Fed: 0 Transperency: 1

[Kuya]

http://www.huffingtonpost.com/2009/1..._n_364546.html

In an unprecedented defeat for the Federal Reserve, an amendment to audit the multi-trillion dollar institution was approved by the House Finance Committee with an overwhelming and bipartisan 43-26 vote on Thursday afternoon despite harried last-minute lobbying from top Fed officials and the surprise opposition of Chairman Barney Frank (D-Mass.), who had previously been a supporter.

The measure, cosponsored by Reps. Ron Paul (R-Texas) and Alan Grayson (D-Fla.), authorizes the Government Accountability Office to conduct a wide-ranging audit of the Fed's opaque deals with foreign central banks and major U.S. financial institutions. The Fed has never had a real audit in its history and little is known of what it does with the trillions of dollars at its disposal.

The amendment expressly blocks Congress from interfering with the independence of monetary policy decision-making, but opponents of the measure said that the political pressure would inevitably follow.

A desperate, last-minute attempt to thwart the move came in the form of an amendment championed by Rep. Mel Watt (D-N.C.) and described by its supporters as more reasonable. On Tuesday, however, the Huffington Post reported that, on a close reading, his amendment would in fact decrease transparency at the Fed by adding additional restrictions.

Backers of the Watt amendment pressed their case on Wednesday by sending a letter from a "political cross section of prominent economists" backing a measure like Watt's. HuffPost reported, however, that those economists might well have be prominent, but they certainly aren't a "political cross section." Seven of the eight economists in question have extensive connections to the Fed -- and half of them are currently on the Fed payroll. Those affiliations were not noted in the letter.

The playbook in Washington often goes like this: When a measure that threatens the establishment builds enough momentum that it must be dealt with, it is labeled as "unserious." The Washington Post editorial board, true to the script, called Paul's measure "an unserious answer to a serious question."

And it particularly rankles the center that a pair of "wingnuts" are behind a successful effort to challenge the prevailing order.

Step Two is for a "serious" compromise to be offered. In this case, it was Watt's amendment. But by the time the vote was called Thursday afternoon, committee members had seen through his measure, recognizing that it was not a compromise effort to bring real transparency to the Fed but an attempt to further shut the the doors.

Frank said he was opposing the Paul amendment because it could be perceived as influencing monetary policy, which can have inflationary pressure. "Perception is very important in monetary policy," said Frank.

He urged a no vote, yet 15 Democrats bucked him, voting with Paul. Key to winning Democratic support was a letter posted early Thursday from labor leaders and progressive economists. The letter, organized by the liberal blog FireDogLake.com, called for a rejection of the Watt substitute and support for Paul.

Grayson was able to show Democratic colleagues that the liberal base was behind them.

Because of this i am definitely pumping more money into FireDogLake. It is interesting to note who opposes this bill, and who supports it. To think, with all the talk from Obama about bipartisanship, his administration actually opposes a bill that is bipartisan AND is about transperency.

[Solefald]

I'm not sure what to think of this bill yet, on the one hand it makes the fed more transparent, but opponents are saying it could open the fed up to politically-motivated audits, and it could reduce the perceived independence of the fed.

Huffingtonpost is a shitty news source btw.

[Kuya]

I don't particularly see what the news source has to do with the event happening, unless you just don't like their comments. Now on to more relevant things: your point may carry some weight, but i do believe recent events have made it clear that an audit for the Fed is a necessaity. I'd also like to remind you that the idea of politically motivated interruptions is also the argument for not investigating torture abuses by the Bush administration.

[Kiro]

When the Federal Reserve and the block it's on are blown up, let me know Kuya.

[Gwynplaine]

Transparency is such a sham buzzword. Just like the constant harping on "corruption" which misses the more fundamental point of why politicians are able to grant so many favors in the first place.

Given the bill it's attached to I'm not really sure what to think. I'm also not sure if the overall effect it could have would really matter. Still, more power to them if it does. This move riding a fluke wave of timely hype over "transparency" might be the only good thing to come of it.

Also laughable, note Barney Franks reason for voting against it, "Perception is very important in monetary policy," said Frank." Nevermind facts and reality, as long as people feel like we have superficially have sane monetary policy it's sound and safe. It reminds me of the same type of people who think that the stock market is all about "feeling" and "perception".

And just for the record I'm not a big fan of Ron Paul and his anti-abortion lunacy but he does have some accidental good aspects.

and it could reduce the perceived independence of the fed.

Huh? If it is only a "percieved" independence (which it is) why would it be bad to lessen that perception? A spade's a spade.

[Solefald]

the perceived independence could underestimate the actual independence of the fed, is what Barney Frank was saying. perceptions matter a lot in markets, how do you think bubbles and panics occur.

[Gwynplaine]

Are you saying that subjective opinions and feelings create economic bubbles and monetary panic? If that's what you're saying, then you and Frank are wrong.

[Darus Grey]

Are you saying that subjective opinions and feelings create economic bubbles and monetary panic? If that's what you're saying, then you and Frank are wrong.

Money only has value because we fool ourselves into believing it does, bubbles and panic are just brief lapses of lucidity in a delusional society.

[Beckwin]

wait.... ron paul is going to get legislation passed for the first time in his career?

of course the funny part is he needed a progressive to do it.

[Skjie]

Are you saying that subjective opinions and feelings create economic bubbles and monetary panic?

This is in fact one of the many pressures on economies. As a microcosm, have you ever watched the stock market work? I mean actually follow the floor of the NYSE or something for a day.

[guartz]

this will be killed in the senate.

[Demosthenes11]

wait.... ron paul is going to get legislation passed for the first time in his career?

of course the funny part is he needed a progressive to do it.

the best part is you giving democrats credit for this

[Sirrus_Asura]

All of the greatest deeds in history have had a progressive democrat involved.

[Kuya]

this will be killed in the senate.

You are a debbie downer.

[Diamicles]

Auditing the entity that keeps printing money without acquiring more funds (gold, etc) probably won't end well for anyone.

[Gryffes]

Auditing the entity that keeps printing money without acquiring more funds (gold, etc) probably won't end well for anyone.

The point is, to stop them printing more money.

[Leif]

On a side note, you shouldn't quote The Huffington Post as your "discussion topic", and then proceed to bold the sentences you think are most important.

Because half of your bolded sentences are actually sentences that are opinion, you conveniently leave the part of the sentence that explains that it is an opinion unmarked.

It's a sleazy trick and doesn't give anybody the best idea of what is going on. Like any news story, sentences are organized in order of importance. Let it speak for itself.

To think, with all the talk from Obama about bipartisanship, his administration actually opposes a bill that is bipartisan AND is about transperency.

Ignoring the fact that "hope and change" was a complete fraud from day 1:

Considering that over the past 40 years (including the Obama administration), Republican administrations have always included more Democrats than the Democrat administrations have included Republicans.

For anyone who has given an honest look at the world, this is obvious. The Democrat illusion of "tolerance" has always been a complete farce.

And again, as Democrats always do, Obama ran as a moderate. Thanks to some mainstream media washing of his ties to Bill Ayers (launching his political career in Ayers's living room) or to Rev. Wright (marriage, kids baptized, listened to crazy sermons for decades, etc), only when he got into office and starting placing black nationalists, socialists, and Marxists in the White House did people actually start seeing the true Obama.

[Rothbardian]

On a side note, you shouldn't quote The Huffington Post as your "discussion topic", and then proceed to bold the sentences you think are most important.

Because half of your bolded sentences are actually sentences that are opinion, you conveniently leave the part of the sentence that explains that it is an opinion unmarked.

It's a sleazy trick and doesn't give anybody the best idea of what is going on. Like any news story, sentences are organized in order of importance. Let it speak for itself.



Ignoring the fact that "hope and change" was a complete fraud from day 1:

Considering that over the past 40 years (including the Obama administration), Republican administrations have always included more Democrats than the Democrat administrations have included Republicans.

For anyone who has given an honest look at the world, this is obvious. The Democrat illusion of "tolerance" has always been a complete farce.

And again, as Democrats always do, Obama ran as a moderate. Thanks to some mainstream media washing of his ties to Bill Ayers (launching his political career in Ayers's living room) or to Rev. Wright (marriage, kids baptized, listened to crazy sermons for decades, etc), only when he got into office and starting placing black nationalists, socialists, and Marxists in the White House did people actually start seeing the true Obama.

Word of advice. The GOP and the Democrats are one and the same. You are stuck in the me vs them false paradigm. The only two sides is Liberty and Tyranny, and GOP and Dem are on the side of Tyranny. The GOP used to be good....in the 1920s and 1930s or at least had a few liberty-minded individuals like Charles Lindbergh, Howard Buffet, Louis T. McFadden, and early Robert Taft.

And secondly, what creates boom-busts is the FED, easy credit which leads to misallocation of resources. Interest rates are supposed to reflect savings in the market. When you artificially create low interest rates it purposefully creates the misallocation of resources on long-term capital investment. Look at the housing market. People didn't have the savings to acquire such property, yet the interest rate reflected they did. It ultimately busts like all booms. Hayek won the Economic Nobel Laureate for the Boom-Bust theory (Mises was the first to propose the Austrian Theory of the Business Cycle). This is why Austrians predicted what was going to happen in 2000 and in 1991 for the Tech Bubble.

Everytime they try and blow the bubble back up, but economic law states that it always busts precisely because of the prior. You can try all you want, but it always busts, and has nothing to do with the belief in the currency whatsoever. Only fiat currency is backed by nothing. Commodity backed currency always has intrinsic value.

END THE MOTHERFUCKING FED!


PS: Today's End the Fed Rally in Chicago was awesome! Gary Frenchy was there (Took over Restore the Republic from Aaron Russo (RIP Aaron, RIP!)), and Ed Vallejo from Arizona and many delegates from Continental Congress 2009! www.cc2009.us


Articles of Freedom of Continental Congress 2009 November 21, 2009 In defense of a free people, the time has come to reassert our God-given natural rights and cast off tyranny. Let the facts reveal - the Federal Government of the United States of America, which was instituted to protect the rights of individual citizens, instead - threatens our life, liberty and property through usurpations of the Constitution; and emboldened by our own lack of responsibility and due diligence in these matters, has exceeded its mandate, and abandoned those founding principles which have made our nation exceptional; Our servant government has undertaken these unconstitutional actions in direct violation of their enumerated duties, to the detriment of the People's liberty and the sovereignty of our Republic; Over many years and spanning multiple political administrations, the People who have, in good conscience, attempted to deliberate our grievances and voice our dissent against these offensive actions through both petition and assembly, have been maligned and ignored with contempt; The people of the several States of Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Ohio, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin and Wyoming, justly alarmed at these arbitrary and unconstitutional actions, have elected, constituted and appointed delegates to meet, and sit in general Congress in the city of St. Charles, Illinois. Whereupon these delegates, as duly elected representatives of the several States, have gathered in defense of divine justice, liberty and the principles of limited government, and we stand in clear recognition of the supreme law of the land - the Constitution of the United States of America. Therefore, We demand that Government immediately re-establish Constitutional rule of law, lest the People be forced to do so themselves; and we hereby serve notice that in the defense of Freedom and Liberty there shall be NO COMPROMISE to which we shall ever yield.

[Rhinox]

ahahhahahaha


http://upload.wikimedia.org/wikipedi...6/314_fort.gif


where there anyone dressed up in period costumes?

Funny if it wasn't for you no one would have known anything about it.

I don't know what is funnier. The fact that a handful of pretentious assholes think that gathering in a golf resort is tantamount to a continental congress or that fact that that they think they will accomplish anything.

[guartz]

You are a debbie downer.

at least i'm not an emo emily