When all the bullshit melts away and push comes to shove, you will plainly see who can or cannot be trusted. Warren Buffet unfortunately is on top of the pile as this CNBC interview proves.
Buffett: Well, I think there is nothing more important in the economic future of the country than to have an independent Fed. And I think that’s been demonstrated over the years. I think it was demonstrated even particularly last fall. But we do not want to fool around with the independence of the Fed.
Buffett: I think it’s done a good job over the years. I think it’s had good leadership most of the time. I think it has terrific leadership now. And I think that curbing the independence of the Fed could lead to a lot of mischief.The first point is just laughable. On what historic precedent is this being based on? Considering the Federal reserve is the exact cause of the Great Depression why is Buffet willing to give so much benefit of the doubt?
The second point should raise a lot of questions. First of all, what kind of mischief could we possibly raise beyond all the mischief we already have? The Fed has trillions of dollars on his books and due to some idiotic secrecy we are not privied to this information? This is our money we are talking about on what absurd ground can you possibly protect this. This is the equivalent of Congress collecting our taxes, but not actually telling us what the taxes are used for. More succintly I could argue, we do not even need a central bank and were perfectly fine without one for many decades. To suggest that tampering with an optional institution could lead to problems is misleading at best and deceitful at worst. (Spare me the banking panic crap, because the recessions we have had since the Fed were just as bad if not worse than the panics).
Second of all, how can anyone in their right mind possibly say the Fed has done a great job? The Fed has created every bubble in the past 20 years. Has caused multiple recessions. Crushed the US Dollar and now, systematically looting the middle class. While all the big banks that should have failed are being propped up by the existence of a "lender of last resort", the rest of us poor schmucks are living with stagnant or reduced wages and higher taxes. Great deal!
Banks like Goldman Sachs whose only existence can be attributed to the American taxpayer are posting massive profits and allocating over 20 billion dollars for BONUSES. Average GS employee makes 775,000 as of 2008! Goldman Sachs is also fighting the auditing of the Fed and should this be surprising?
So Mr. Buffet, who side are you on? The struggling middle class or your friends at the Federal Reserve and the modern robber barons at Goldman Sachs. I am curious by the way, does your investment totaling 5 billion dollars into Goldman Sachs have anything to do with your perplexing choice of words today?
Nah, must be a coincidence.