The Federal Reserve Scheme

[Fox McCloud]

There's many people who fail to understand how the Fed works...I decided to make a quick and dirty little picture-based diagram; tell me what you guys think:

I don't want to get too simplistic, or else people will be like "well, that doesn't explain....". At the same time, I don't want it to be too complex that people are like "ehhh? Huh?"

[fsk]

It seems too crowded for me. I have a lot of good Federal Reserve stuff on my blog, which I'm not reposting here.

The key is "The Compound Interest Paradox". That's really all you need to explain.

[SeekLiberty]

Nice job! Thanks.

Can I use it on my forums? :)

- SL

[Bradley in DC]

It would help if you corrected all of the factual inaccuracies...

The "Federal Reserve" SYSTEM is a hybrid private and public system. "The elite" ? Oh, come on, please put something useful up, you're obviously interested in this topic and much more talented than I at graphics. The income tax part is just flat out wrong.

[weatherbill]

Warrren Buffett: The Rich Need to Pay More Taxes

http://www.abcnews.go.com/GMA/story?id=3869458&page=1

wonder if this is a pitch for the banksters to collect more tax for the debt, which of course, gets funnelled to the bnaksters thru the fed....LOL

I bet that's what it really is....... these guys are shrewd

[Cowlesy]

It would help if you corrected all of the factual inaccuracies...

The "Federal Reserve" SYSTEM is a hybrid private and public system. "The elite" ? Oh, come on, please put something useful up, you're obviously interested in this topic and much more talented than I at graphics. The income tax part is just flat out wrong.

Amen

[Fox McCloud]

It would help if you corrected all of the factual inaccuracies...

The "Federal Reserve" SYSTEM is a hybrid private and public system. "The elite" ? Oh, come on, please put something useful up, you're obviously interested in this topic and much more talented than I at graphics. The income tax part is just flat out wrong.

Still, the Federal Reserve, itself, is a privately owned bank. They loan out the dollar to the government, with interest....the IRS collects money from us to pay for that debt....I just skipped the middle step of having it go from the IRS to the government, back to the Federal reserve, into the banksters's pockets.

What else could I put, but "the elite"? "International Bankers"?

[American]

cool looking Oil Derrik.....;)

[Fox McCloud]

<post removed>

[Bradley in DC]

Still, the Federal Reserve, itself, is a privately owned bank. They loan out the dollar to the government, with interest....the IRS collects money from us to pay for that debt....I just skipped the middle step of having it go from the IRS to the government, back to the Federal reserve, into the banksters's pockets.

What else could I put, but "the elite"? "International Bankers"?

Fox,

If you want to be accurate, please stop saying "Federal Reserve" only. The reserve banks are privately owned but don't do anything you claim. The Board is governmental and the culprit. Your characterization isn't quite right, no.

If you're asking for my input, try to be simple and factual without trying to be unnecessarily emotive about it. The facts would speak for themselves. Leave out the IRS and taxes part which isn't quite right what you have and, IMHO, way too complicating for what you're trying to accomplish in a simple, single graphic. The problem is the monetizing of the debt which is not at all explained in the graphic. Again, valiant effort making this into such a simple single graphic, but if you're going to succeed, you're going to need to simplify more and focus a lot more (I think).

Also, if you're going off of The Money Masters (which is my suspicion), you have to know that it's factually/historically inaccurate and the goals of which are not compatible with ours.

[Cowlesy]

Look if you are a big money manager and want to profit by means of using tools the fed has as well as the private banking system....raise a ton of money from rich people, and then using extremely cheap debt (made possible by the Fed setting the fed-funds rate) which ultimately correlates with the prime rates banks set, buy a gigantic company, pay yourself a huge dividend to recoup the equity cost of your investment...hack up the company and sell non-core assets (raising more cash for more dividends) and then sell the company to someone who will pay an even higher multiple --- your investors rake in a gigantic profit, and since we are talking on the billions level, you will only have the wealthiest of wealthy investing. So there is an obnoxiously simple example of how the money flows. You have rich people, the Fed and the banking system.

[Fox McCloud]

Fox,

If you want to be accurate, please stop saying "Federal Reserve" only. The reserve banks are privately owned but don't do anything you claim. The Board is governmental and the culprit. Your characterization isn't quite right, no.

If you're asking for my input, try to be simple and factual without trying to be unnecessarily emotive about it. The facts would speak for themselves. Leave out the IRS and taxes part which isn't quite right what you have and, IMHO, way too complicating for what you're trying to accomplish in a simple, single graphic. The problem is the monetizing of the debt which is not at all explained in the graphic. Again, valiant effort making this into such a simple single graphic, but if you're going to succeed, you're going to need to simplify more and focus a lot more (I think).

Also, if you're going off of The Money Masters (which is my suspicion), you have to know that it's factually/historically inaccurate and the goals of which are not compatible with ours.

I'm actually getting my info from "The Creature from Jekyll Island: A Second Look at the Federal Reserve".

[weatherbill]

you guys must have missed it......Warren Buffett says the rich should be taxed more......LOL

Is that not a pitch from the central bankers to get more people to pay down the debt.....LOL

does anyone see thru the media...it's all conspired.........Buffett is one of them....... no one gets that rich without some insider help....... Buffett is playing one of their cards with this latest news..... they want to get all those americans who have a couple million to pay up, while and his bankster friends pay very little, since they have everytihng hidden in offshore trusts.....LOL....what a scamster that Buffett is! and anyone who says Buffett doesn't have his treasure hidden in offshore trusts needs to have their head examined becasue Buffett is one of the masters of money........ a fool with that much money would know to get an offshore foreign trust to hide it from taxes and for other reasons.......don't be fooled by this latest ploy of the money masters.....now watch congress start to move to raise taxes for the rich or at least prepare it for Hillary to raise it....... now that they got the middle class, they have to go after the class right above them, the upper-middle class in order to get more money to "pay for the war."
Ahhhh, sure.....all the poor middle class and poor now, will hail Buffett as a hero....demanding these "greedy rich people" pay up.....LOL....yeah, strait into the pockets of the bankers thru the IRS, like brother McCloud's chart.
So now they are going after the upper middle class, next will be the upper class........did you not know....these bankers want it all,....they are the ultra super class...... they have a few classes to go thru before they have it all......... till everyone is deep in debt to pay this uncostitutional direct tax burden......what an ultra super scam!

[user]

Like fsk said it is crowded, but I'm glad you included the fact that most socialist policies are a reaction to corporatism misconstrued as capitalism. I hope all Ron Paul supporters understand this. Explaining this properly may be the best way to "convert" Democrats, especially because most of them already agree with us on civil liberties and the war.

[Bradley in DC]

I'm actually getting my info from "The Creature from Jekyll Island: A Second Look at the Federal Reserve".

Ok, good, that's better.

One, try "money center banks" instead of elite or whatever (at least it's a recognizable term in banking circles--the idea is to be educational right?)

The tax part is still wrong. Why separate out the IRS from the government and claim non-individuals don't pay money to the IRS? (this is wrong). If you understand the concept of fungibility, the every cent part wording is just factually wrong. (the "amount" wording for the military part is at least right)

Stop saying only "Federal Reserve" and misstatements following (it was created by Congress). The system is a hybrid one and your chart confuses rather than explains the reality. The current wording is simply technically wrong.

Are the green "bank" boxes private commercial banks or Federal Reserve branch banks? It's not at all clear and confusingly wrong one way or the other.

[Fox McCloud]

Ok, good, that's better.

[quote]One, try "money center banks" instead of elite or whatever (at least it's a recognizable term in banking circles--the idea is to be educational right?)

the idea is to inform people on the viles of usury...and the usurer of all usurers; the Federal Reserve System.


The tax part is still wrong. Why separate out the IRS from the government and claim non-individuals don't pay money to the IRS? (this is wrong). If you understand the concept of fungibility, the every cent part wording is just factually wrong. (the "amount" wording for the military part is at least right).

are you referring to the individual income tax or the military's income?


Stop saying only "Federal Reserve" and misstatements following (it was created by Congress). The system is a hybrid one and your chart confuses rather than explains the reality. The current wording is simply technically wrong.

Umm, it was created by several bankers on Jekyll Island (through the Federal Reserve Act)...sure, Congress was involved, but even that was done during an opportune time.

I fail to see how it's a hybrid system, too....yes, they are appointed by the government to the Federal Reserve Board...but the government's not going to appoint someone who wants to changes the policies of the Federal Reserve either....therefore, the private sector influences the so called public sector to get who they want.

[PatriotG]

http://allthingsg.com/Misc/the%20bernankebill2.jpg

[conner_condor]

It is not illegal to barter. The stores have a right to accept or decline what you offer for payment might I have to say. I can offer a damn beer cap for trades of goods if I wanted to,the merchant has a right to accept or decline it. It is not illegal to offer a trade to a merchant other than fed notes.. You can offer them what ever you want and they can choose to accept or deny it. The feds illegally raided that mint and is a felony.. Gold is not counterfet money,fed money is counterfet.