Saturday, August 15, 2009

Audit the Fed! - the website

If you're among the 75% of the American public that wants an audit of the Federal Reserve, then you may want to visit this new website:

And speaking of the Fed, have you ever wondered how it works? Well, one useful tool for me in understanding how something works is to diagram it. I offer my understanding of their independent murky and secretive organizating here:Frankly, I can't figure out if the Presidents of the 12 regional banks are supposed to report to their Boards of Directors... or to the FOMC which is headed by Ben Bernanke.

And this is fairly relevant IMO because in 2008 the then-President of the Federal Reserve Bank of New York, Tim Geithner, negotiated Federal Reserve bailouts for both the Bear Stearns acquisition by JP Morgan and the lifeline offered to Goldman Sachs.

So with regard to those two particular bailouts, was Geithner negotiating a bailout with one of the banks he was regulating? Or was he negotiating a bailout with his boss?

And who knows where the $2.2 trillion in freshly printed bailout money went? And let's not even discuss the $8 trillion in so-called "guarantees" offered by Bernanke to others.

But Washington's Political Class still tells us that the Fed must not be audited.

I can barely believe they actually oppose an audit of the Fed.

Tim White

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