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PETITION: Federal Reserve System

Name: Anonymous 2012-01-21 16:18

Since the Ratification of the Federal Reserve Act of 1913 (Ch. 6: 38 Stat. 251), there has been tremendous controversy whether the establishment of a Central Banking System in the United States is adhering to the United States Constitution, and on top of that how its purely granted its Independency from the Federal Government. Throughout the 20th and 21st Century, the Federal Reserve has over stepped its Authority in the Matters of the American Economy in regards to the assumptions that its going to collapse in which they deliberately engaged in mischievous activities that played a crucial role in the overwhelming amount of recessions we, Citizenry had to live with. We, the Citizenry, demand that this Institution be consolidated for the Breach of the Peace amongst our Posterity.

Interested? Sign the Petition: http://bit.ly/ConsolidatetheReserve

Name: Anonymous 2012-01-25 2:42

Ok OP was pretty opaque and confusing but I think he/she means well.

There are a few solutions to the problem of how money is created and its supply optimized, which I think is the crux of the argument from demonizing the fed. Currently money is essentially created AS debt and IS debt for all intents and purposes.

This means that the principle of a loan is willed into existence by government fiat through the fractional reserve banking system, with the fed as the lender of last resort. If a bank has $1 in reserve it can lend out $10, 9 of which it magicked into existence. Problem is the interest on that loan is never created, so more borrowing has to take place to pay it. It's a cycle which goes on forever and is no one wins except the banker.

Solution 1 - return to the gold standard and reduce the fractional reserve ration from 10:1 to 1:1 over a period of years.

Solution 2 - keep fiat money but give the right of money creation exclusively to the government. This is a good solution as it means taxes can be scrapped. Inflation would be the new tax, which would act like a general tax on money. We might even get our democracy back as gov won't have the boot of the banks on its throat and will be accountable for overspending almost instantly, instead of waking up years later thinking "Ah, shit, now we have to pay all those loans back and prostitute ourselves to the Chinese."

Better ideas?

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