John in New York City watching us on Manhattan neighborhood network cable TV
hey
John what's up a young lady the down
it I a few quick things that only a lot a college at the core
we have a problem in America and the world we have something called
money yet currency that we don't have control over
so as many discussion you know we have
as long as someone else's controlling money are
problems still exist with the Federal Reserve and the concept
and I want to mention regarding nationalism the danger with the
is that when we go out and acquire resources
in pop star ways with someone in a poor region
their for but yet their resources here
once we talk about wall street and the empowerment have well how do we fix Wall
Street
we forget the concept that Wall Street jimmy is basically a clearinghouse for
many
resources data taken from around the world so at our core we have to look at
money
but also we have to we address are system itself
otherwise we continue trying to add politicians to sign legislation
way they don't have a contract that they say to promise I'll that they're going
to do what they say
regular Sony netbook why do and and and and let me address both your points I
would say that the second thing that you raised
was was a a fairly reasonable lehman's description of what
is traditionally called imperialism and
you know the Imperial State reaches out and seizes control whether it's
political or economic or both
other states for military and
and does that simply to strip them of their natural resources
and or even their human resources and
it's not a way it's not sustainable imperialism is not sustainable
to eventually the the dominated states will
either run outta resources or they will
they will %uh if I back I mean that's what we did to the United Kingdom in
1776
so it's an unsustainable for most love
governance irv a the you know political organizational structure national
organizational structure
agree with you on the first point I we do have fiat currency
and which means that the that the government creates the money out of thin
air and it defines the value for the money
and you are absolutely correct that it's not our government which is defining the
value of our currency
it is the Federal Reserve and the Federal Reserve is a quasi private
person the
the
public institution but it's mostly private it is a better for
be it's not it said not a for-profit corporation but it is a corporation
which is owned by for-profit corporations the 12 Federal Reserve
Banks
and they in turn are owned by smaller Federal Reserve Associated banks all
over the United States
and the I would say that having a fiat currency in and of itself is actually a
good thing for a nation it allows a nation to
very its money supply in the value of its money relative to the value of its
wealth
you know you go through something like the industrial revolution or the
computer revolution
are you discover some major new natural resource and suddenly the country gets
much much wealthier very very quickly
if the money supply doesn't expand reflect that
you end up with deflation you end up with the crash is a consequence that
growth
and that's the problem with the gold standard is that all of a sudden you
gotta get a lot more gold
that's why the United States was stockpiling gold like crazy in the last
part in the 19th and early part of the 20th century
and we would only accept payment from other countries in gold which is killed
our ability
did to engage in international trade and and really hurt the United States been
going off the gold standard was a good thing
the bad part about it as you correctly identify is that it is this private
corporation the Federal Reserve that that
is determining is too bad parts about it a they're the ones who are determining
the value of the currency in our monetary policy
they were created by congress with to
to dictates two purposes want to control inflation the other to construct to
keep unemployment low and they've done a very good job controlling inflation
they've done
absolutely abysmal job of keeping unemployment low and
that's what people like robert reich and Paul Krugman are pointing out that the
Fed has failed in its job since
I am alan greenspan was made chairman at the fed by Ronald Reagan back in the day
that you know that's that's been the problem with the fad
and evolved in one problem with the fat and then the second problem of course is
that
is that they loan money to us
at interest and so our government is continually in debt to the fed the Fed
makes a profit on creating our money for us
and their profit then flows to the federal reserve banking system to the
bank's
and they've won money to the banks not necessarily at a profit sometime right
now it's been
remiss not to profits are much lower rate than the loan money to the federal
government they're loaning money to our federal government
one 1 percent and change you know the underline tier 8 bill
T-bill rate and we have to buyer Treasuries through the bank's pile of
rather than buying them directly from the Fed which is another insane
provision and then on top of that they're loaning money to the banks
the and not just the US banks but unlike don't you back
I mean there long enough money at point you know one percent .2 percent interest
all alone into the federal government 1 percent change
it is it is wrong it makes no sense
and it doesn't work yet what does work for the banksters doesn't work for the
average person
your absolutely right