The Cause of the Financial Crisis

[tombogan03884]

That is paper money with NO BACKING.  (Thanks Nixon (wasn't it he who took us off the gold standard?) )

No, It was FDR that took US off the gold standard, but the Bretton Woods agreement assured FORIEGN govt.'s could redeem $ for gold. That was what Tricky Dick did away with.

[runstowin]

That is paper money with NO BACKING.  (Thanks Nixon (wasn't it he who took us off the gold standard?) )

Thanks American people for allowing the Federal Reserve to exist.

[tombogan03884]

Thanks American people for allowing the Federal Reserve to exist.

http://en.wikipedia.org/wiki/Federal_Reserve_System


"The Federal Reserve System (also the Federal Reserve; informally The Fed) is the central banking system of the United States. Created in 1913 by the enactment of the Federal Reserve Act, "

[runstowin]

http://en.wikipedia.org/wiki/Federal_Reserve_System


"The Federal Reserve System (also the Federal Reserve; informally The Fed) is the central banking system of the United States. Created in 1913 by the enactment of the Federal Reserve Act, "

That's right. and the American people should have forced the national government to disband this PRIVATE. yes I said PRIVATE banking cartel.

[tombogan03884]

From Wiki
"Created in 1913 by the enactment of the Federal Reserve Act, it is a quasi-public (government entity with private components) banking system[1] that comprises (1) the presidentially appointed Board of Governors of the Federal Reserve System in Washington, D.C.; (2) the Federal Open Market Committee; (3) twelve regional Federal Reserve Banks located in major cities throughout the nation acting as fiscal agents for the U.S. Treasury, each with its own nine-member board of directors; (4) numerous private U.S. member banks, which subscribe to required amounts of non-transferable stock in their regional Federal Reserve Banks; and (5) various advisory councils. As of February 2006, Ben Bernanke serves as the Chairman of the Board of Governors of the Federal Reserve System. Donald Kohn is the current Vice Chairman.

Central banking in the United States

    Main article: History of central banking in the United States

The first institution with responsibilities of a central bank in the U.S. was the First Bank of the United States, chartered in 1791 by Alexander Hamilton. Its charter was not renewed in 1811. In 1816, the Second Bank of the United States was chartered. Early renewal of the bank's charter became the primary issue in the reelection of President Andrew Jackson. After Jackson, who was opposed to the central bank, was reelected, he pulled the government's funds out of the bank. Nicholas Biddle, President of the Second Bank of the United States, responded by contracting the money supply to pressure Jackson to renew the bank's charter. The country entered into a recession, and the bank blamed Jackson's policies. The bank's charter was not renewed in 1836. From 1837 to 1862, in the Free Banking Era there was no formal central bank. From 1862 to 1913, a system of national banks was instituted by the 1863 National Banking Act. A series of bank panics, in 1873, 1893, and 1907 provided strong demand for the creation of a centralized banking system.

The timeline of central banking in the United States is as follows:

    * 1791-1811

    First Bank of the United States

    * 1811-1816

    No central bank

    * 1816-1836

    Second Bank of the United States

    * 1837-1862

    Free Bank Era

    * 1863-1913

    National Banks

    * 1913-Present

    Federal Reserve System

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[runstowin]

I think Andrew Jackson had it right, he simply wanted the central bank to go back to hell were it came from.