Thursday, November 26, 2009

Congressman Grayson questions Bernanke on Fed loans to foreign central banks

Congressman Alan Grayson (D-Orlando) asks some appropriate and absolutely necessary questions of Ben Bernanke, Chairman of the Federal Reserve Board's (The Fed) Federal Open Market Committee (FOMC). It's about five minutes long and Bernanke's answers are IMHO absolutely astounding, eye-opening and worse-than-troublesome. If you have five minutes on this holiday, I hope you take the time to watch it.

I think the most easily understood, troubling line of questioning by Grayson was:

The Constitution says "No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law." Do you think it's consistent with the spirit of that provision in the Constitution for a group like the FOMC to hand out a half a trillion dollars to foreigners without any action by this Congress?

America's monetary policy is wrong, wrong, wrong. I still don't understand how someone like Senator Chris Dodd (Political Class - CT) actually defends it. But at least America has people like Rep. Grayson (Populist - Orlando) and Senator Bernie Sanders (Populist - VT) who are willing to fight the well-heeled special interests and demand the truth.

Tim White

h/t to MJR for this clip that I had missed!


Anonymous said...

I would like everyone to scroll down to the first video of the Paul/Grayson debate about the Watt Amendment posted by Tim on 11-22-09. click on the video with Grayson shown and go to about the 5:10 minute mark where Grayson gives up his time to Mr. Watt.

Listen to Mr. Watt's words about the US Fed "handing out money to foreign cental banks," then come back and listen to this video again. I wish I can edit these two videos together to prove the ignorance of Mr. Watt. This is politics at its very best.

I guess it's time for more smoke and to take a nap now the tryptophan is kickin' in. Happy Thanksgiving everyone.


Tim White said...

Good catch MJR.

You got me wondering...

Q: Why would Mel Watt carry water for The Fed?

A: some random thoughts...

Mel Watt represents Charlotte, NC.

The TBTF Bank of America is located in Charlotte.

TBTF BOAs outgoing Chairman Ken Lewis was/is a FEDster.

Apparently though, he's no longer official.

Regardless, with a few quick google searches... it's obvious to me why Congressman Mel Watt (Political Class - NC) carries water for the Fed... just like our own Senator and Banking Chairman, Chris Dodd.