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The BIG Issue if the GOP Takes the Senate
Most Americans are viewing the midterm elections through the prism of social issues (Gay Marriage, Abortion, Discrimination, etc.)
These issues, regardless of the intense emotions surrounding them, directly affect a relatively small percentage of the US population.
The bigger issue for the US is how a GOP Senate would impact the Federal Reserve.
The Fed runs the US economy. Every American who eats food or uses energy or has a US Dollar in their bank account is directly affected by the Fed’s actions.
The current Fed is run by the very liberal Janet Yellen, who believes firmly in wealth redistribution. Yellen proudly considers herself and her policies to be liberal.
However, the Yellen Fed may soon be facing increased scrutiny and oversight.
In July of 2014, two GOP Congressmen introduced a bill that would require the Federal Reserve to follow the Taylor Rule regarding interest rates. While the details of this rule are not worth delving into at this time, the key ideas are that:
1) Interest rate policy would no longer be subject to the whims of Fed officials.
2) The Fed and its policies would be regulated by Congress for the first time in history.
In September, just two months later, the GOP-controlled House passed an “Audit the Fed” bill.
The House on Wednesday passed legislation to audit the Federal Reserve System.
Passed 333-92, the bill would require the comptroller general to conduct an audit of the Federal Reserve's board of governors and banks within one year and submit a report to Congress on the findings. A total of 106 Democrats joined all but one Republican in support of the measure.
A version of the bill sponsored by then-Rep. Ron Paul (R-Texas) passed in 2012 by a vote of 327-98. Paul's son, Sen. Rand Paul (R-Ky.), has introduced companion legislation in the Senate.
Rep. Paul Broun (R-Ga.), who failed to advance in a Senate GOP primary earlier this year, said the measure would increase transparency at the Federal Reserve.
http://thehill.com/blogs/floor-action/house/218047-house-passes-bill-to-audit-the-federal-reserve
The political winds have begun to shift against the Fed. It is telling that the US Dollar began to rally soon after this legislation was introduced. A less active Fed means a stronger US Dollar. Between the end of QE, negative interest rates in Europe, and legislation that would rein in the Fed’s lack of accountability, the US Dollar has hit a four -ear high.
If the GOP takes the senate, the days of the Fed doing whatever it wants will have ended. This may well in fact be what pops the US stock market bubble. The GOP hasn't controlled the Senate at any point since the Crisis hit in 2008. If the GOP controls both the House and the Senate, the Fed will be in for SERIOUS problems.
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"If the GOP takes the senate, the days of the Fed doing whatever it wants will have ended. If the GOP controls both the House and the Senate, the Fed will be in for SERIOUS problems." --Phoenix Capital Research
Shite. Just pure, childish fantasy. And shite. And P.C.R. isn't the only one helping this meme make the rounds through the corporate media superstructure.
News Flash: the Fed runs the government, and the Democrapublican Party is its servant--and that's BOTH WINGS of it. You already know this, so I'm not pretending to be enlightening you here.
Even if the GAO were granted authority to review the Fed's policymaking and meddlings with foreign central banks (and their governments), so what? It's a nice first step in theory, but to override fed actions in the interest of restoring sound money is to commit political suicide. The Republican wing kowtows at the Eccles Alter just like the Democrat wing, because their piece of the corporatocracy needs funding, too.
So to correct this P.C.R. piece of propagandistic trash: "If the GOP controls both the House and the Senate, the Fed will be in for BUSINESS AS USUAL."
Hard for me to believe people still buy into this bullshit.
...Hillary Clinton will have a path to the Whitehouse...
Bush appointed Bernanke and the Senate approved.
Obama appointed Bernanke for a second term and the Senate approved.
Obama appointed Yellen and the Senate approved.
Each of these actions is just like the other. No real difference. Doves, doves, doves.
FUBAR.
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Given the elections are basically about continuing to feed mice to a twoheaded snake, why would I vote?
the Bankers own the Senate, if any "change" comes it will come from the states, Republicans could get all the seats and the banks will still print because "not printing" consequences are bankruptcy, foreclosures, evictions, prosecutions, civil unrest.
They will print
Gang bang rotation. No significant change. Fwd Fester!
No politician from either of the parasite parties is going to interfere with the FED's policy to permanently destroy interest rates, for at least 2 reasons, each of which is self-sufficent:
1. If the FED raised the FFR, then all the carry trades & leverage would unwind & the stock market would sell off hard, prices would crash because of all the leverage. This woud destabilize the economy and also ruin the virtual portfolio gains of pension funds, institutions, individuals, ie big political power brokers.
2. The biggest beneficiary of the FEDs policy has been the Congress, by lowering interest expense dramatically the Congress is empowered to spend trillions more taxed & created dollars without increasing interest expense. Spending money is THE key to exercising AND keeping power in Congress.
So for any politician to change FED direction would be political suicide - just look at how successful Ron Paul was in challenging the FED.
As Bernanke boasted, interest rates are dead for generations. Fact.
Where did Mr Phoenix capital get his degree? Phoenix University? To think the the repugs are going to do anything withthe fed is just silly. The Fed owns them.
I've come to the conclusion that Graham and Pheonix Capital are clueless.
I usually toggle back and forth between the elections being a farce and yet still feel they are the only way to change the country (without a bloody war). That being said, I read this article by Paul Craig Roberts and now I am against voting again, it's a sad commentary on our country and fully agrees what I've suggested for many years now. Our leaders are lawless and don't care. It's a great read on this sad day...
http://www.paulcraigroberts.org/2014/11/03/presidential-crimes-now-paul-...
"Most Americans are viewing the midterm elections through the prism of social issues (Gay Marriage, Abortion, Discrimination, etc.)"
Really?!! Not in My world. Id say: No they're NOT. Where does the writer get that ridiculous opinion and why did he think he could easily foist it upon us? He lost me with that opening false assertion
He gets that opinion by watching Fox News.
Graham totally has his finger on the pulse. He subscribes to the Sarah Palin newsletter. It keeps him up to date on all politcal happenings and tasty wild animal recepies.
Totally plausible! Oh, gotta go; my pet unicorn just shit Skittles all over my yard.
Writer doesn't seem to have the slightest grasp of our political system and who owns the legislators in both parties.
Happy 5th Anniversary as a member of ZH - bet even you didn't know this.
I accidentally clicked your name and it said, member for 5 years and 23 hours!
Thanks, you'd win that bet!
It can be a somewhat emotionally abusive relationship, but I just can't seem to leave.
Hah...nice. Same here.
what Bullshit Mr. Phoenix.
Political parties in the United States are simply two sides of the Same Corrupt Coin.
What is most disturbing is that even as the American Demographic has decidedly diverged into many splinter groups and special interests with widely diverging views, beliefs etc... and as America becomes more and more heterogeneous, the political parties have become more and more homogeneous spouting essentially the exact same rhetoric, especially regarding economic policies.
There is no practical difference as far as governing capability between a Democrat or a Republican in 2014.
As an obvious result, government no longer reflects the will of the people, if it ever did.
"But Peter, how can I learn to fly?"
"You have to believe, Wendy. You really have to believe with all your heart."
Yeah I hear that every week when asked to contribute to the lottery pool. They now claim my cynicism is what prevents us from winning.
Miffed
How utterly daft. Anti-Fed legislation is obviously electoral posturing. Once the Rs are in power it will slip down the memory hole with "close Guantanamo", "most transparent administration in history", "no new taxes" et cetera ad infinitum. Who falls for this stuff anymore?
History provides perspective. "Those who cannot remember the past are condemned to repeat it" -- and become Progressives.
Interest rates in 1980 peaked at 21.5%. Things back then were fucked. similar in the fuckedness quotient (but with different factors) we have today.
Together, however, Volcker via monetary policy and Reagan via tax and fiscal policy plus deregulation tamed the dragon of inflation. It was bitter medicine; ie, we suffered 2 recessions in the early 80s, the 2nd actually caused by the shock to the system of these policies.
Volcker and Reagan had the balls to fix shit, hang the political consequences. And, we accepted the bitter medicine. (Contrast that with Obama. Everything he and his minions do is politically driven).
Yea, we can argue how effective Reagan was (and the left surely does) , but that's not the point. The point is that the American people are still noble and altruistic enough (excluding Progressives, of course) to suffer in the short term to gain in the long term.
History provides perspective. "Those who cannot remember the past are condemned to repeat it" -- and become Progressives.
Awesome. Gonna steal that one........
Yea, dex, they say, "This time it'll be different.
People who live in the real world learn from their mistakes, but those who construct and inhabit fantasy utopias figure they have no need of further learning.
The GOP, Tea Nuts included, are going to stop the Fed from doing what they want? That's the funniest fucking thing I've heard today. The next funniest thing I've heard is Janet Yellen is a liberal. I'd bet my entire fortune that the GOP will just roll over and play dead in front of the Federal Reserve and the other powerful elites who control DC and the Western World. Leopards do not change their spots.
Daydreams about legislation and its effect before it is AMENDED, passed by the millionaire's Congress, approved (signed with 'reservations), and interpreted by the lawyers and judges for implementation.
The bill to 'audit' might pass, and be so readily circumvented that little would change (and besides, might be thwarted by a VETO, or alleged "national security" secrecy issues.) It might have the same impact as 'auditing' the Pentagon or CIA, i.e. none.
The bill to follow the "Taylor Rule" is more unlikely to pass on the grounds that the alleged "flexibility' of the Fed would be adversely affected. It could also be circumvented by claims of 'national security' or conflict with foreign trade treaties and agreements.
The "law' does not exist in a vacuum, apart and above the ruling powers.
>> run by the very liberal Janet Yellen, who believes firmly in wealth redistribution.
Yeah, liberal are all for wealth being redistributed upwards to the superwealthy, which is just what the Fed's policies are doing. What a steaming pile of horse dung this articl is. There are no liberals, nor are there any conservatives, in the government anymore. It's a bunch of self serving sold out Jackasses with their nose's firmly in the wealthy's ass. Stop with the red/blue bullshit already. Nothing will change if the red team gets in.
Frankly I am not paying attention to any of this because it is pointless and a waste of my time. When they start electing horses to the senate I may reevaluate my position. I can respect horses, not jackasses.
Miffed
350 million being spent on florida gubernatorial and house and senate races....I'm thinking bought is the right word.
dirty deeds done dirt cheap
I wonder...have the Republicans learned the lessons of Hoover?
If the government exerts discipline we get deflation.
If it responds with spending we get inflation.
We can afford neither....too fragile now.
I'm betting we go with the least painful...spend, spend, spend!
Is it possible you are confusing republicans with true conservatives? I see little difference in 'mainstream' republicans and democrats, which means unfortunately not all that much will change.
Absolutely! Even in the unlikely event of their planning to do it they'll be brought back to reality by their overlords the day after the election. Nothing will change. Just watch.
the concern is for the house, the senate is just for bloviators, while in the house those nagging tea party leaning republicans force Boehner to do all sorts of distasteful things. the debt ceiling is still the genie in the bottle. the tp makes populist noises about returning tax dollars to the people and shrinking government and increasingly people are listening. sometimes politics is more about the passion generated by a small number of persons. and Obama has lost a lot of his support.
Never gonna happen.
there is no 'big issue'. they all eat at the same trough. nothing will change, dream on.
Wait, what???? Did someone fall out of bed and hit their head this morning? Or is it bring your retarded kid to work day?
That any U.S. politician at the federal level, specially a senator, would take any action against their masters is so incredible that it borders on comedy.
They will not screw with the Fed. The first one that tries will find a zambony on the runway just for them.
Well, they will makes some noise and do some minor stuff to make it appear they are doing something
More important (but only slightly) - STOP Dear Leader Obama from appointing more leftist, nut-job, Supreme Court justices. When "judges" for life don't care what the law and Constitution say we, as we have been witnessing, are screwed.
The Supreme Court could easily stop the illegal, incredibly burdensome, tax of the Fed inflating people's money away.
and that vote to let corps fund elections...including foreign owned ones. That was a dozzy.
You mean like John Roberts who was the DECIDING vote on ACA ("Obamacare for all the retards") and wrote the near unintelligible decision?
You mean leftist, nut-jobs like him? Or perhaps you mean Anthony Kennedy? Or maybe you mean John Paul Stevens? Or perhaps David Souter? Or maybe even Sandra Day O'Connor?
All fucking idiots, All trashed The Constitution. All put on the court by republicans.
So instead of one elected sociopath ruling by fiat, we accept nine fucking lawyers NOMINATED ny some sociopath to rule by judicial fiat who are fucking employees of the entity from which they are supposed to protect "the peopel".
How's that working for ya?
The Supremes aren't gonna do shit. Never have, never will. And in case you don't believe me just look at the Social Security ruling, income tax rulings, and all the cases they refuse to take. Go back a bit in History and read the separate but equal, Dred Scott, etc. Then pour yourself a drink, curl up and actaully READ Robert;s decision on ACA and tell me you want any of these fucktards doing anything but decorating lamp posts.
Yes, it's been quite a while since I posted last. Sad thing I had to actually go work for a living.
No, I mean like the leftist nut-jobs Sonia Sotomayor and Elena Kagan, appointed by Dear Leader - and confirmed. These two will NEVER side with the U.S. Constitution. Yes, some people want more of it.
You wrote: "The Supremes aren't gonna do shit. Never have, never will."
I disagree. The Supremes have always fucked the people and empowered the politicans, and they will continue to do that as much as possible.
Only Revolution v2 will change anything for the better.
To be fair the CIA/FBI/NSA/Obama had the goods on Roberts....you know, the adopted kid that didn't go through the proper channels or because supposedly he was gay....all that stuff.
Nobody with an understanding of law could indicate that something that was legally presented as a penalty could represent it as a tax.
So the more dollars we print, the more the dollars can buy?
Wow, it's like magic!
I am just shocked they don't suspend taxes and just print the dollars they need to fund the government.
I'm somewhat surprised someone hasn't brought it up as a campaign idea.
Reading this piece by Phoenix Capital in a sort of (stunned?) disbelief... If one has paid ANY attention to what has taken place since the dot.com bubble, one would have realized by now, that we live in 'political economy', hence anything that is done, is done in a manner (Lies, half-truths, obfuscation, etc.), that is Politically Tenable - meaning, to preserve the continuity of the current socio-economic-political dynamic - At ALL $$$Costs... Further meaning, it matters NOT whether one side of the same coin picks up seats, save for establishing or furthering meaningless distractions such as queer marriage, minimum wage, race-baiting, etc. What the political power structure revolves around, WILL BE Preserved - at any/all expense. Including your life if it comes down to it.
"since the dot.com bubble"
The dot.com bubble? I'm afraid not Consuelo: SINCE THE S&L CRISIS !!!