do you know what the federal reserve is?

[Anonymous]

[quote=aldante]If you look at the loss of buying power since 1913 [/quote]

And exactly what does “loss of buying power” even mean over a 100 year period?

How much did cars, computers, or iPods cost in 1913?

How much did a home with electricity, gas, indoor plumbing, central AC, and phone lines cost in 1913?

How much did it cost to travel across the country?

How much did bypass surgery or a polio vaccination cost in 1913?

What percentage of income did the average household spend on food in 1913?

Sorry, you can’t just take a year-over-year inflation number and compound it 100 times over, and then conclude that there is no more “buying power.”

[aldante]

Pri_dk

I think that it simply means that if you held a dollar in your hand in 1913, it would buy you far more then then it would now. I think a buck buys a candy bar these days.

On the other hand if you bot KO stock or one ounce of gold back then compared to now they would have gone up while what you could buy with a Federal Reserve note went way down.

[aldante]

Pri_dk

I think that it simply means that if you held a dollar in your hand in 1913, it would buy you far more then then it would now. I think a buck buys a candy bar these days.

On the other hand if you bot KO stock or one ounce of gold back then compared to now they would have gone up while what you could buy with a Federal Reserve note went way down.

[aldante]

Pri_dk

I think that it simply means that if you held a dollar in your hand in 1913, it would buy you far more then then it would now. I think a buck buys a candy bar these days.

On the other hand if you bot KO stock or one ounce of gold back then compared to now they would have gone up while what you could buy with a Federal Reserve note went way down.

[aldante]

Pri_dk

I think that it simply means that if you held a dollar in your hand in 1913, it would buy you far more then then it would now. I think a buck buys a candy bar these days.

On the other hand if you bot KO stock or one ounce of gold back then compared to now they would have gone up while what you could buy with a Federal Reserve note went way down.

[aldante]

Pri_dk

I think that it simply means that if you held a dollar in your hand in 1913, it would buy you far more then then it would now. I think a buck buys a candy bar these days.

On the other hand if you bot KO stock or one ounce of gold back then compared to now they would have gone up while what you could buy with a Federal Reserve note went way down.

[SK in CV]

I’m going to focus on just one little piece of this comment.

[quote=aldante] Meanwhile the “anti fed” crowd – Ron Paul, Peter Schiff, Marc Faber had been telling us for years that we were in a massive bubble and more importantly why we were in the bubble. [/quote]

All 3 are anti-fed. And Ron Paul did kind of predict the bubble. Though it started at the very early stages of the bubble, so early that it could be argued that when he began making the claim, the bubble didn’t even exist.. But he was dead wrong as to why the bubble was going to happen. He claimed it was all the GSE’s, while the facts are pretty clear (despite the fact that the claims continue to be made) that the GSE’s had virtually nothing to do with the bubble. I suspect that he continues to argue that the point is to support his own bona fides. The facts, however, don’t support either his prediction or his current claims.

[SK in CV]

I’m going to focus on just one little piece of this comment.

[quote=aldante] Meanwhile the “anti fed” crowd – Ron Paul, Peter Schiff, Marc Faber had been telling us for years that we were in a massive bubble and more importantly why we were in the bubble. [/quote]

All 3 are anti-fed. And Ron Paul did kind of predict the bubble. Though it started at the very early stages of the bubble, so early that it could be argued that when he began making the claim, the bubble didn’t even exist.. But he was dead wrong as to why the bubble was going to happen. He claimed it was all the GSE’s, while the facts are pretty clear (despite the fact that the claims continue to be made) that the GSE’s had virtually nothing to do with the bubble. I suspect that he continues to argue that the point is to support his own bona fides. The facts, however, don’t support either his prediction or his current claims.

[SK in CV]

I’m going to focus on just one little piece of this comment.

[quote=aldante] Meanwhile the “anti fed” crowd – Ron Paul, Peter Schiff, Marc Faber had been telling us for years that we were in a massive bubble and more importantly why we were in the bubble. [/quote]

All 3 are anti-fed. And Ron Paul did kind of predict the bubble. Though it started at the very early stages of the bubble, so early that it could be argued that when he began making the claim, the bubble didn’t even exist.. But he was dead wrong as to why the bubble was going to happen. He claimed it was all the GSE’s, while the facts are pretty clear (despite the fact that the claims continue to be made) that the GSE’s had virtually nothing to do with the bubble. I suspect that he continues to argue that the point is to support his own bona fides. The facts, however, don’t support either his prediction or his current claims.

[SK in CV]

I’m going to focus on just one little piece of this comment.

[quote=aldante] Meanwhile the “anti fed” crowd – Ron Paul, Peter Schiff, Marc Faber had been telling us for years that we were in a massive bubble and more importantly why we were in the bubble. [/quote]

All 3 are anti-fed. And Ron Paul did kind of predict the bubble. Though it started at the very early stages of the bubble, so early that it could be argued that when he began making the claim, the bubble didn’t even exist.. But he was dead wrong as to why the bubble was going to happen. He claimed it was all the GSE’s, while the facts are pretty clear (despite the fact that the claims continue to be made) that the GSE’s had virtually nothing to do with the bubble. I suspect that he continues to argue that the point is to support his own bona fides. The facts, however, don’t support either his prediction or his current claims.

[SK in CV]

I’m going to focus on just one little piece of this comment.

[quote=aldante] Meanwhile the “anti fed” crowd – Ron Paul, Peter Schiff, Marc Faber had been telling us for years that we were in a massive bubble and more importantly why we were in the bubble. [/quote]

All 3 are anti-fed. And Ron Paul did kind of predict the bubble. Though it started at the very early stages of the bubble, so early that it could be argued that when he began making the claim, the bubble didn’t even exist.. But he was dead wrong as to why the bubble was going to happen. He claimed it was all the GSE’s, while the facts are pretty clear (despite the fact that the claims continue to be made) that the GSE’s had virtually nothing to do with the bubble. I suspect that he continues to argue that the point is to support his own bona fides. The facts, however, don’t support either his prediction or his current claims.

[Arraya]

Ben S. Bernanke testified on Capitol Hill just before being nominated to succeed Fed Chairman Alan Greenspan. (By Ron Edmonds — Associated Press)
By Nell Henderson
Washington Post Staff Writer
Thursday, October 27, 2005
Ben S. Bernanke does not think the national housing boom is a bubble that is about to burst, he indicated to Congress last week, just a few days before President Bush nominated him to become the next chairman of the Federal Reserve

Criminal liar conspiring against the american people or blithering idiot? you be the judge…

Each Federal reserve bank shall keep itself informed of the general character and amount of the loans and investments of its member banks with a view to ascertaining whether undue use is being made of bank credit for the speculative carrying of or trading in securities, real estate, or commodities, or for any other purpose inconsistent with the maintenance of sound credit conditions; and, in determining whether to grant or refuse advances, rediscounts, or other credit accommodations, the Federal reserve bank shall give consideration to such information. The chairman of the Federal reserve bank shall report to the Board of Governors of the Federal Reserve System any such undue use of bank credit by any member bank, together with his recommendation. Whenever, in the judgment of the Board of Governors of the Federal Reserve System, any member bank is making such undue use of bank credit, the Board may, in its discretion, after reasonable notice and an opportunity for a hearing, suspend such bank from the use of the credit facilities of the Federal Reserve System and may terminate such suspension or may renew it from time to time.

The punishment for making false statements or reports that overvalue an asset is also stated in the U.S. Code:[58]

Whoever knowingly makes any false statement or report, or willfully overvalues any land, property or security, for the purpose of influencing in any way…shall be fined not more than $1,000,000 or imprisoned not more than 30 years, or both.

[Arraya]

Ben S. Bernanke testified on Capitol Hill just before being nominated to succeed Fed Chairman Alan Greenspan. (By Ron Edmonds — Associated Press)
By Nell Henderson
Washington Post Staff Writer
Thursday, October 27, 2005
Ben S. Bernanke does not think the national housing boom is a bubble that is about to burst, he indicated to Congress last week, just a few days before President Bush nominated him to become the next chairman of the Federal Reserve

Criminal liar conspiring against the american people or blithering idiot? you be the judge…

Each Federal reserve bank shall keep itself informed of the general character and amount of the loans and investments of its member banks with a view to ascertaining whether undue use is being made of bank credit for the speculative carrying of or trading in securities, real estate, or commodities, or for any other purpose inconsistent with the maintenance of sound credit conditions; and, in determining whether to grant or refuse advances, rediscounts, or other credit accommodations, the Federal reserve bank shall give consideration to such information. The chairman of the Federal reserve bank shall report to the Board of Governors of the Federal Reserve System any such undue use of bank credit by any member bank, together with his recommendation. Whenever, in the judgment of the Board of Governors of the Federal Reserve System, any member bank is making such undue use of bank credit, the Board may, in its discretion, after reasonable notice and an opportunity for a hearing, suspend such bank from the use of the credit facilities of the Federal Reserve System and may terminate such suspension or may renew it from time to time.

The punishment for making false statements or reports that overvalue an asset is also stated in the U.S. Code:[58]

Whoever knowingly makes any false statement or report, or willfully overvalues any land, property or security, for the purpose of influencing in any way…shall be fined not more than $1,000,000 or imprisoned not more than 30 years, or both.

[Arraya]

Ben S. Bernanke testified on Capitol Hill just before being nominated to succeed Fed Chairman Alan Greenspan. (By Ron Edmonds — Associated Press)
By Nell Henderson
Washington Post Staff Writer
Thursday, October 27, 2005
Ben S. Bernanke does not think the national housing boom is a bubble that is about to burst, he indicated to Congress last week, just a few days before President Bush nominated him to become the next chairman of the Federal Reserve

Criminal liar conspiring against the american people or blithering idiot? you be the judge…

Each Federal reserve bank shall keep itself informed of the general character and amount of the loans and investments of its member banks with a view to ascertaining whether undue use is being made of bank credit for the speculative carrying of or trading in securities, real estate, or commodities, or for any other purpose inconsistent with the maintenance of sound credit conditions; and, in determining whether to grant or refuse advances, rediscounts, or other credit accommodations, the Federal reserve bank shall give consideration to such information. The chairman of the Federal reserve bank shall report to the Board of Governors of the Federal Reserve System any such undue use of bank credit by any member bank, together with his recommendation. Whenever, in the judgment of the Board of Governors of the Federal Reserve System, any member bank is making such undue use of bank credit, the Board may, in its discretion, after reasonable notice and an opportunity for a hearing, suspend such bank from the use of the credit facilities of the Federal Reserve System and may terminate such suspension or may renew it from time to time.

The punishment for making false statements or reports that overvalue an asset is also stated in the U.S. Code:[58]

Whoever knowingly makes any false statement or report, or willfully overvalues any land, property or security, for the purpose of influencing in any way…shall be fined not more than $1,000,000 or imprisoned not more than 30 years, or both.

[Arraya]

Ben S. Bernanke testified on Capitol Hill just before being nominated to succeed Fed Chairman Alan Greenspan. (By Ron Edmonds — Associated Press)
By Nell Henderson
Washington Post Staff Writer
Thursday, October 27, 2005
Ben S. Bernanke does not think the national housing boom is a bubble that is about to burst, he indicated to Congress last week, just a few days before President Bush nominated him to become the next chairman of the Federal Reserve

Criminal liar conspiring against the american people or blithering idiot? you be the judge…

Each Federal reserve bank shall keep itself informed of the general character and amount of the loans and investments of its member banks with a view to ascertaining whether undue use is being made of bank credit for the speculative carrying of or trading in securities, real estate, or commodities, or for any other purpose inconsistent with the maintenance of sound credit conditions; and, in determining whether to grant or refuse advances, rediscounts, or other credit accommodations, the Federal reserve bank shall give consideration to such information. The chairman of the Federal reserve bank shall report to the Board of Governors of the Federal Reserve System any such undue use of bank credit by any member bank, together with his recommendation. Whenever, in the judgment of the Board of Governors of the Federal Reserve System, any member bank is making such undue use of bank credit, the Board may, in its discretion, after reasonable notice and an opportunity for a hearing, suspend such bank from the use of the credit facilities of the Federal Reserve System and may terminate such suspension or may renew it from time to time.

The punishment for making false statements or reports that overvalue an asset is also stated in the U.S. Code:[58]

Whoever knowingly makes any false statement or report, or willfully overvalues any land, property or security, for the purpose of influencing in any way…shall be fined not more than $1,000,000 or imprisoned not more than 30 years, or both.

[Author]

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