Quote:
Originally Posted by yads
The Fed is not a private corporation. It is independent from the government so as to not be swayed by the ruling party. It is still subject to government oversight and the governors are appointed by the president of the US.
Also any profits the Federal Reserve makes are returned into the treasury so in fact the Federal government pays interest to itself on their own securities held by the Federal Reserve.
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so, you're saying that the federal reserve is independent from the government so as to not be swayed by the ruling party, but it's chairman and governors are chosen by the president of the ruling party?
not all profits are returned to the treasury. billions of dollars are kept by the federal reserve. in 2009, the federal reserve made 52.1 billion in profit, but the treasury only received 46.1 billion (the amount made of the u.s. securities it held) what does the federal reserve do with the other 6 billion?
the federal reserve may be subject to government oversight, but unless they can actually audit the fed, oversight is useless!
federal reserve transparency act
audit the fed! - ron paul
audit the federal reserve