Bogus Washington-Proposed Financial Reform - by Stephen Lendman
In Washington, the more things change, the more they stay the same, or usually get worse. It's true each election cycle, and when Congress enacts "reform," watch out.
Obamacare: legislation that rations care and enriches corporate providers.
Financial reform, shaping up to be more business as usual, masquerading as change, and leaving what's needed unaddressed and papered over.
What Real Reform Looks Like - Abolish or Nationalize the Fed
For many years, Ron Paul waged a lonely struggle to abolish the Fed, trying and failing in the 106th, 107th, 108th, and 110th Congresses. Numerous times he explained what he said on the House floor on September 10, 2002, namely:
"Since the creation of the Federal Reserve, middle and working-class Americans have been victimized by a boom-and-bust monetary cycle. In addition, most Americans have suffered a steadily eroding purchasing power because of the Federal Reserve's inflationary policies. This represents a real, if hidden, tax imposed on the American people," a 1913 dollar (when the Fed was created) today worth about a nickel and continues to erode.
Under the Fed, we've also had rising consumer debt; record budget and trade deficits; an unsustainable national debt; a high level of personal and business bankruptcies; millions of lost homes; high unemployment; loss of the nation's manufacturing base; soaring poverty levels; an unprecedented wealth gap between the rich and most others; and a hugely unstable economy lurching from one crisis to another, the current one near-catastrophic with years more pain and suffering ahead for growing millions.
Yet the 1913 Federal Reserve Act violates the Constitution's Article I, Section 8 giving Congress sole power to coin (create) money and regulate the value thereof. In 1935, the Supreme Court ruled that Congress can't constitutionally delegate it to another body.
Yet, as financial writer Ellen Brown explains, Federal Reserves Notes comprise about 3% of the money supply, the remainder created by private banks through loans. When made, the money supply expands. When repaid it contracts unless equal or greater loan amounts are made. Today, they're not, so credit is contracting precipitously.
The founders wanted gold and silver as legal tender, not fiat money or a central bank, President Andrew Jackson calling the Bank of the United States (the Fed's equivalent in his day) a "hydra-headed monster."
Under the Fed, America's monetary system combines money, credit and debt into a dishonest system of empty promises in exchange for future ones, new generations forced to pay increasingly greater amounts for today's excesses, a process designed to suck maximum public wealth into elitist private hands.
Privatized money control is the single greatest threat to democracy. Since 1913, Wall Street bankers have incrementally stolen it in collusion with corrupted officials, modern day ones crafting fake financial reform to end the little that's left and extract as much more public wealth as possible.
On July 8, 2009, the House introduced HR 3126: Consumer Financial Protection Agency Act of 2009: