Over the past week or so, I’ve written several posts highlighting the dangers of “public-private” partnerships. This is the preferred term being used by savvy members of the status quo to provide cover for their relentless pursuit of economic fascism. It provides a good soundbite, but in reality is nothing more than a license to loot and pillage with government backing. Here’s how I described the scam in the post, Meet Cyber P3 – The U.S. Military’s Public-Private Partnership to Create Corporate/Government “Cyber Soldiers.”
It makes perfect sense if you think about it. If you’re a large corporation, there’s nothing better than guaranteed profits; and there’s no better way to guarantee profits than by going into business with the one entity that can do this: government. On the other hand, if you are an ambitious and greedy politician, what better way to earn a fortune while ostensibly engaging in “public service” than by lining the pockets of big corporations, which will then line your pockets in return in various opaque ways. Extraordinary fees for speeches is one preferred way of doing this, as is the classic revolving door that gives the person a cushy corporate job after leaving government.
Bankers are a lot of things, but the ones who reach the very top of their profession are not stupid. As such, it’s no surprise that they figured out the value of public-private schemes before most. Enter the Federal Reserve, a banking cartel partnership with government. Through the use of complicated jargon, and an incredibly successful propaganda campaign that has convinced many people it has the best interests of the economy in mind, the TBTF bankers have used the Fed to concentrate wealth and power so efficiently it is now at historically dangerous levels.
Despite the dog and pony show we sometimes see, Congress never dares challenge the Fed. The Fed does whatever it wants, and we saw the latest evidence of this recently when it failed to provide names Congress “requested” in a market intelligence probe. The Wall Street Journal reported:
The Federal Reserve has not replied to a lawmakers’ request that it identify the individuals who had contact with a private consulting firm that published a report on the central bank’s market-sensitive internal policy deliberations.
In October 2012, the day before the Fed released its minutes of its September 2012 policy meeting, Medley Global Advisors, sent a report to its clients with several sensitive details that subsequently appeared in the minutes. A central bank probe found a “few” Fed staffers had contact with Medley before the report, but did not identify them.
The deadline passed without any response by the Fed, a committee spokesman said Wednesday.
The central bank’s policy-making Federal Open Market Committee makes decisions on interest rates that can cause huge swings in global financial markets. Confidential information about its internal deliberations or advance information about the minutes of its meetings or possible future actions can be worth huge sums of money to traders around the world.
Now, if Jamie Dimon had asked for the names they’d be on his desk within 5 minutes.
The following cartoon is from Alfred Owen Crozier’s US Money Vs Corporation Currency, “Aldrich Plan,” Wall Street Confessions! Great Bank Combine, published in 1912, a year before the creation of the Federal Reserve. Was he wrong?
Must be nice to be above the law.
For related articles, see:
The Federal Reserve Refuses to Provide Names Requested by Congress in Probe