Has the Federal Reserve Fulfilled its Stated Purpose?
The stated purpose of the Federal Reserve Act in 1913 was to provide the nation with a safer, more flexible, and more stable monetary and financial system.
The bankers themselves wrote the act and lobbied for it in the back rooms. Its official stated purpose was to give them government cover.
In this video James Corbett and John Titus discuss the dollar and why it has not collapsed as so many fear. The question they leave at the end is Since the banks already had enormous power through the late 19th century causing panics and robbing the people, why did they want to pass the Federal Reserve Act? I think the answer was to increase their control over the government and public policy.
I leave you with the following facts upon which you can form your own opinion:
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A study of wealth inequality concludes:
Wealth concentration at the very top now exceeds the peak of the Gilded Age.
Meanwhile, the things that increase constantly in the U.S. are poverty, homelessness, mental illness, average cost of rent, real estate investment by Bill Gates and Wall Street, average cost of housing, suicides, cost of health care…and the list goes on. -
Bankruptcies have grown dramatically since 1980.
Between 1980 and 2004, bankruptcies [per capita] grew at an annual average rate of 7.6 percent a year. As of 2004, the filing rate was … more than four times the 1980 per capita rate and nearly 80 times the 1920 per capita rate
- Ownership of more than 50% of the shares in the largest corporations have been traced to just 30 owners, the majority of which are banks and financial institutions. Banks invest in tankers, pipelines, utilities, mines, metal warehouses, and other physical commodities, such as oil, natural gas, aluminum and other industrial metals, as well as own or control businesses like power plants, oil and gas pipelines, and commodity warehouses. Banks encourage and profit from wars.
- Asset management companies like Blackrock and Vanguard invest in corporations on behalf of their clients—both individual and institutional. They presently controlBig Pharma and mainstream media. These two companies, combined with State Street, are the largest single shareholder in almost 90% of all S&P 500 firms.
- Recent studies have shown that public opinion has almost no effect on the political process. What does have an effect is money. Over a five-year period 200 companies spent $5.8 billion on lobbying and campaign contributions to influence legislation. In return they netted $4 trillion in subsidies and support.
- By category, the types of bank-controlled industries that contributed the most to influence government policy over a ten-year period included finance ($4.29 Billion.), communications ($3.50 Billion.), energy ($2.93 Billion.), agribusiness ($1.21 Billion.), and defense ($1.26 Billion.).
The obvious goal of the banks and asset management companies is to secure profits and income for themselves or their clients. With profit motives as their main concern, they are not likely to support any programs that would interfere with their profits. The above examples do not include recessions and depressions, also caused by banks.
Until the present monetary system—that allows bankers to create money as loans and direct and control investments—is changed, there will be no change in those social issues. We do not control the government policies. The moneyed “elites” do.
