Sunday, December 06, 2009

79% support auditing the Federal Reserve

According to Rasmussen:

Friday, December 04, 2009 - Federal Reserve Board Chairman Ben Bernanke on Thursday voiced his opposition to legislation calling for regular audits of the Fed’s monetary policies, but 79% of Americans think auditing the Fed is a good idea....

The new findings mark a four-point increase in support for auditing the Fed from July. The audit - to be conducted by the General Accounting Office, Congress’ investigative agency - was first proposed by Republican Congressman Ron Paul and is now part of the House’s version of a bill putting more regulatory controls on the financial sector. The Senate is more skeptical of the audit proposal.

Yet the Banking Committee Chairman, Senator Chris Dodd, still opposes auditing the Federal Reserve.


Maybe Senator Dodd doesn't want to shine a light on the fact that The Beast The Federal Reserve has been giving hundreds of billions of dollars in bailouts to foreigners.

Watch Congressman Alan Grayson (Populist - FL) explain:

Bailouts for Wall Street will probably look great when compared to bailouts for foreigners.

Tim White


mcjk said...

It really is not giving away billions of dollars. These are swap arrrangements (currency for currency). So the reason is why? Who benefits? Well if the Fed wanted to stage a dollar rally this certainly would help as it created a demand for dollars; and we did have a dollar rally at the time this was going on. But like most things politicians and the fed do; they do not think about the consequences or long term effects of their actions. Here more dollars eventually erodes the value of a dollar.

tim white said...

It really is not giving away billions of dollars

What if some of the money went to Dubai? I have no idea if that money would ever be repaid.

mcjk said...

Tim, they are not loans, we get foreign currency back. Grayson really went at this point from the wrong direction. You can read about it here:

tim white said...

If they're vanilla currency swaps, I understand. But then, Lehman certainly had vanilla currency swaps out in the market.

I'm just saying that while bailouts are bad in the sense that certain people (Blankfein??) get favors... while you and I get shafted.... but at the same time... I still think a country's central bank (i.e. Dubai) can potentially go belly up and reneg on those swaps... leaving us, the American Taxpayers, out to dry.

Likely? Not so much... at least not in an absolute sense.

mcjk said...

Tim, you have it absolutely backwards in your last post. Who do you think it going to default on its debt?

tim white said...

fair enough... but it seems as though Dubai would declare bankrupcy before the US does. (If that's your point.)

Anonymous said...

The problem in Dubai is being played out in the manner that any bankruptcy attorney would advise. If you do not use the ‘D’ default word there is no way to work out a settlement with your creditors.

mcjk said...


I was a bit puzzled why you thought Dubai would declare bankrupcy before the US. I did some research and I just read an ariticle; I stand corrected. It was a very depressing ariticle how they enslave the foreign working class. They should declare bankrupcy before us; however I think they will be bailed out by their rich neighbors.