The Theft Is Now Official Policy

The Federal Reserve has just published a report stating that it will continue to use new policy tools to control interest rates.

As stated in the Wall Street Journal, "The Federal Reserve defended having the flexibility to set interest rates by using relatively new tools that include paying interest to banks, in its semiannual report to Congress on Friday."

For those of you who are subscribed, see the whole article here.

Creating money and inviting the banks to park it at the Fed, with interest, is theft, in my opinion.

[Thanks to gionalepop.it]

Have you any savings at all?  (Hopefully.). Have you noticed the rate of interest you are earning?  (Probably less than 1 percent unless it's in a CD.)  Have you also noted the official (never mind the unofficial) rate of price inflation currently?  (It's creeping towards 3 percent on an annual basis.)

That's a minimum of 2 percent loss of purchasing power per year, when the banks should be competing for our savings.

So who wins in this new Fed game?  The bankers and speculators.  Who loses?  Those who can least afford it, the forgotten men and women of the Western world.

What an embarrassment.