The federal reserve is a bank for bankers. It is a central bank just as The Bank of England is a central bank for the United Kingdom. The federal reserve is, in fact, the third central bank which has plagued the citizens of the United States. Both of the others were dismantled because they destroyed the nation’s money through inflation.

The primary function of the federal reserve is to create money. If a U.S. government security for $1,000 is held by the federal reserve it can then have the Treasury Department to print $1,000 worth of federal reserve notes which Treasury then gives to the federal reserve.

The federal reserve now has $1,000 in cash, or more properly “fiat” money. The federal reserve retains a percentage of this cash, say 10%and loans the remainder to a second bank. This is known as “fractional banking” because only a fraction of the money is actually on-hand at the bank.

The second bank also retains a percentage of the $900 – say $100 – and let’s say two of the bank’s customers obtain loans for $400 each and this money is deposited to the customer’s bank accounts. The bank deducts a percentage, say $100 and this bank now has an additional $700 which it then loans to a consumer.

The original $900 which was loaned to the bank by the federal reserve has been transformed into $1,700. How? Fractional cash reserves at bank total $200. Loans to customers one and two total $800. The loan to customer three is $700. Loans of $1,500 plus cash in bank of $200 equals $1,700.

This process can go on and on and on. At least until people ask for more cash than is actually in the bank. Then the federal reserve send more “money” and the process starts all over.

Until people ask for more cash than is in the federal reserve system. Then congress has to authorize an increase in the national debt so more money can be created by the federal reserve.

That is why one of the items in the bailout just passed by congress was an authorization increasing the national debt – which basically is the money we citizens owe the federal reserve.

Now take that $700,000,000,000 authorization and multiply by at least 9 – fractional banking. Remember? That is at least$6,300,000,000,000 in new money that could soon be in existence.

The real question is, what is the financial oligarchy going to do with that mone. One word – CHINA.

A member of another site where I also blog made the following comment on one of my posts:

“Moreover, the American people need to understand better what is going on in this country and stand up and contact their representatives. This time, they congress had no choice. “

Dictatorships never give you a “real” choice. Look up the word “dictate.”

The only choice dictatorships give is, “submit or be forced to submit.”

That is why those farmers at Lexington are worth being remembered and honored. They KNEW that they would get to fire one (1) round and that then the British bayonets would be shoved through their intestines.

The vast majority of people have no where near enough courage to make any dictatorship show itself for what it really is.

Dictatorships always come to power in an atmosphere of crisis.
The legislative branch gives them their powers – just as congress has done with the (Un)Patriot(ic) Act and who knows what in this bailout legislation, and any of the other laws they enact – mostly without reading.

A triumvirate is a political regime of 3 individuals. The Lib-con triumvirtae in the U.S. today is Pelosi-Bush-Reid. They are clreadrlyly demonstrating what some of us have been saying all along.

There is not a dime’s worth of difference between them on the economic issues. This bailout is bad for the average citizen and should have been stopped.

If for no other reason than that the money will be used to
fuel economic development in China at our expense.

Representative Barney Frank Chairman of the House Financial Services Committee is a top recipient of donations from mortgage bankers and brokers as well as credit Unions. During the 2007 – 2008 election cycle Frank ranks 1st in contributions from mortgage bankers and brokers and 2nd in contributions from credit Unions.

Frank has received $499,348 in contributions from finance, insurance and real estate interests – the very interests which his committee is suppose to be supervising. Top contributor to his campaign include:

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If anyone needed proof that the fiction of gridlock in Washington is just that – fiction – the current financial crisis is certainly that proof. The total disregard which both the democratic and republican congressional leadership have shown for the best interests of tens of millions of citizens is appalling. They have clearly demonstrated that they are in fact the political vassals of wall street.

Another great falsehood which must be put to rest is the notion that what they are proposing is “socialism.” This bailout is being done at the request of and in the interests of the fascio-corporatist financiers and bankers of the wall street cabal.

Ben Bernanke – the current chairman of the federal reserve – is a graduate of the London School of Economics which was founded by the Fabian Society. Economist John Maynard Keynes and fellow Fabian Society member Harry Dexter White were among the founding fathers of the International Monetary Fund and the World Bank at the Bretton Woods Conference in 1944.

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Dominique Strauss-Kahn, the “neo-con” Managing Director of the International Monetary Fund (IMF) has called for a, “….global solution to the U.S. financial crisis.” Strauss-Kahn, further states that, “the reform process could begin this month when finance ministers and central bankers convene in Washington for the IMF – World Bank Annual Meeting.”

In France Strauss-Kahn, or DSK as he is often referred to, has come to be considered as a “neo-liberal” – which we in the U.S. refer to as a “neo-con.” His political and economic evolution began when as a young man DSK became a member of the French Union of Communist Students (UEC).

DSK’s next incarnation came when he joined the Center on Socialist Education Studies and Research (CERES). In 1981 he continued to evolve by joining the Socialist Party (PS). He was eventually appointed to membership in what the PS refers to as it’s “Group of Experts of the Socialist Party”.

In 1994 his transformation no doubt intensified when DSK was invited by Raymond Levy, Director of Renault to join the Cercle de l’Industrie, a French industry lobby in Brussels. This lobbyist activity resulted in his being criticized by the French left including the “Alter-Globalizationists” who favor globalization which is “….respectful of human rights, the environment, national sovereignty, and cultural diversity.

Appointed Minister for Economics, Finance, and Industry in 1997 DSK demonstrated the extent of his divergence from the Socialist Party’s economic theories by implementing a variety of wide ranging “privatization” programs. He also opposed implementation the French 35 hour work week.

In 2005 Strauss -Kahn favored French ratification of the “Constitution of Europe.” Fellow PS member Lauernt Fabius opposed it. When 55% of the electorate voted against ratification and the proposed constitutional amendment failed DSk’s prestige within the PS declined. In June of 2007 DSK resigned from the Socialist Party’s National Directorate.

On 10 July 2007 the now “center-left” Strauss-Kahn was nominated by the new “center-right” President of France, Nicolas Sarkozy to be Managing Director of the International Monetary Fund.

On 28 September 2007 the IMF’s 24 Executive Directors selected DSK as the new Managing Director. DSK had the support of the leaders of the European Union’s 27 nations,the United States, China and most of the African nations.

Pelosi’s reported “liabilities” include six (6) mortgages. The amounts are as follow:

MORTGAGE……………………….AMOUNT

1……………………………..$1.000.000 TO $5,000,000.

2……………………………..$1.000.000 TO $5,000,000.

3……………………………..$500.000 TO $1,000,000.

4……………………………..$250.000 TO $500,000.

5……………………………..$1.000.000 TO $5,000,000.

6……………………………..$1.000.000 TO $5,000,000.

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