Nationalizie the banks? WTF?

[LuckyTheDog]

People on the right like to howl loudly that the Democrats are all "socialists" or "communists."

But now a REPUBLICAN administration is talking about nationalizing U.S. banks!

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/03/31/cnfed131.xml

Now, THAT'S socialism!

[Phred42]

1. I'm COnfused. The Fed is a Private FOR Profit Corporation

How is turning all of this control over to a Private Corporation - Nationalizing banks.
Sounds like more PRIVATIZATION = Corporatism to me.

What is it that I'm missing?

[LuckyTheDog]

6. The Fed is a federal agency

http://www.federalreserve.gov/pubs/frseries/frseri.htm

[Locrian]

11. The Federal Reserve is a private bank

"The Federal Reserve is a private bank that owns the sole right to dictate monetary policy for our nation. As a matter of fact shortly after George W. Bush was placed in office by very powerful people, not by the electorate, the Federal Reserve announced that they would no longer report how much money was being printed. Imagine that! Well you don't have to imagine that because it happened, and your media did not tell you about it, and your Congress sat quiet. Americans let this happen because Americans are pretty much stupid people. They laugh at intelligent people as they dedicate themselves to being suckers who worship a little flag as opposed to a legitimate government."

http://tvnewslies.org/tvnl/index.php/editorial/jesse-richards-commentary/19-jesses-thoughts/665-dear-lou-dobbs-who-owns-the-federal-reserve

[LuckyTheDog]

28. It is and it isn't

It's not like you can buy stock in the Fed.

[wildbilln864]

14. well sure...

just like federal express! :rofl:

[Phred42]

20. You couldn't be more wrong - The FED IS NOT a government agency

the only thing the Government can do is appoint teh head. after that the Government has no authority

It's a Private For Profit Corporation

[Aristus]

24. I can remember when I used to think the Fed was a government agency.

It's a private bank with ONE client: The Federal Government (and in actuality, whoever happens to be running the government at the time... )

[Phred42]

27. Arti - it's the other way around - Remember.........

“Give me control of a nation’s money, and I care not who writes it’s laws…”
- Meyer Armschel Rothschild 1790

It doesn't matter who's in the WH - The Fed pulls the strings. Take it one level higher: These guys OWN THE FED and PULL It's Strings

Federal Reserve is held by powerful banks, owned or largely controlled by the Rothschilds. The banks are:

*
1. Rothschild Banks of London and Berlin
2. Lazard Brothers Bank of Paris
3. Israel Moses Sieff Bank of Italy
4. Warburg Batiks of Hamburg and Amsterdam
5. Lehman Brothers Bank of New York
6. Kuhn Loeb Bank of New York
7. Chase Manhattan Bank of New York (controlled by the Rockefellers)
8. Goldman Sachs Bank of New York

http://kirkusobscura.com/index.php?view=article&catid=3%3Awiki&id=44%3Athe-truth-about-the-federal-reserve&option=com_content&Itemid=61

[Aristus]

34. Hmm. This sounds suspiciously like "The Jews own everything and

are running the International Zionist Conspiracy from a luxury cave on Barbados."

Doesn't pass the smell test.

:wtf::nuke::tinfoilhat:

[Phred42]

36. Jesus Christ - I'm sick of that Chickenshit dodge

Who cares what Race or religion they are?! This problem HAS NOTHING TO DO WITH RACE OR RELIGION.

Rabbi Fred Neulander was convicted of hiring a hit man to murder his wife. Were the Cops that investigated this anti-semitic for going after this guy just because he was Jewish?

The Rockefeller's are also in this FED Banking scam - They are Baptists.

Stop trying to use antisemitism as an invisible protective shield against scrutiny.

At least make an attempt to get your head out of your ass.

[Aristus]

41. My head's up my ass?

THAT'S what smells so bad! Upside: No polyps. B-)

[ozu]

35. ...

Kuhn Loeb ceased to exist like 25 years ago so #5 and #6 are essentially the same entity.

[LuckyTheDog]

30. It's a an independent agency of the federal government

It's not the same as an ordinary bank.

This is from the Fed's Web site:

The Federal Reserve System is not "owned" by anyone and is not a private, profit-making institution. Instead, it is an independent entity within the government, having both public purposes and private aspects.

As the nation's central bank, the Federal Reserve derives its authority from the U.S. Congress. It is considered an independent central bank because its decisions do not have to be ratified by the President or anyone else in the executive or legislative branch of government, it does not receive funding appropriated by Congress, and the terms of the members of the Board of Governors span multiple presidential and congressional terms. However, the Federal Reserve is subject to oversight by Congress, which periodically reviews its activities and can alter its responsibilities by statute. Also, the Federal Reserve must work within the framework of the overall objectives of economic and financial policy established by the government. Therefore, the Federal Reserve can be more accurately described as "independent within the government."

The twelve regional Federal Reserve Banks, which were established by Congress as the operating arms of the nation's central banking system, are organized much like private corporations--possibly leading to some confusion about "ownership." For example, the Reserve Banks issue shares of stock to member banks. However, owning Reserve Bank stock is quite different from owning stock in a private company. The Reserve Banks are not operated for profit, and ownership of a certain amount of stock is, by law, a condition of membership in the System. The stock may not be sold, traded, or pledged as security for a loan; dividends are, by law, 6 percent per year.

[LuckyTheDog]

29. Who owns the profits?

It operates independently, but it is a VERY different creature than, say, Bank of America or CitiGroup

[Hestia]

7. Read Naomi Klein's "The Shock Doctrine" and you'll see what

you are missing - saddling us with massive debt that we will HAVE pay off before anything
else is done in society. It's working beautifully isn't it?

[Echo In Light]

8. True, that

[alfredo]

13. It's called a Debt bomb. The banks have used it to undermine democracies

all over Latin America. They force democratic leaders to pay off debts run up by dictators that were oppressing them. If a Dem gets elected look for creditors to come down on him or her.

[DCKit]

15. Isn't that where the World Bank and the IMF step in to save us?

Where would the third world be without the firm hand of those selfless organizations? The first world? They're not ready for that and, by saddling them with crushing debt and exploitative trade agreements, they won't have to worry about it for decades.

[alfredo]

19. Bolivians had to turn over their water supply to Bechtel.

Bechtel had the government outlaw collecting rain water. People had to pay for what fell from the sky. The people finally rose up and had Bechtel expelled from Bolivia.

[DCKit]

21. As a requirement for loans. Yeah I know the story.

You've got to give some background so those who don't keep up with these things can learn about them.

"By 1995, on the advice of the World Bank, the government owned nothing. But it owed the bank enormous sums of money. Fernandez says Bolivia is dependent on the World Bank now because it has no real income of its own anymore. Repaying the international debt is crippling the country."

http://www.cbc.ca/news/features/water/bolivia.html

Bechtel may have been frustrated in Bolivia, but they're tenacious and will continue to try. Next to oil, water is the next best and, potentially, most profitable business ever. You've just got to convince people that they don't have any right to it.

[alfredo]

23. That happened in our town. RWE convinced the voters they were

not smart or moral enough to run their own affairs. RWE now owns our water supply. Since then the price of water has doubled.

[Ilsa]

2. Isn't this plan simply another route for

keeping profits private and socializing losses and big blunders?

[tama]

39. It is

Privatizing profit and socializing risk is the game called robber capitalism aka neoliberalism aka shock doctrine etc.

[Bonobo]

3. It's only Communism if you nationalize things that help regular folks! Like medicine!

[durutti]

4. The good thing, though...

...is that by nationalizing the banks, nationalization toward other purposes would have to appear at least somewhat legitimized.

[sinkingfeeling]

5. Wouldn't that border on evil Socialism?

[dweller]

9. x-posting to SMW n/t

dp

[LuckyTheDog]

31. SMW?

[magellan]

33. Stock Market Watch, daily weekday thread in LBN. n/t

[gristy]

10. They want to nationalize the risks

You can be certain that any profits will remain in the private sector.

[tama]

37. Bingo! n/t

[Smith_3]

12. It happened in Germany too, shortly before the third reich, AFAIK. nt

[earth mom]

16. K & R for this thread & this post! nt

[spanone]

17. don't worry, this shit ain't gonna happen....it's pissing on a forrest fire

bu$h* is gonna leave this katrina economy to his successor...another cluster fuck

[entanglement]

18. It'll be a bailout of the execs / finance parasites at the expense of ordinary workers and taxpayers

[dixiegrrrrl]

22. Couple of critical points are involved here

The article does not say nationalizing all banks.
It says nationalizing "failed" banks.
That's what Britain with Northern Rock recently.
Britain did that to avoid a domino effect of collapsing banks.
( I ain't saying yea or nay on the idea, merely stating what I thought the article says.)

A more insidious plan is being floated by Treasury Secretary Henry Paulson to give oversight of
all banking rules to Fed. Reserve.
THAT idea is something people should be afraid of.
google : Paulson proposes financial overhaul for details.

His plan would give a private central bank ( Federal Reserve Bank)
the power to oversee banking, mortgage, and Wall street activities.
And we all know what a black hole for accountability Bush's gov't agencies can be.
Essentially it lets the for-profit money people not only print money, but regulate themselves
in all aspects of money making ( mortgages, credit,stocks, etc.)
and would remove all state regulation.

Finally, I am still surprised folks think the Federal Reserve is a government agency, when there
are so many sources available on the Net to find out its history.

I AM pleased that many folks in DU already know it is a private bank.

I am NOT pleased at how totally screwed we are already by the Fed and Wall St.;(

EOM

[LuckyTheDog]

32. The Fed is within the government

This is from the Fed's Web site:

The Federal Reserve System is not "owned" by anyone and is not a private, profit-making institution. Instead, it is an independent entity within the government, having both public purposes and private aspects.

As the nation's central bank, the Federal Reserve derives its authority from the U.S. Congress. It is considered an independent central bank because its decisions do not have to be ratified by the President or anyone else in the executive or legislative branch of government, it does not receive funding appropriated by Congress, and the terms of the members of the Board of Governors span multiple presidential and congressional terms. However, the Federal Reserve is subject to oversight by Congress, which periodically reviews its activities and can alter its responsibilities by statute. Also, the Federal Reserve must work within the framework of the overall objectives of economic and financial policy established by the government. Therefore, the Federal Reserve can be more accurately described as "independent within the government."

The twelve regional Federal Reserve Banks, which were established by Congress as the operating arms of the nation's central banking system, are organized much like private corporations--possibly leading to some confusion about "ownership." For example, the Reserve Banks issue shares of stock to member banks. However, owning Reserve Bank stock is quite different from owning stock in a private company. The Reserve Banks are not operated for profit, and ownership of a certain amount of stock is, by law, a condition of membership in the System. The stock may not be sold, traded, or pledged as security for a loan; dividends are, by law, 6 percent per year.

[sicksicksick_N_tired]

25. No, no, no,...that ain't 'socialism'. It's more akin to fascism because,...

,...the public wealth is being used to prop up huge corporations that have failed or are failing.

Moreover, it's not 'nationalization' because the ones truly benefiting is the wealthiest elite among us and it's not primarily banks but rather investment firms. 95% of us are being essentially FORCED to loan money to financial speculators/profiteers with absolutely NO BENEFIT in return.

What the Republicans should be getting really pissed off about is the administration's willingness to unilaterally force taxpayers to fund malignant corporations, FOREVER!

[tama]

38. Correct

That is what happened, a bail out for the bankrupt banks with taxpayer money, during the depression in the Nordic countries in the 90s. Thats how social democracy of Nordic countries came to end and was replaced by neoliberalism, with shock doctrine...

[Thepricebreaker]

26. They are "examining the idea" - I say look at all ideas... doesnt mean they use them....

[havocmom]

40. Since the government is controlled by huge corporations, 'tis a ploy to take over smaller banks

by the big loan sharks who are among the new owners of government.