Posted by Tina
Well, cr*#! This revelation’s” certainly a jaw dropper!
Its mild-mannered name is “agency debt.” It’s the debt of federal agencies and government-sponsored enterprises (GSEs) that is not included in the National Debt. In other words, when you go to the U.S. Treasury’s Debt to the Penny page, and find that on September 27, 2015 the debt was $18,151,073,031,331.50 you wouldn’t find any agency debt in that number, nor in the $13,140,301,918,135.70 of Debt Held by the Public.
Who cares, anyway? Well, you might care if you went over to the Federal Reserve Board’s site and found that agency debt is tucked away in its Financial Accounts of the United States report in Table L.211 and found that that agency debt at the end of 2014 was about $6,920,000,000,000.
What is agency debt anyway? The Federal Reserve provides a helpful footnote to Table L.211:
Agency- and GSE-backed securities include: issues of federal budget agencies (line 2) such as those for the TVA; issues of government sponsored enterprises (line 3) such as Fannie Mae and FHLB; and agency- and GSE-backed mortgage pool securities issued by GNMA, Fannie Mae, Freddie Mac, and the Farmers Home Administration (line 4). Only the budget agency issues are considered officially to be part of the total debt of the federal government, which is shown in table L.106, line 20.
In other words, agency debt is the debt issued by Fannie Mae, Freddie Mac & Co. It is the helium gas cylinder that inflated the Great Real Estate Bubble.
This near $7 Trillion is even more troubling since it’s been reported that this administration has continued to push for the lending practices that led up to the bursting housing bubble.
Hold on to your hats…we’re in for difficult days ahead.
Am I the only person besides Tina who finds this policy disturbing and dangerous? Tina is on top of it again, yet it appears no one is listening. No, Chris, that was not an invitation for you blow smoke.
Thanks Pie, I too was surprised that no one had commented on this new revelation about our debt.
The Obama Admin does protect the bankers too much. That said The republicans are 100% for more deregulation and would block any sensible bills. The bankers own the majority of these politicians. They should not be able to create these monopolies.
The Fed needs to be audited and brought under control. Or abolished. The Fed is not a gov bank, it is a privately owned bank. It is rigged against us for bankers profit. Rob a bank you go to jail. Bankers rip off the people they get a fine and their stock and profits go up.
THE FEDERAL RESERVE BANK IS A PRIVATE COMPANY.
Article 1, Section 8 of the Constitution states that Congress shall have the power to coin (create) money and regulate the value thereof. Today however, the FED, which is a privately owned company, controls and profits by printing money through the Treasury, and regulating its value.
Let’s talk about this scam.
Remember JFK issued silver certs again and after they killed him they reversed that very quickly. The only thing the Paul’s have been correct about is the scam of the Federal Reserve.
Dewey if you’re going to do research don’t forget to read the entire paragraph…or sentence…before deciding what it says. Wikipedia:
Jaw drop! Dewey actually knows The Federal Reserve Bank is a private enterprise!
Who owns the Federal Reserve?
The Federal Reserve System fulfills its public mission as an independent entity within government. It is not “owned” by anyone and is not a private, profit-making institution.
As the nation’s central bank, the Federal Reserve derives its authority from the Congress of the United States. It is considered an independent central bank because its monetary policy decisions do not have to be approved by the President or anyone else in the executive or legislative branches of government, it does not receive funding appropriated by the Congress, and the terms of the members of the Board of Governors span multiple presidential and congressional terms.
However, the Federal Reserve is subject to oversight by the Congress, which often reviews the Federal Reserve’s activities and can alter its responsibilities by statute. Therefore, the Federal Reserve can be more accurately described as “independent within the government” rather than “independent of government.”
The 12 regional Federal Reserve Banks, which were established by the Congress as the operating arms of the nation’s central banking system, are organized similarly to private corporations–possibly leading to some confusion about “ownership.” For example, the Reserve Banks issue shares of stock to member banks. However, owning Reserve Bank stock is quite different from owning stock in a private company. The Reserve Banks are not operated for profit, and ownership of a certain amount of stock is, by law, a condition of membership in the System. The stock may not be sold, traded, or pledged as security for a loan; dividends are, by law, 6 percent per year.
http://www.federalreserve.gov/faqs/about_14986.htm
Umm, my ad. I was being facetious in the above about poor Dewey, “Jaw drop! Dewey actually knows The Federal Reserve Bank is a private enterprise” Dewey does not understand a damn thing. He is the result of an “education” provided by left wing liberals. Sad but true.
The Federal Reserve is not structured in exactly the same way as Fannie Mae but both represent a measure of government intrusion (control) into private sector business. There’s much debate over whether that is a good thing or a bad thing but one things for sure, the fascism that Dewey complains about is here and most often a result of democrat ideas and decisions.
Fascism (for kids): a political system headed by a dictator in which the government controls business and labor and opposition is not permitted
In our case government and unions have worked together against the private sector not only in business but in our educational system as well.
The Federal Reserve, it turns out, is a money making machine for the government:
And Fannie Mae?
Washington is one big fat redistribution center…to itself.
Big government does not work and should be limited at the federal level in particular.
Regulations and laws should be precise, easy to understand, and limited in scope.
Our financial and employment problems and our weak economy can all be attributed to massive government intrusion. We don;t have to be worried about moving toward European style socialism…we’re there!
How do you like the misery?
Dewey is confused.