SGM Precious Metals: 25 Federal Reserve 'Fun Facts' to Understand the Private Bank!

PALM BEACH GARDENS, Fla. - Sept. 23, 2013 - PRLog -- Silverdoctors.com reports [ As we approach the 100 yr anniversary of the creation of the Federal Reserve, it is absolutely imperative that we understand that the Fed is at the very heart of our economic problems. It is a system of money that was created by the bankers & that operates for the benefit of the bankers. Unelected, unaccountable central planners from a private bank run our financial system & manage our economy. There is a reason why financial markets don't respond when Obama talks, but swing wildly when Bernanke does. The Fed is the biggest Ponzi scheme in the history of the world & if people truly understood they would be screaming for it to be abolished immediately. The following are 25 fun facts about the Fed that everyone should know…

From The Economic Collapse Blog:

#1 The greatest period of economic growth in U.S. history was when there was no central bank.

#2 The US never had a persistent problem with inflation until the Fed was created. In the century before the Fed was created, the average annual rate of inflation was about 1/2%. In the century since the Fed the average annual rate of inflation has been about 3.5%.

#3 Even using the official numbers, the value of the USD has declined by more than 95% since the Fed was created nearly 100 yrs ago.

#4 The secret November 1910 gathering at Jekyll Island, Georgia during which the plan for the Fed was hatched was attended by U.S. Senator Nelson W. Aldrich, Assistant Secretary of the Treasury A.P. Andrews & a whole host of representatives from the upper crust of the Wall Street banking.

#5 In 1913, Congress was promised that if the Federal Reserve Act was passed that it would eliminate the business cycle.

#6 The Fed’s official mission statement: “To provide the nation with a safer, more flexible, & more stable monetary & financial system. Over the years, its role in banking & the economy has expanded.”

#7 The income tax was also introduced the same year when the Fed system was established. The whole idea was to transfer wealth from us to the federal govt. & from the govt to the bankers.

#8 Within 20 yrs of the creation of the Fed the Great Depression appeared.

#9 There have been 10 recessions since 1950. The Fed created the “dotcom bubble”,  the “housing bubble” &  the largest bond bubble in history.

#10 According to an official govt report, the Fed made $16.1 trillion in secret loans to the big banks during the last financial crisis. The following is a list of loan recipients taken directly from page 131 of the report…

Citigroup – $2.513T
Morgan Stanley – $2.041T
Merrill Lynch – $1.949T
Bank of America – $1.344T
Barclays PLC – $868B
Bear Sterns – $853B
Goldman Sachs – $814B
Royal Bank of Scotland – $541B
JP Morgan Chase – $391B
Deutsche Bank – $354B
UBS – $287B
Credit Suisse – $262B
Lehman Brothers – $183B
Bank of Scotland – $181B
BNP Paribas – $175B
Wells Fargo – $159B
Dexia – $159B
Wachovia – $142B
Dresdner Bank – $135B
Societe Generale – $124B
“All Other Borrowers” – $2.639 TRILLION

#11 The Fed paid the banks $659.4 million in fees to help “administer” those secret loans.

#12 The Fed has created approximately $2.75 trillion & injected it into the financial system over the past 5 yrs causing the stock market to soar to unprecedented heights, but our financial system has become extremely unstable.

#13 We were told QE is to help “stimulate the economy”, but the Fed is paying the big banks not to lend out $1.8 trillion in “excess reserves” at the Fed.

#14 QE overwhelmingly favors the very wealthy. Obama has admitted that 95% of the income gains since he has been president have gone to the top 1% of income earners.

#15 The gap between the top 1% & the rest of the country is now the greatest that it has been since the 1920s.

#16 The Fed has argued vehemently in federal court that it is “not an agency” of the federal govt & therefore not subject to the Freedom of Information Act.

#17 The Fed openly admits that the 12 regional Fed banks are organized “much like private corporations“.

#18 The regional Fed banks issue shares of stock to the “member banks” that own them.

#19 The Fed system greatly favors the biggest banks. Back in 1970, the 5 largest U.S. banks held 17% of all U.S. banking assets. Today, the 5 largest U.S. banks hold 52% of all assets.

#20 The Fed is supposed to “regulate” the big banks, but it has done nothing to stop a $441 trillion derivatives bubble forming which could crash our entire financial system.

#21 The Fed was designed to be a perpetual debt machine. The bankers intended to trap the US govt in a perpetual debt spiral from which it could never escape. Since the Fed was established nearly 100 yrs ago, the U.S. national debt has gotten more than 5000 TIMES LARGER.

#22 The US govt will spend more than $400 billion just on interest on the national debt this year.

#23 If the average rate of interest on US govt debt rises to just 6% (much higher in the past), we will be paying out more than a trillion dollars a year just in interest on the national debt.

#24 According to Article I, Section 8 of the US Constitution, the Congress is the one that is supposed to have the authority to “coin Money, regulate the Value thereof & of foreign Coin & fix the Standard of Weights & Measures”. So exactly why is the Fed doing it?

#25 There are plenty of alternative financial systems, but all 187 nations that belong to the IMF have a central bank. Are we supposed to believe that this is just some sort of a coincidence?]

There is a great awakening finally taking place in America & the world at large. People are asking why the Fed is continuously printing money just to give it for free to the very banks that created this economic crisis. Or 'what do I do when my employer of 20 yrs is  forced to cut me to part time status so he isn’t crushed by Obamacare while Congress gave itself a waiver just like Obama gave to hundreds of corporations that donated to his re-election campaign.

Read this over & over again until it bothers you, then start to ask yourself where & how this will all end? Could it reach a breaking point where the world decides to pull the plug on the USD in favor of a more user friendly reserve currency system or even the gold trade system that China is rumored to have laid the blueprint for.

The Fed just signaled they are more than happy to continue to destroy the purchasing power of the medium of exchange the world has been beholden too for so long & the world is ripe for a competing currency to emerge. This is precisely why the world has been aggressively swapping their fading value paper monies for rising value hard assets like gold & silver bullion. Maybe its time to begin to hedge your bets with some financial insurance in precious metals before this accelerates.