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Funny how some folks get this entirely backwards. What is factual about #4 is true since granting someone the right to government created money is to grant them a call on goods and services in the economy, which is a form of taxation. Whether it is unfair or the most unfair is a matter of personal opinion. Some argue that the execution of off the public record transactions to benefit a few bankers is highly immoral and/or antidemocratic and/or anticapitalist. Others argue differently.

#6 and #7 are completely true. The resultant inflation in financial assets encourages borrowing of what we must admit is FED and banking system generated money to purchase financial assets betting on their appreciation, the bubble which has now at long last burst despite all the hot air out of Washington DC, NY and the shills for the banking system. Savings (spending less than income and putting the balance in an investment account, i.e. saving money) is thereby discouraged. Greenspan himself admitted that this destablizes the economy, but his excuse was that he did not realize that the stockholders of financial institutions would allow management to put their capital at excessive risk.

#5 use to be true prior to the conclusion of WWII. With all the nuclear weapons lying around waiting for a good use, let us hope that it is not so anymore.

#2 and #3 are political opinions with which one might or might not agree.

One has to know the Fed's objectives to know whether the Fed has accomplished them. If it is to assure the stability of the banking system (i.e. profitability, since an unprofitable banking system is an unstable one), they seem to have accomplished that. Now that is easier than the others since that can be accomplished on the whole by providing banks "loans" at interest rates well below what they can turn around and reloan the money at. Therefore depending upon your view of the stated objectives of the Fed #1 may or may not be the one that is clearly false.