Is the Federal Reserve a private corporation? If so, do they have all the control?
The Fed controls how munch money is in circulation and they set the rate at which the US government borrows dollars. is that correct? So don't the private bankers that make up the Federal Reserve have a stranglehold on the country, if we are forever in debt to them?
Answers:
The Federal Reserve System is a congressionally-chartered agency (like the USPS and NASA). It is organized with a government agency at the top (the Board of Governors), and branches beneath them that share power and control with member banks. (http://www.federalreserveeducation.org/f... )
The Board of Governors are all appointed for 14-year terms by the president and confirmed by congress. It operates per it's charter and laws set by congress. it is overseen by congress. There is no structure or mechanism for private ownership at this level. Board members are forbidden by law to have any economic interest in a private bank. (Ref: Title 12 chapter 3 of the U.S. Legal Code)
The 12 branches, however, are organized similar to private corporations. Member banks are required to buy shares in their branch. They can vote for 6 of their 9 board members. The shares get a standard 6% dividend. These shares cannot be sold on the open market. All 'profit' from the Federal Reserve branches are turned over to the Treasury at the end of the year. (that's been about 95% since 1913). Are the Fed branches privately owned? The Fed says 'No' (ref http://www.federalreserve.gov/generalinf... ). Courts have ruled that because of the lopsided control of the branches the member banks, the branches can be considered 'private' for the purposes of tort law (i.e. they can be sued).
- Yes, the fed is in charge of monetary supply and base interest rates
- No, private bankers do not control these. Monetary policy is managed by the Board of Governors, a government agency.
The answer to every question you had is YES.
They also already know who they are going to put in office in 2008.
This is all a pony show.
yes, yes, and yes. The federal reserve is the real power which goes ignored. It is responsible for our recessions and economic expansions. Funny, I thought it was created to prevent just that. OOPS.
i've heard this alot lately. is there anywhere where i can read about this. like a place that isnt bias or politically motivated just the facts i really wanna learn more about this.
The Federal Reserve is not a private corporation. It's part of the Department of the Treasury. The U.S. doesn't "borrow" dollars. They issue bonds for their debt which all kinds of people and corporations can buy including foreign ones. Perhaps you should check out: www.federalreserveeducation.or...
After you've checked that out, ask again...
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