Posted on 02/14/2024 4:55:53 AM PST by MtnClimber
Maybe the problem with all of the government can be summarized by what the Federal Reserve is doing.
The Federal Reserve lost $114.3 billion in 2023 and doesn’t seem to care. Maybe that is why the federal government has run up $34 trillion in debt, while they pretend government programs are paid for. They don’t care. They can always print more money.
So what does the Federal Reserve do on its books when it has this massive loss? It just books a fictitious asset and fictitious equity. It cooks the books. It has no justification to claim it has money coming but does it anyway. It just assumes it will make money in the future. It certainly is not based on generally accepted accounting principles. How many other fictitious assets are on the books at the Federal Reserve or other government agencies to intentionally mislead the public? If a company were to book a fictitious asset to pretend they had more equity than they do, they would be charged with fraud. So why is the government above the law? Here’s this, from Zero Hedge:
The Fed Says Its Record Losses Don’t Matter
The Federal Reserve recently disclosed its preliminary income and expenses for 2023, revealing an unprecedented $114.3 billion in operational losses. Somewhat surprisingly, Fed officials seem unconcerned about this financial performance. Their lack of concern may be even more worrisome than the losses themselves. Like any financial institution, the Fed receives revenue from the financial assets it holds and it must pay interest on its financial liabilities. Arguably, the last round of QE played a role in setting up current Fed losses.
One key aspect of the Federal Reserve Act is its obligation to remit its profits to the US Treasury. When the Fed experiences losses, however...
(Excerpt) Read more at americanthinker.com ...
The loss occurs because The Fed sells money cheap and buys it back causing it to become expensive.
That is a natural loss-making scheme.
The losses from that are normally covered up by getting interest income on conjured up money.
The Fed should not be in the process of economic manipulation. It should only issue new money and never issue so much that there would be a need to buy it back.
We should tell Chang to piss off. They have stolen more in intellectual property.
We should also not allow any non US citizen to purchase land.
Take all foreign owned land in the US back.
“Deferred” Assets means they haven’t stolen them from you just yet.
And, the Federal Reserve exists because a small group of bankers met at Jekyll Island in November of 1910 and discussed its creation. Those that opposed were murdered, paving the way in December 1913 for President Wilson to more formally create the Federal Bankstering System... ... along with the private corporation known as the IRS, to skim off "taxes" which really is just interest we pay for a private entity to print money for us.
When I was very young, single-family housing was financed mainly through local S&Ls.
The American S&Ls functioned much like the building societies of Britain created during the Victorian era. British building societies would take in deposits from people. If your building society liked your deposit flow, it would allow you to get a mortgage.
With local financing, local housing prices were limited by local money supply, which kept housing affordable.
If only regular banks could do that, we would have no failures.
Those MBSs were bought when mortgage rates were 3%. Now that mortgage rates are 6%, the value of those securities has been discounted to “junk”.
Good job guys. We don’t have to wait for the individuals to wreck the housing market—we can do it all at once at the Fed. LOL
They can’t take what I don’t have!
I’ll give them a ‘deferred’ check...................😎
“As a member of the U.S. House of Representatives, Carter Glass co-sponsored the Federal Reserve Act.”
“As senator, Glass lent his name and influence to notable legislation, including the Banking Act of 1932, the Banking Act of 1933 (commonly called the Glass-Steagall Act), and the Banking Act of 1935. These acts restructured the Federal Reserve System by forming the Federal Open Market Committee (the Federal Reserve’s chief monetary policymaking body) and giving new authority to the Federal Reserve’s Board of Governors (which replaced the Federal Reserve Board). Among other things, the acts also separated commercial and investment banking and created the Federal Deposit Insurance Corporation.”
https://www.federalreservehistory.org/people/carter-glass
You think we are in bad shape?
One of the reasons we antagonize China over attacking Taiwan is because if they do, we can cancel our obligations to them. We are salivating over that opportunity.
China would good bankrupt is we did not pay them their interest every quarter. Their economy is teetering on the brink of disaster. When it goes belly up...the rest of the world is going to be in bad shape.
They are as “federal” as Federal Express. I doubt the money is lost, but rather sent to Ukraine, minus the customary 10% for “The Big Guy”.
The worth of currency is the ability of the currency-issuer to pay debts.
Ideal: Banks try to maintain an up-to-date status of that.
The answer is both. While the Board of Governors is an independent government agency, the Federal Reserve Banks are set up like private corporations. Member banks hold stock in the Federal Reserve Banks and earn dividends. Holding this stock does not carry with it the control and financial interest given to holders of common stock in for-profit organizations. The stock may not be sold or pledged as collateral for loans. Member banks also elect six of the nine members of each Bank's board of directors.
Life and the amentites are ever changing. Just look at this
land called USA and what it was like when Columbus sailed
the ocean blue in 1492.
The liabilities of the Federal Reserve are dollars whether physical or electronic. What happens if I go to the Fed with a Benjamin? They might be polite and give me a new Benjamin.
“The Fed should not be in the process of economic manipulation.”
You are no fun at all—the cabal is not going to invite you to their child molesting parties.
;-)
The Fed Says Its Record Losses Don’t Matter
We just increase taxes no problem
Voters walk around stunned but keep voting for the Bolsheviks.
It is like a dog that has a tick sucking its blood. But for us the tick is bigger than the dog and the tick does not see the problem.
Agree
The Federal Reserve System should be abolished. They do nothing but react to problems which they helped create, and their solutions usually make things worse in the long run.
We will never get an audit of the federal Reserve.
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