk
Libertarian Member1
**
Offline

Libertarian's Forum

Posts: 1
Joined: May 30th, 2019
Is the Federal Reserve Necessary for National Security Purposes?
May 31st, 2019 at 10:00am
Print Post  


If the Federal Reserve were to dissolve tomorrow, other central banks like PBOC or CBR can try to influence financial markets in the U.S. Is the Federal Reserve necessary for national security purposes?
  
Back to top
 
IP Logged
 
Jeff
Libertarian Freedom Member
*****
Offline

Libertarian's Forum

Posts: 46325
Location: USA
Joined: Feb 26th, 2014
Re: Is the Federal Reserve Necessary for National Security Purposes?
Reply #1 - May 31st, 2019 at 10:13am
Print Post  
bblokk wrote on May 31st, 2019 at 10:00am:


If the Federal Reserve were to dissolve tomorrow, other central banks like PBOC or CBR can try to influence financial markets in the U.S. Is the Federal Reserve necessary for national security purposes?
Probably not for national security purposes, but a central bank has useful purposes that can't be filled by competing private banks (or Central Banks belonging to foreign powers), for one, issuing standard money, which is quite helpful to commerce.

The biggest problem I see with the Fed is the lack of any connection between FRNs and a tangible commodity, like gold or silver. This adds to the serious problem that the Fed itself can't lose by issuing too much fiat money, they stand only to win.

In short, all of the "safeguards" that should exist to keep a central bank under control have been reduced to the single 'check' of political power, and politicians really love unlimited supplies of "money". Cry

Edit: I also think it's dangerously distortionary to any economy to give any single bank or financial establishment the sole power to control interest rates.

  

"Free hate speech"
Back to top
 
IP Logged
 
Little Big Man
Libertarian Freedom Member
*****
Offline

Libertarian's Forum

Posts: 5815
Location: Republic of Me
Joined: Sep 11th, 2017
Re: Is the Federal Reserve Necessary for National Security Purposes?
Reply #2 - May 31st, 2019 at 11:51am
Print Post  
Jeff wrote on May 31st, 2019 at 10:13am:
Probably not for national security purposes, but a central bank has useful purposes that can't be filled by competing private banks (or Central Banks belonging to foreign powers), for one, issuing standard money, which is quite helpful to commerce.

The biggest problem I see with the Fed is the lack of any connection between FRNs and a tangible commodity, like gold or silver. This adds to the serious problem that the Fed itself can't lose by issuing too much fiat money, they stand only to win.

In short, all of the "safeguards" that should exist to keep a central bank under control have been reduced to the single 'check' of political power, and politicians really love unlimited supplies of "money". Cry

Edit: I also think it's dangerously distortionary to any economy to give any single bank or financial establishment the sole power to control interest rates.



The constitution gives the federal government the power to “coin money.”  Paper money was well known at the time, but the constitution does not grant the federal government the power to “print money.”
  

Snarky no more!
Back to top
 
IP Logged
 
SkyChief
Libertarian Freedom Member
*****
Offline

Libertarian's Forum

Posts: 11320
Location: California Coast
Joined: Aug 18th, 2014
Re: Is the Federal Reserve Necessary for National Security Purposes?
Reply #3 - May 31st, 2019 at 12:28pm
Print Post  
Little Big Man wrote on May 31st, 2019 at 11:51am:
. .. the constitution does not grant the federal government the power to “print money.”

Right.

The Federal Reserve (aka the Creature From Jekyll Island) is an independent banking cartel with zero oversight.  Meaning they are free to do whatever the eff they want.    And they do!   Grin

"The Federal Reserve is an independent agency, and that means, basically, that there is no other agency of government which can overrule actions that we take. So long as that is in place and there is no evidence that the administration or the Congress or anybody else is requesting that we do things other than what we think is the appropriate thing, then what the relationships are don't, frankly, matter."  - Alan Greenspan (NewsHour with Jim Lehrer 18th September 2007)

Increasing the money supply devalues the currency, but makes the Banks richer because the banks are paid interest on money that doesn't even exist. 

It's just numbers on a ledger!

It's the biggest banking scam in the history of all mankind.

The "Federal Reserve Act" was signed into Law by Woodrow Wilson on December 23, 1913.
  
Back to top
 
IP Logged
 
EWS
Libertarians Full Member
***
Offline

Libertarian's Forum

Posts: 103
Location: Idaho
Joined: May 6th, 2019
Re: Is the Federal Reserve Necessary for National Security Purposes?
Reply #4 - May 31st, 2019 at 12:46pm
Print Post  
SkyChief wrote on May 31st, 2019 at 12:28pm:
Right.

The Federal Reserve (aka the Creature From Jekyll Island) is an independent banking cartel with zero oversight.  Meaning they are free to do whatever the eff they want.    And they do!   Grin

Increasing the money supply devalues the currency, but makes the Banks richer because the banks are paid interest on money that doesn't even exist. 

It's just numbers on a ledger!

It's the biggest banking scam in the history of all mankind.

The "Federal Reserve Act" was signed into Law by Woodrow Wilson on December 23, 1913.


Now my history may be a bit off, but Prior to the FRA, didn't we have a rapidly growing economy, expanding infrastructure and education rates on the rise. Compare to after the FRA when thing's went down the toilet? Or was that FDR's new deal that screwed us?
  
Back to top
 
IP Logged
 
SkyChief
Libertarian Freedom Member
*****
Offline

Libertarian's Forum

Posts: 11320
Location: California Coast
Joined: Aug 18th, 2014
Re: Is the Federal Reserve Necessary for National Security Purposes?
Reply #5 - May 31st, 2019 at 1:17pm
Print Post  
EWS wrote on May 31st, 2019 at 12:46pm:
Now my history may be a bit off, but Prior to the FRA, didn't we have a rapidly growing economy, expanding infrastructure and education rates on the rise. Compare to after the FRA when thing's went down the toilet? Or was that FDR's new deal that screwed us?

Both are correct.  (IMO)

Congress had the Constitutional power to coin money (from gold & silver).  They did NOT have the power to print bank notes.   So they created the Federal Reserve who assumed the power to create Federal Reserve Notes which were issued in 1914.

Supposedly, there were gold bullion stored in vaults to "back" the FRNs issued by the Fed, but as the Fed is exempt from any audits, it was done on the "honor" system.    (Yes,  that sounds absurd)

FDR proposed New Deal Excise Taxes, which meant that the New Deal was substantially financed by the middle class and poor people.   These were things that were Taxed;

alcoholic beverages, cigarettes, matches, candy, chewing gum, margarine, fruit juice, soft drinks, cars, tires (including tires on wheelchairs), telephone calls, movie tickets, playing cards, electricity, radios...

New Deal taxes were major job destroyers during the 1930s, prolonging unemployment that averaged 17%.

https://www.cato.org/publications/commentary/how-fdrs-new-deal-harmed-millions-p...

Progressive policy/redistribution ALWAYS harms the productive middle class.
  
Back to top
 
IP Logged
 
kaz
Libertarian Freedom Member
*****
Offline

Minarchist

Posts: 7988
Location: Kazmania
Joined: Jun 6th, 2017
Re: Is the Federal Reserve Necessary for National Security Purposes?
Reply #6 - May 31st, 2019 at 3:22pm
Print Post  
bblokk wrote on May 31st, 2019 at 10:00am:


If the Federal Reserve were to dissolve tomorrow, other central banks like PBOC or CBR can try to influence financial markets in the U.S. Is the Federal Reserve necessary for national security purposes?


Of course not.  The Fed is the greatest criminal organization in the history of mankind.  It should be blown up and dissolved ... with prejudice ...

For the NSA:  Blown up is figurative, not literal
  

Contest winner:  I predicted Kaz' meltdown
Back to top
 
IP Logged
 
Jeff
Libertarian Freedom Member
*****
Offline

Libertarian's Forum

Posts: 46325
Location: USA
Joined: Feb 26th, 2014
Re: Is the Federal Reserve Necessary for National Security Purposes?
Reply #7 - May 31st, 2019 at 4:39pm
Print Post  
Little Big Man wrote on May 31st, 2019 at 11:51am:
The constitution gives the federal government the power to “coin money.”  Paper money was well known at the time, but the constitution does not grant the federal government the power to “print money.”
That's why Hamilton's idea to create a public/private bank that would provide loans for capital investment and fund the government's obligations.

This had many very real benefits.

The government had to help by fixing the real value of a "Dollar" and hoping it's value stayed fairly constant. Creating really beautiful precious metal coins didn't hurt...
  

"Free hate speech"
Back to top
 
IP Logged
 
Jeff
Libertarian Freedom Member
*****
Offline

Libertarian's Forum

Posts: 46325
Location: USA
Joined: Feb 26th, 2014
Re: Is the Federal Reserve Necessary for National Security Purposes?
Reply #8 - May 31st, 2019 at 4:42pm
Print Post  
EWS wrote on May 31st, 2019 at 12:46pm:
Now my history may be a bit off, but Prior to the FRA, didn't we have a rapidly growing economy, expanding infrastructure and education rates on the rise. Compare to after the FRA when thing's went down the toilet? Or was that FDR's new deal that screwed us?
Your knowledge of that history seems spot on to me.

It was a combination, Lord Keynes and his "progressive" minions screwed the economy (with the help of millions of regular normal people) and the New Deal then prolonged the crappity smack-up and made it get even worse from time to time. Angry

Edit: What got the country out of the gigantic screw up (crappity-smack-up) was repealing most of the New Deal.

Blame "progressives" that any of it was kept.


  

"Free hate speech"
Back to top
 
IP Logged
 
EWS
Libertarians Full Member
***
Offline

Libertarian's Forum

Posts: 103
Location: Idaho
Joined: May 6th, 2019
Re: Is the Federal Reserve Necessary for National Security Purposes?
Reply #9 - May 31st, 2019 at 6:52pm
Print Post  
Always funny to me that when progressives get a little power, they tend to stop all actual progress and growth.
  
Back to top
 
IP Logged
 
Page Index Toggle Pages: [1] 2 
Send TopicPrint
 
Libertarian's ForumLibertarian's ForumFreedom Forum › Is the Federal Reserve Necessary for National Security Purposes?
Libertarian's Forum

Libertarian's Forum Information Rules, Agreement and Privacy Policy