Federal Reserve Confesses Sole Responsibility for All Recessions

[Swordsmyth]

In a surprisingly candid admission, two former Federal Reserve chairs have stated that the Federal Reserve alone is responsible for creating all recessions in the United States.

First, former Fed Chair Ben Bernanke said that
Expansions don’t die of old age. They get murdered.
MarketWatch (https://www.marketwatch.com/story/the-feds-murder-weapon-is-hiding-in-plain-sight-2019-01-10)
To clarify this statement, former Chair Janet Yellen placed the murder weapon in the Fed’s hands:
Two things usually end them…. One is financial imbalances, and the other is the Fed.

Think that through, and you quickly realize that both of those things are the Fed. Is there anyone left standing who would not say the Fed’s quantitative easing in the past decade was the biggest cause of financial imbalances all over the world in history? Moreover, whose profligate monetary policies led to the Great Financial Crisis that gave us the Great Recession?
So, the Fed loads the gun with financial causes and then pulls the trigger. In fact, I think it would be hard to find a major financial imbalance in the US that the Fed did not have a hand in creating or, at least, enabling. Therefore, if those are the only two causes, then it is always the Federal Reserve that causes recessions by its own admission.
And, yet, those Fed dons look so pleased with themselves.
Yellen went on to say that when the Fed is the culprit, it is generally because the central bank is forced to tighten policy to curtail inflation and ends up overplaying its hand. (She didn’t mention that the Fed’s monetary policy may have a hand in creating financial imbalances.)

Exactly, nor did she mention that the inflation they were “forced” to curtail always happens because of financial imbalances the Fed created or enabled. That is why I call our expansion-recession cycles, rinse-and-repeat cycles. Therefore, the Fed is only forced by its own ill-conceived actions. First you have to create the imbalance, which causes the economy and stocks to inflate, then you have to pull the trigger to shoot that down by tightening into a recession, which the Fed always does:
Bernanke elaborated on Yellen’s point, accusing the central bank of, in essence, murder. It takes an aggressive act on the part of the monetary authority to bring an expanding economy to a halt and cause it to shift into reverse.

Yellen and Bernanke were speaking at the annual meeting of the American Economic Association in Atlanta earlier this month in the company of current Fed Chair Jerome Powell.
As I demonstrated in my two earlier articles this week (“Does Inverted Yield Curve Indicate Recession? (http://thegreatrecession.info/blog/inverted-yield-curve-recession/)” and “What is an inverted yield curve and what does it mean? (http://thegreatrecession.info/blog/what-is-an-inverted-yield-curve/)“), the Fed carries out this act of econocide by getting the yield curve to invert via its forced interest changes. As shown in those articles, every recession has been immediately preceded by a Fed-created inversion of the yield curve — the Fed’s smoking gun.

More at: https://www.zerohedge.com/news/2019-01-17/federal-reserve-confesses-sole-responsibility-all-recessions

[Matt Collins]

One Chairman also apologized for the Great Depression too. I don't remember where I read that though.

[DamianTV]

Makes me think of Woodrow Wilson's speech at the end of his term. "I am a most unhappy man..." yeah, that one, and he was referring to having created the Federal Reserve, and the IRS.

[acptulsa]

Zippy! Sixteen hours and no retort? You're falling down on the job.

I know it's hard to argue with your former bosses. But you can always claim they were misunderstood.

[kcchiefs6465]

Zippy! Sixteen hours and no retort? You're falling down on the job.

I know it's hard to argue with your former bosses. But you can always claim they were misunderstood.

Amid shutdown, more TSA agents are calling in sick. Here's what you need to know (https://www.cnbc.com/2019/01/05/tsa-agents-are-calling-in-sick-amid-shutdown-what-you-need-to-know.html)

[Swordsmyth]

Amid shutdown, more TSA agents are calling in sick. Here's what you need to know (https://www.cnbc.com/2019/01/05/tsa-agents-are-calling-in-sick-amid-shutdown-what-you-need-to-know.html)

He's had plenty to say on other subjects.

[Zippyjuan]

Yellen didn't say the Fed was responsible for all recessions.


One is financial imbalances, and the other is the Fed.


when the Fed is the culprit,

[NorthCarolinaLiberty]

Zippy! Sixteen hours and no retort? You're falling down on the job.

I know it's hard to argue with your former bosses. But you can always claim they were misunderstood.

He doesn't work for the Fed and never did. He works in grocery store.

[Swordsmyth]

Yellen didn't say the Fed was responsible for all recessions.

And who causes the financial imbalances?

The Fed.

So two out of two causes are the Fed.

[Zippyjuan]

And who causes the financial imbalances?

The Fed.

So two out of two causes are the Fed.

So no matter what banks, businesses, or consumers do, it is the Fed's fault.

[Swordsmyth]

So no matter what banks, businesses, or consumers do, it is the Fed's fault.
Yup.

They have more power and they misuse it.

Economic problems were never as severe and never lasted as long before the Fed happened.

[Swordsmyth]

He doesn't work for the Fed and never did. He works in grocery store.
How do you know he doesn't get paid by them on the side?

[Zippyjuan]

Yup.

They have more power and they misuse it.


So if a business using a tool (in this case money) causes a problem, the "maker" of that money is to blame. Does this same logic apply to things like cars or guns?



Economic problems were never as severe and never lasted as long before the Fed happened.

History says otherwise. https://en.wikipedia.org/wiki/List_of_recessions_in_the_United_States

Recessions always have happened in history- no matter what sort of banking or monetary system has been tried.

[Swordsmyth]

So if a business using a tool (in this case money) causes a problem, the "maker" of that money is to blame. Does this same logic apply to things like cars or guns?
That isn't what happens and you know it.
The Fed steals money by printing it and gives it to the wrong people.




History says otherwise. https://en.wikipedia.org/wiki/List_of_recessions_in_the_United_States

Recessions always have happened in history- no matter what sort of banking or monetary system has been tried.
I didn't say they didn't happen, I said they were less severe and didn't last as long.

[Zippyjuan]

That isn't what happens and you know it.
The Fed steals money by printing it and gives it to the wrong people.



Who does the Fed give money to and who should they be giving it to instead? What does the Fed do with all the money they steal?

[Swordsmyth]

Who does the Fed give money to and who should they be giving it to instead? What does the Fed do with all the money they steal?

They shouldn't be giving it to anyone, they shouldn't be stealing it.

[Stratovarious]

So if a business using a tool (in this case money) causes a problem, the "maker" of that money is to blame. Does this same logic apply to things like cars or guns?



History says otherwise. https://en.wikipedia.org/wiki/List_of_recessions_in_the_United_States

Recessions always have happened in history- no matter what sort of banking or monetary system has been tried.

It applies to printing presses and manipulation of interest rates.

[Zippyjuan]

They shouldn't be giving it to anyone, they shouldn't be stealing it.

So nobody should have any money. The Fed should keep it all. But if nobody has any, the Fed can't steal it. Both problems solved! But how would you get paid? How would you be able to buy things? How much money did the Fed steal this year? How much from you?

[Swordsmyth]

So nobody should have any money. The Fed should keep it all. But if nobody has any, the Fed can't steal it. Both problems solved! But how would you get paid? How would you be able to buy things? How much money did the Fed steal this year? How much from you?
LOL

People had money before there was a Fed, they would have it without a Fed, people had money before there were banks and they would have money without banks.

Are you really this stupid or do you really think we are this stupid?

[NorthCarolinaLiberty]

How do you know he doesn't get paid by them on the side?

Meh. His posts suck ballz. He was a political "science" major anyway.

And I think the Fed couldn't care less about RPF. All the shenaniganists on here have a focus on culture. They still waste money, but I imagine the Open Society Foundations (https://www.opensocietyfoundations.org/)not being very efficient or accountable anyway. I mean--they actually pay Influenza for his dumb rantings.

[Anti Globalist]

Makes me think of Woodrow Wilson's speech at the end of his term. "I am a most unhappy man..." yeah, that one, and he was referring to having created the Federal Reserve, and the IRS.
Unhappy my ass. He knew exactly what he was doing and doesn't feel any remorse.

[Zippyjuan]

LOL

People had money before there was a Fed, they would have it without a Fed, people had money before there were banks and they would have money without banks.

Are you really this stupid or do you really think we are this stupid?

So things are not really that different before or after the Fed.

[Swordsmyth]

So things are not really that different before or after the Fed.
No.

[Zippyjuan]

No.

So getting rid of them won't change anything. There will still be elites and the exploited masses. and inflation and recessions.

[Swordsmyth]

So getting rid of them won't change anything. There will still be elites and the exploited masses. and inflation and recessions.
You misunderstand, I was not agreeing, I was saying NO to your statement.

The Fed is a powerful tool that allows the elite to better rob everyone else.

There was a massive difference before it was created, that is why they schemed and cheated to create it.

[Zippyjuan]

You misunderstand, I was not agreeing, I was saying NO to your statement.

The Fed is a powerful tool that allows the elite to better rob everyone else.

There was a massive difference before it was created, that is why they schemed and cheated to create it.

The elites don't need the Federal Reserve to rob. They just need freedom to operate. Their money buys them power which in turn lets them acquire even more money.

[Swordsmyth]

The elites don't need the Federal Reserve to rob. They just need freedom to operate. Their money buys them power which in turn lets them acquire even more money.
And they can do it much easier and on a much more massive scale thanks to the Fed.

[Zippyjuan]

And they can do it much easier and on a much more massive scale thanks to the Fed.

How does the Fed aid them?

[Swordsmyth]

How does the Fed aid them?
That has been explained many times, you aren't going to waste my time re-explaining it.

[DamianTV]

So things are not really that different before or after the Fed.

Our money fell into the hands of bankers that kept more and more of it for themselves.

So says the Cheerleeder for the Federal Reserve Bank.

[acptulsa]

So if a business using a tool (in this case money) causes a problem, the "maker" of that money is to blame. Does this same logic apply to things like cars or guns?

If they are defective, yes. But, of course, the FRN's defects don't hurt the government, only the civilians. So it never gets recalled, and we aren't allowed to sue. No matter how much middle class wages erode and savings evaporate.

[Krugminator2]

I always like how Zerohedge makes it sound so sinister by saying "confesses" as if Bernanke was hiding something.

The Fed does cause recessions. That's kind of how it works. At some point an expansion starts to overheat and you get inflation so the Fed has to tighten monetary policy to kill inflation. It is a balancing act and at some point they will tighten too aggressively and you get a recession.

[Swordsmyth]

I always like how Zerohedge makes it sound so sinister by saying "confesses" as if Bernanke was hiding something.

The Fed does cause recessions. That's kind of how it works. At some point an expansion starts to overheat and you get inflation so the Fed has to tighten monetary policy to kill inflation. It is a balancing act and at some point they will tighten too aggressively and you get a recession.
The Fed causes the overheating in the first place.

Booms and Busts should be left to market forces and then they wouldn't be so severe or last as long.

[Krugminator2]

The Fed causes the overheating in the first place.

Booms and Busts should be left to market forces and then they wouldn't be so severe or last as long.

They wouldn't last as long. That is true. They would however be MUCH more severe. Nobody disagrees with that. Depressions were much steeper before the Fed.

[Swordsmyth]

They wouldn't last as long. That is true. They would however be MUCH more severe. Nobody disagrees with that. Depressions were much steeper before the Fed.
No, they might hit a small number of people harder but they wouldn't hit nearly as many people.

[acptulsa]

He doesn't work for the Fed and never did. He works in grocery store.

You figure repeating it will make it true?

I remember when Zippy spelled words as the English do. I remember several times Zippy's prose style changed, and he developed amnesia. He couldn't remember what happened last week. I remember when one day he was waxing eloquently about the Broncos, and the next he forgot that the Seahawks had not been an AFC team for years.

I don't refer to the Zippy account as 'they' because I think there's royalty involved.

And repeating stuff that denies the evidence which has passed before my eyes will not make me believe that stuff is true.

[NorthCarolinaLiberty]

You figure repeating it will make it true?




It's true because I've seen it. I just sent it to you, and now you've seen it.

[acptulsa]

It's true because I've seen it. I just sent it to you, and now you've seen it.

No, I saw a link to a fedbook page I did not care to click. Now you claim my caution/boycott is due to a state of denial, and I remind you that a fedbook page proves exactly nothing--especially if it belongs to a Fed.

There. We're back where we began.

[NorthCarolinaLiberty]

No, I saw a link to a fedbook page I did not care to click. Now you claim my caution/boycott is due to a state of denial, and I remind you that a fedbook page proves exactly nothing--especially if it belongs to a Fed.

There. We're back where we began.



LOL. You're looking for a needle in haystack when the needle is right in your hand.

You'll click on it eventually.

[enhanced_deficit]

Buck stops at Fed Reserve solely.

Although question could be asked who year after year/decade after decade has been nominating/confirming/re-confirming FR posts.

[acptulsa]

LOL. You're looking for a needle in haystack when the needle is right in your hand.

You'll click on it eventually.

Don't count on it.

A fedbook account proves exactly nothing.

[Zippyjuan]

Don't count on it.

A fedbook account proves exactly nothing.

He has dossiers on everybody- even if he has to make them up. He has even created fake accounts in my name (and a few other posters from here) on other websites and came back to brag about that fact.

[NorthCarolinaLiberty]

He has dossiers on everybody- even if he has to make them up.



More lulz. Dude, you didn't exactly cover your tracks. You're like a pile of turds in a toilet you forget to flush.

[NorthCarolinaLiberty]

He has even created fake accounts in my name (and a few other posters from here) on other websites and came back to brag about that fact.

Oh nose! I used your user name on another website. That's unprecedented in internet history! Maybe you should sue me for copyright infringement!

[Zippyjuan]

Oh nose! I used your user name on another website. That's unprecedented in internet history! Maybe you should sue me for copyright infringement!

'Oh, look what Zippyjuan has been posting over on Democratic Underground!" (NorthCarolinaLiberty on a "time out" from here at the time)

http://www.ronpaulforums.com/showthread.php?476016-Posting-on-Democratic-Underground-for-Fun-and-Spare-Change&highlight=northcarolinaliberty+democratic+undergro und

[NorthCarolinaLiberty]

'Oh, look what Zippyjuan has been posting over on Democratic Underground!"




The troll got trolled! What's the matter--taste of your own medicine too tough for you?

[NorthCarolinaLiberty]

'(NorthCarolinaLiberty on a "time out" from here at the time)




Nopes; try again. You just got mad because I made more money than you when trolling DU!:D

[acptulsa]

Nopes; try again. You just got mad because I made more money than you when trolling DU!:D

This is an awfully public place to brag about how much you make by shilling the 'net. Maybe you two should get a room.

[NorthCarolinaLiberty]

This is an awfully public place to brag about how much you make by shilling the 'net. Maybe you two should get a room.


There was a time when I had 24 Democratic Underground troll accounts. But they banned them all in one fell swoop.

I just got banned again at home. Now, I have to visit the college library. :( I assume my IP ban there also expired, so I should be back up and running shortly. :up:

Just for laughs, my next user name will be "Influenza." It's going to be a real hoot! Woot woot!!