This guy. $16 trillion. From somewhere.
The much-anticipated audit of the Federal Reserve’s books is out, and boy are the results interesting.
The audit, conducted by the Government Accountability Office, found that the Federal Reserve lent $16 trillion — with a “t” — to global financial institutions in the past three years. That’s more than the entire gross domestic product (GDP) of the United States. Just in Federal Reserve loans to financial institutions.
In fact, about $3 trillion went to institutions located overseas — including in countries like the United Kingdom, Germany, Switzerland, and Belgium. Asset swap arrangements were executed with countries like Brazil, Singapore, Mexico, Norway, and South Korea. Twelve of those arrangements are ongoing.
The biggest recipients of Federal Reserve loans? The very same institutions which helped spark the financial crisis back in 2007. Citigroup received $2.7 trillion. Morgan Stanley received $2.04 trillion. Merril Lynch got $1.9 trillion, and Bank of America took #1.3 trillion. All from December 2007 until now.
The Government Accountability Office report suggests the need for new rules governing of the Federal Reserve, including additional transparency — something the quasi-government behemoth has resisted from the beginning. The GAO report was ordered by Congress in an unexpectedly bipartisan push.
Members of Congress spanning the political spectrum — from conservative Republicans to the openly-socialist Bernie Sanders of Vermont — have openly recognized the need to reform the Federal Reserve. Some have even called for its abolition. And now you can understand why.
31. July 2011 at 8:59 am
Congress has too much freedom. Where are the balance and check for the congress. Is no one watching their waste of time and money?
Money is given to those who hate us and I wonder sometimes if it includes some in congress.
Expensive jets, limos.
Many of them act like spoiled children. Send them home starting with Pelosi!
31. July 2011 at 9:04 am
The Quote of the Decade
“The fact that we are here today to debate raising America’s debt limit is a sign of leadership failure. It is a sign that the US Government can not pay its own bills. It is a sign that we now depend on ongoing financial assistance from foreign countries to finance our Government’s reckless fiscal policies. Increasing America’s debt weakens us domestically and internationally. Leadership means that, “the buck stops here.’ Instead, Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren. America has a debt problem and a failure of leadership. Americans deserve better.”
– Senator Barack H. Obama, March 2006