Dennis Kucinich is still going strong, fortunately. July 21st, during a meeting of the House Committee on Oversight and Government Reform, he questioned Neil M. Barofsky, the Special Inspector General for the Troubled Asset Relief Program (TARP), about interest payments made to banks that keep their TARP funds and other government (taxpayer) bailout money with the Federal Reserve, instead of making loans to struggling Americans (the original intent of the TARP). The Fed is making generous interest payments to these banks for putting their excess reserves within Fed control.
Oh, that Federal Reserve. We can’t audit it, we can’t know who the major investors are, and we sure as hell can’t get in the way of their decision making. Timmy Geithner said as much recently, “Audting the Federal Reserve is a line we don’t want to cross”, says Timmy. He goes on to say that “we need to keep politics out of monetary policy”, and “we need to preserve what the Federal Reserve does independent of politics”. That layed the groundwork for the completely explanatory statement: “it would be problematic to the country if you let politicians come in to shape monetary policy for the country”.
I don’t know Timmy. Seems to me the politicians represent us people. And monetary policy seems pretty important, especially now, with the trillions given to banks and the jobs taken from the citizens. You think it is problematic for we the people to know and be involved with what the fuck is going on with our monetary policy? That just doesn’t make sense Timmy. You’re better than that dude! Maybe not though.
So at least Dennis is still on the attack. He explained how the purpose and application of the TARP funds has gone from “keeping people in their homes”, to “bailing out the banks to direct capital infusion”, to “the Fed paying banks not to use their excess capital to make loans”, i.e., the ole bait and switch.
Ya, the Fed is up to something. What monetary policy requires the tightening of credit? It doesn’t seem to help small businesses and the average consumer. It appears to be some kind of manipulation for the benefit of the few. Are we headed for more deflation, inflation, or even stagflation? Only the Federal Reserve knows for sure. Because Timmy says it is best we don’t know.