Wednesday, April 27, 2011

The Federal Reserve's 1st ever press conference

For the first time in History the Federal Reserve held a press conference today..  Chairman Ben Bernanke says he wants the Federal Reseve process to be more open.  It's about time, for the better part of 100 years the Federal Reserve has controled the American Economy.  Generally they've done it in a way that benefits the Big Wall Street Bankers and often at the expense of ordinary people. 

The bank originally was set up in a way designed to prevent it from becoming victim to partisen politics..  The arrangement also gave it the power to control the money supply and the economy in secret.. Not even Congress can question the actions of the bank.

Here's some of what Bernanke had to say

WASHINGTON (Reuters) – The following are highlights from Federal Reserve Chairman Ben Bernanke's press conference on Wednesday after the central bank's monetary policy committee meeting. This is the first regularly scheduled press conference by a Fed chief.
In a statement following the meeting, the Fed said it would finish its $600 billion bond-buying program in June as scheduled, and repeated its plans to keep interest rates low for an "extended period."


"It used to be that the mystique of central banking was all about not letting anybody know what you're doing. As recently as 1994 the Federal Reserve didn't even tell the public when it changed the target rate for the federal funds rate.

"Many central banks do press conferences -- we have some experience with them -- and it does provide a chance for the (Fed) chairman to provide additional context and color for both the meeting and the projections provided by the committee.

"The counter-argument has always been there was a risk that the chairman speaking might create unnecessary volatility in financial markets or may not be necessary given all the other sources of information coming out of the Federal Reserve.

"It was our judgment that at this point the additional benefits from more information, more transparency, meeting the press directly, outweigh some of these risks."

IMO the reason for the press conference is simple.  In recent years, as more people have become aware of the tremendous power the Federal Reseve has over the economy people they've questioned how one organization, responsible to no one, can control the entire economy.   More recently they've come to realize that while personal incomes have shrunk and the cost of living has increased the Big banks are making a ton of money..  Some people still blame this on the republicans... but the truth is the Reserve has effectively GIVEN the big banks trillions of dollars over the last couple years.

That money has been used to prop up the Stock Market and more than likely has gone into Oil Futures, driving up the price of gasoline..  It's not hard to make money, if like Goldman Sachs you have 800,000,000,000 in zero interest loans you don't really have to worry about paying back because you're to big to fail.


  1. Repeal the 17th Amendment & the Federal Reserve Act.

  2. By the way I see the hundreds of millions tossed around by the federal government and the Florida legislators for so called "education reform", you'd think that the economy was just fine and jobs were plentiful. We are days away from the end of the Florida legislative session. I hope it ends before they get any more "reformy" ideas.

  3. Sandra I heard a blurp on WFTV at noon today that made my ears perk up. Seems all freshman in the state have to take an Algebra test next month that counts for absolutely nothing. I'll see if I can dig up more info.

  4. Sandra, As far as Florida's legislature.. Far as I'm concerned they can have an End of Session Party, and get too f'd up to meet for the next few days... even if they spent a million bucks on booze and whatever's drugs they put in Tallahassee water the taxpayers would come out a head.

  5. Bob.. Even Woodrow Wilson figured out the Fed would eventually destroy the dollar.. after he'd signed it into law.. undoing it now would put ordinary Americans up against the richest banks in the country as well as the Administration..

    Fishy.. I think Sandra would appreciate any help she can get... she has yet to break the really scary stuff..

  6. Fishygal..THANK YOU for whatever help you can lend cuz I am on overload. Here's what I think I read about that test...the results will be required for the teachers to give final grades (unless they have changed their minds), but they already announced that the scores will be delayed by Pearson. I didn't know it was the whole state, I thought just participating counties. Geez The last I read they couldn't quite figure out what the teachers would do because the school year will have ended by the time the scores come out. This is all about the new end-of-course tests and like the North Carolina story I wrote about with the 52 sudden new tests, given TWICE, it's all about the testing initiatives.

  7. Personally, I think what he 'isn't saying' tells the American public something. Will he go for QE3.. We can't afford it. However, in order to SAVE the BANKS.. he needs to print more. I see a short term payoff for the markets.. then the whole thing implodes. The price of Gold and other metals tells me so. Inflation will be inevitable.. Bring on the $1000.00 bill. Start printing that one.

  8. Had to say that didn't you Swan..? Makes sense though, most of hand a cashier a hundred without much more thought than we used to give a five or a ten..

  9. The largest money laundering operation in the world.

  10. If they need help, I'll volunteer to put some on my clothesline.

  11. Hmmm... Me top Bud.. wonder how many thousand dollar bills you can dry on fifty feet clothesline..

  12. Grumpy I think they are about 3 inches wide. Do you have enough clothespins?

    Sandra, I have tried to find that story on WFTV's web site but no luck so far. I'll stay on it though.

  13. Fishy gal and everyone else, I found the info on the Algebra 1 fiasco. You just have to read it yourself!!!!! PLEASE.,0,2392775.story

    P.s. Thank you again Fishygal...I missed this.


    Great Minds Sandra I found it too

  15. Sandra. happen to have any of that vodka filled candy left....

    So 40,000 kids who already have passed and been given credit for a course have to take a test on the subject a year later for no other reason then because some jackass wrote it into the law more or less by mistake..

    This fiasco will cost the taxpayers how much????

  16. Grumpy asks: "This fiasco will cost the taxpayers how much?"
    Question: If you call your legislator and ask that question, what answer will you get? Multiple choice question. Select all that apply.

    a) I don't know.
    b) It's expensive.
    c) We'll fix it later.
    d) We can't compete in the global economy.
    e) Change is hard.

    Ohhh Noooo Grumpy, I have three chocolates left and at this rate, I may have to skip the chocolate and go straight to the filling stuff..from a bottle. I am not a drinker, but this ed reform may turn me into one.

    Special thanks to Fishygal once more for having shared the tip. I'm glad you found the article too. Guess who will be calling her legislator tomorrow!

    I need that chocolate now.

  17. Or just wait six weeks and give you the answer to everything but the question you asked..

  18. 200,000 students will take the exam that will count for 30% of their grade. The DOE announced some weeks ago the results would not be available before the end of the school year so no one knows how teachers will turn in final grades.I have to dig out the article. All part of the pass it now fix it later Tally mentality.


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