The American debt crisis in 5 charts

[BDforever]

Depends upon where you are

I see $613,000 here http://www.newhomesource.com/homedetail/planid-1165838

$711,000 here http://newhomes.move.com/plan/1018099/tx/houston/katy/sandhaven-at-cinco-ranch-ironwood-estates


"Average" new home size is 2,720sq ft @ $351K. Average family income is $52K.

It's very tempting to go for something bigger.

do you know elite area in Dhaka (Capital City of Bangladesh) costs around $335k for 2000sq ft flat ? looooooooool

 

[Nimitam]

This is wrong fundamentally. You cannot print dollars (or any money) without diminishing its value. Your concept of money is wrong. If you want to understand it better, I will help you out (and I am not being disrespectful here.)

Oil is "predominantly" purchased in USD and is not the ONLY currency you can purchase oil in. In fact you can purchase OIL or ANYTHING in which ever way the seller agrees to sell it to you.

If US could wipe out its debt by printing money, the debt crisis would not be such a big political issue.

US maintains dominance in the Gulf and support monarchy so that Oil is sold in USD. This is the blood line of your economy. This has existed since the agreements of 1971 and 1973, all the members of OPEC (Organization of Petroleum Exporting Countries) quote oil prices only in US Dollars.

However, in recent times some countries which have had trouble with USA (Iran and Venezuela) have been pushing for the use of Euro as the currency for oil prices (Since 2003, Iran has started accepting Euro as well). As a matter of fact Iran was chose an 'axis of evil' because it refuse to trade oil in USD and they were embargoed.

But this happened only after the EU was formed and they started printing the Euro, but before that US had a free run and had monopoly over global trade as reserve currency status.

I did not say there was No Down side to printing more USD, or defaulting on the loans and resetting the clock as Trump ha suggested. The rest of the world will take a massive hit as their reserve currency will be worth less, but US citizens will have their burden eliminated.

What do you mean by transparency of ownership? It's like saying who owns the https://en.wikipedia.org/wiki/Group_of_Seven_(G7)

Here for example is the Federal Reserve Bank of Boston
https://en.wikipedia.org/wiki/Federal_Reserve_Bank_of_Boston

It is run by directors of different banks. Just think of it like the G7

LOL...Are you serious ? The Private Banks i.e. sharholders have the right to nominate directors. Member banks also get to select 6 of the 9 directors of their regional Federal Reserve Bank.

But do you have Transparency as to how much shares EACH bank holds ? What is the cross holdings ? Which individuals have the maximum share holdings ?

What is surprising is that you demonstrate No Desire to know the truth. You are smug in your ignorance.

 

[Hamartia Antidote]

do you know elite area in Dhaka (Capital City of Bangladesh) costs around $370k for 2000sq ft flat ? looooooooool

Well McMansions are not for the elite. They are for middle class.

 

[Sliver]

@Nimitam again, thats not true. your concept of money is flawed. The US will not print money to erase debt. It is still one of the safest places to park money (and that is there for a reason). The country that most recently rest their currency value was China.

Please have a look at your fundamentals on money. your flawed understanding of money will only lead you to wrong understanding. Again, as I said, I can help you out in that. only thing, lets open that in a separate thread and I can explain to you from the basics so everyone else can understand as well.

 

[21stCentury]

LOL! What are you talking about? Are you listening to some fringe https://en.wikipedia.org/wiki/Doomsday_Preppers or something? Most people laugh at the low IQ people who believe this stuff.

I find it funny too, my man, but apparently this is what lots of Americans believe.

 

[Nimitam]

@Nimitam again, thats not true. your concept of money is flawed. The US will not print money to erase debt. It is still one of the safest places to park money (and that is there for a reason). The country that most recently rest their currency value was China.

Please have a look at your fundamentals on money. your flawed understanding of money will only lead you to wrong understanding. Again, as I said, I can help you out in that. only thing, lets open that in a separate thread and I can explain to you from the basics so everyone else can understand as well.

How can you draw a conclusion about my concept of money based on a scenario posted by me ? I think you are being guided by prejudice and assumptions.

Of course the US does not want to devalue its currency by flooding the market with it and destroy 'investor' confidence. But if it does, the debt burden of the citizens can be eliminated. But it is a one time deal and all those banker who have parked their wealth with the Federal Reserve will never allow it. Primarily because that move will wipe out their worth too.

After all the owners of the Federal Reserves have traded in their GOLD for US currency.

@Silver do you support the lack of transparency about Ownership of the Federal Reserve ?

 

[BDforever]

Well McMansions are not for the elite. They are for middle class.

yea, i was giving comparison LMAO

 

[Manticore]

You fail to mention that unlike other nations, US can just print as many dollars as they want and wash away all their debts.

 

[Sliver]

@Nimitam the US wont print money. And yes I agree that I assume you have a flawed understanding of money- but that is based on your posts here.

from your own posts :

Of course the US does not want to devalue its currency by flooding the market with it and destroy 'investor' confidence. But if it does, the debt burden of the citizens can be eliminated. But it is a one time deal and all those banker who have parked their wealth with the Federal Reserve will never allow it. Primarily because that move will wipe out their worth too.

the debt burden on the citizens wont be eliminated if the US prints more money.

The value of money is not in the paper that its printed on but in the goods/services that it can buy. Hence no matter US or anyone can print, it wont change the value of "money" unless the value of those services itself changes.

the question you asked me about the fed - I can answer that after we have ironed out the meaning of "money" and why US cant print any amount of money it likes.

 

[Hamartia Antidote]

LOL...Are you serious ? The Private Banks i.e. sharholders have the right to nominate directors. Member banks also get to select 6 of the 9 directors of their regional Federal Reserve Bank.

But do you have Transparency as to how much shares EACH bank holds ? What is the cross holdings ? Which individuals have the maximum share holdings ?

What is surprising is that you demonstrate No Desire to know the truth. You are smug in your ignorance.

If you are wondering what the procedure is for voting for the regional Board of Directors it's right here:
https://www.federalreserve.gov/aboutthefed/directors/PDF/procedure-for-elections-classes-a-b.pdf

It doesn't mention anything about "shareholders" having more voting rights.

 

[jhungary]

No they are not. US Federal Reserve is owned by Private Banks. Not the US government. This is a common misconception.

All profit made by the Federal reserve is turned over to the US govt. AFTER paying a fixed return of 6% to the share holders who own the Federal Reserve i.e. the Private Banks owned by Bunch of Private individuals.

Indeed the US Financial System is a bit confusing, and it obviously confused you. You Said Federal Reserve, not Federal bank.

Federal Reserve System is not the same as Federal Reserve Bank.

Federal Reserve System is Government Owned and it's job is to maintain US Monetary Policy and Money and Credit Condition. It's Secondary job is to control/Supervise the US Mint and Federal or Private Banks. Both FRS and US Mint are federal government department. The Board of Director of FRS have a US Government Paygrade GS-15 (The highest in the US federal System)

http://www.federalreserve.gov/
http://www.usmint.gov/

Federal Reserve System act as Central Bank of United States of America, notice the .gov suffix of the US Federal Reserve System website? It denoted it is a governmental department.

Federal Reserve banks are 12 privately owned Banks across 12 US District which formed the backbone of US Banking institution, the basically these 12 Federal bank act as credit backing of any Banking Institution within the US by issuing them with a line of credit. It act as an outlet of policy and the mouthpiece of Federal Reserve System. Although Federal Reserve Bank is privately owned and individually operated, the US government have express an interest with all 12 US Federal Reserve Bank as a legal entity, however, were not considered a federal Agency in term of FTCA act, which followed by the judgement of the Eight Circuit Court the court of appeal.

http://media.ca8.uscourts.gov/opndir/05/04/042357P.pdf

It would be interest you to know, the FRS issued guideline on financial policy to all banks (Federal Reserve Bank included) however, due to the non-partisan action of Federal Reserve act (As to limited government control of market), the operating arms of FRS, the Federal Reserve Bank, are operated privately. However, the majority of stake holder is still belong to the US government.

Wrong again. Federal Reserve Bank stock CANNOT BE SOLD OR TRADED so there is no question of insider trading.

They are secretive to keep the public at large ignorant. The same ignorance you now demonstrate

Umm...you are seriously misunderstood the system and how it work, suggesting you to acquire the knowledge on US Federal Reserve System before posting. I never said anything about Selling or Trading of Federal Bank stock.

By the way, as per the 8th Circuit Court ruling, the Federal Reserve bank is a public entity, just not an "Governmental Agency" as per FCTA. This is what the judgement said.

What do you mean by transparency of ownership? It's like saying who owns the https://en.wikipedia.org/wiki/Group_of_Seven_(G7)

Here for example is the Federal Reserve Bank of Boston
https://en.wikipedia.org/wiki/Federal_Reserve_Bank_of_Boston

It is run by directors of different banks. Just think of it like the G7

@Nimitam the US wont print money. And yes I agree that I assume you have a flawed understanding of money- but that is based on your posts here.

from your own posts :


the debt burden on the citizens wont be eliminated if the US prints more money.

The value of money is not in the paper that its printed on but in the goods/services that it can buy. Hence no matter US or anyone can print, it wont change the value of "money" unless the value of those services itself changes.

the question you asked me about the fed - I can answer that after we have ironed out the meaning of "money" and why US cant print any amount of money it likes.

That dude don't know what he is talking about, he said "Federal Reserve" Which is the defacto Central Bank of America
But all his post is about Federal Reserve bank,..........lol, he does not realise the two are different organisation......

 

[jhungary]

...

Okay, so I quote all the necessary reference and website and said otherwise, but then what you said must be true even if you obviously have no financial and economic knowledge what-so-ever.

Please, do not quote me again, I cannot stop you from looking stupid, but at least please don't drag me to your level of discussion. And insulting other member does not make you more right, it just make you more desperate.

 

[Nimitam]

Okay, so I quote all the necessary reference and website and said otherwise, but then what you said must be true even if you obviously have no financial and economic knowledge what-so-ever.

Please, do not quote me again, I cannot stop you from looking stupid, but at least please don't drag me to your level of discussion. And insulting other member does not make you more right, it just make you more desperate.

Your website is for the Board of Governor for the Federal Reserve system. It will tell you the same thing I have told you.

That there is NO CENTRAL US BANK. Your Federal Bank is a bunch of Private banks who won shares and was set up to exchange their gold for US currency and the US govt. has been paying them dividends of 6% per annum every year since 1913.

It appears to me that since you have no real knowledge about this matte, you are the one who have resorted to calling names and running away from the debate.

Posting links does not make you smart, making a valid argument makes you look less stupid. And that is where you have failed.

 

[jhungary]

Your website is for the Board of Governor for the Federal Reserve system. It will tell you the same thing I have told you.

That there is NO CENTRAL US BANK. Your Federal Bank is a bunch of Private banks who won shares and was set up to exchange their gold for US currency and the US govt. has been paying them dividends of 6% per annum every year since 1913.

It appears to me that since you have no real knowledge about this matte, you are the one who have resorted to calling names and running away from the debate.

Posting links does not make you smart, making a valid argument makes you look less stupid. And that is where you have failed.

You have a serious comprehension problem

Again, you said FEDERAL RESERVE, not Federal Reserve Bank. It's your word, not mine. In the US, the Board of Director of Federal Reserve System is the Federal Reserve, or commonly known as the Fed.

This is your original post.

I am yet to find a single american who can tell us why the Federal Reserve is privately owned and highly secretive.

Why do they avoid this question. No one wants to talk about it. Its like a conspiracy of silence.

You never said anything about Federal Reserve Bank from the beginning, and if you think you are talking about the Federal Reserve Bank in your first post, that's where you are wrong.

In the US, Federal Reserve referred to the Federal Reserve System, which mainly control the interest rate. Federal Reserve Bank commonly referred to as Reserve Bank in charge of lending money to Commercial and Private Bank, the first one is an government agency, the second one is a private institution. Although under 8th Circuit, the US Supreme court judgement established Federal Reserve Bank as a public institution.

You have confused the two term from the get go, this is hardly my faults. And in the US, Federal Reserve System act as Central Bank of America, this is written in their statement and set forth by Chapter 10 and 11 of Federal Reserve act in 1913.

http://www.federalreserve.gov/aboutthefed/section 10.htm
http://www.federalreserve.gov/aboutthefed/section11.htm

Again, unless you come up with some creditable reference, this is my last post to you on the subject

 

[anon45]

Americans are told to keep guns in their homes and stock up on food, they are already expecting a collapse unseen before in the history of the US. Anarchy is looming around the corner, or so many whites in US believe. And looking at social-economic conditions and the racial tensions that keeps brewing in the white-dominated US, we can see why Americans are worried.

Only wingnuts actually believe this. Whatever channel or forum or news source you are using for this, take it with a truckload of salt, it sounds like a hard right (probably survivalist) rag.