The so called business cycle

Discussion in 'Economics' started by dalailama, Aug 25, 2007.

  1. A great man once warned of the formation of America's central bank in 1913.. laughingly referred to as the Federal Reserve, being neither Federal nor having much of a reserve and privately owned by European families such as the Rothschilde's and Warburg's

    "To cause high prices, all the Federal Reserve Board will do will be to lower the rediscount rate... producing an expansion of credit and a rising stock market; then when... business men are adjusted to these conditions, it can check... prosperity in mid-career by arbitrarily raising the rate of interest. It can cause the pendulum of a rising and falling market to swing gently back and forth by slight changes in the discount rate, or cause violent fluctuations by a greater rate variation, and in either case possess inside information as to financial conditions and advance knowledge of the coming change, either up or down. This is the strangest, most dangerous advantage ever placed in the hands of a special privilege class by any Government that ever existed. The system is private, conducted for the sole purpose of obtaining the greatest possible profits from the use of other people's money. They know in advance when to create panics to their advantage. They also know when to stop panic. Inflation or deflation work equally well for them when they control finance... The cost of living will keep going up as long as the laws of nature are violated by uneconomic practices. We must pay the penalty. There should be no legal tender other than that issued by the government"

    Charles August Lindbergh, Sr.
  2. Sometime, look up what Woodrow Wilson said just before he died about having been the one to sign the bill authorizing it. He eventually saw where the road would go, but it was already too late because the damage had been done.