What if the FED went public?
EagleEye
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Dave Harper of Numismatic News wrote a column about predictions for 2017 and beyond. He said that perhaps it would not be far-fetched for the FED to sell stock for up to 49% of their business, in a sense privatizing the FED. He stated that this would put about $1 Trillion into the coffers of the FED balance sheet and remove that much from the debt. This is the first I've heard of this idea. It seems much more "Trumpish" (privatization) than the $1 Trillion-coin idea that was floated around a few years ago.
What do you think?
Rick Snow, Eagle Eye Rare Coins, Inc.Check out my new web site:
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FED is already privately owned by its member banks who are issued stock. This stock pays a fixed 6% dividend and gives the banks a claim on the FED’s annual profits. In 2013 the FED earned $90.5B. Of this, $1.6B was paid out in dividends. The remaining $88B was remitted back to the US Treasury. While the US Treasury doesn’t technically own shares in the Federal Reserve the FED is required to remit its profits at the end of the year back to the Federal Government. The US Treasury is the recipient of most of the Fed’s profits.
The FED exists to serve the payments system. This means it is a supporter of the US banking system. Before it can ever achieve its dual mandate on price stability and full employment the FED must ensure the payments system is healthy. This makes the health of banks it number one priority. Unchecked abuse (congress oversees the operation) of this priority by its member banks is the big problem with the current arrangement.
Rather than trying to make the FED another APPLE or MICROSOFT, we would all be better served if the FED was less influential and forced to concentrate strictly on its stated mandates. It looks like the FED is about to get reigned in.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
Do you really think the Federal Reserve wants the public to realize they are not owned by the US government? Or that they haven't been audited in forever? Or that they would have to share their financial information/results wth shareholders or the SEC?
No chance that will ever happen...it defeats the entire purpose of being able to create US dollars out of thin air, haha.
It looks like the FED is about to get reigned in.
From Forbes:
Less than 10 years after the worst financial crash since 1929, the new American government has already forgotten about the dangers of lax regulation in finance. Not only is international cooperation to ensure global financial stability facing the ax, but so are all attempts to cut American banks down to size and force them to treat their customers and the American public fairly. Instead, American banks are to benefit from the dismantling of regulations and the politicization of the Federal Reserve.
The Fed's New Mission: Never Mind Financial Stability, Promote American Banks
King Henry I in 1125 gave the order, "All the moneyers who were in England should be mutilated". Specifically, they should each "lose their right hand and be castrated."1 According to the Anglo-Saxon Chronicle, Bishop Roger of Salisbury rounded up the moneyers in the city of Winchester and carried out the order.
RE: The Creature From Jekyll Island
@drwstr123.... Sometimes, being King, is really good....
Cheers, RickO
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