Establishment worried Federal Reserve could be targeted
(INTELLIHUB) — In a possible sign of things to come, the New York Times recently published a piece in which the establishment cites its worry that the private Federal Reserve could soon be targeted by the populist wave that elected Donald Trump.
The piece comes amid reports the the fed is set to implement policy that is in stark contrast with the goals of the new president, pitting the central bankers against a president who has shown he isn’t afraid to get rid of those working against his agenda.
Times reporter Eduardo Porter makes clear from the start that the globalist elite are directly worried that the “independence” of the Federal Reserve could be under threat while implying that this is yet another horrible thing happening under the new president.
Is the Fed at risk for real this time?
Throughout American history, few institutions have inspired such persistent mistrust among voters and their elected officials as the mysterious authority that determines the value of their money.
The Federal Reserve wasn’t even around yet when the fiery Nebraska populist William Jennings Bryan rose to the Democratic presidential nomination in 1896 by charging that the gold standard that ruled monetary policy at the time was crucifying the workingman “upon a cross of gold” to serve bankers’ interests — depressing farm prices and crushing indebted farmers by limiting money in circulation.
Since its inception in 1913, the Federal Reserve has been alternately accused of either making money too scarce and expensive or making it too plentiful and cheap.
Consider for a moment how big this truly is. The New York Times, known for its long history of protecting and supporting the globalist elite, is now publishing news reports that fret over the possibility that the Federal Reserve could soon be targeted.
The pressing question for this era of populist policy making and popular anger is whether the Federal Reserve as we know it — arcane and academic, with the autonomy to set monetary policy as it sees fit — will survive the tension this time.
Given the ferocious discontent with the “establishment” stoked by Mr. Trump among his angry electoral base, the threat against the Fed this time seems of a higher order. As Adam S. Posen, an American economist who has served on the Bank of England’s rate-setting Monetary Policy Committee, told me, “The sense that the Fed’s independence could be taken away by a simple act of Congress is very real.”
How terrible. Private banksters may soon be stopped from setting monetary policy as “they see fit”.
Porters goes on to note that the pressure on the fed is already on with efforts to audit the fed gaining new life while being cheered on by Americans from both sides of the aisle.
The pressure is already on. Mr. Posen, who now heads the Peterson Institute for International Economics, points out that the Fed already lost powers it deployed to counter the recession spawned by the financial crisis a decade ago: The Dodd-Frank financial reform legislation stripped it of its authority to lend freely to nonbanks, which it used to keep money market funds, insurance companies and others that had bet on the wrong side of the housing bubble from imploding and taking the economy with them.
Efforts that stalled in the last Congress — to subject the Fed’s funding to congressional approval, to reduce its discretion in setting monetary policy and to subject it to the oversight of Congress’s Government Accountability Office — have acquired a new lease on life, cheered from the right and the left.
It was only a matter of time before the central bankers began to battle with Trump and now it seems that the establishment media is extremely worried that this is soon to happen.
Consider this. Despite claims from some that Trump is working with the globalists, the fact remains that not only did he destroy the TPP but now seems to be set on a collision course with the powerful private Federal Reserve. How could this possibly be a bad thing?