VIEW: 19-03: Non-Free Economy

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By Bob McDowell (Born Neil Carson) Number 19-03
NON-FREE ECONOMY Week of 201/01/21
In the week before Christmas it was announced that the
Federal Reserve Board had decided to raise the 'prime' interest rate,
that is the rate charged banks to borrow from the Government, for
the fourth time in 2018. It is my understanding that the Board meets
quarterly to make such decisions which have a beneficial or negative
effect on every financial business done. Supposedly the charge made
to the Board when founded, if memory serves correct during the early
F. D. Roosevelt terms, was to slow down radical and/or too many
changes in the financial activities of the Nation.
Increasingly, it seems that the decisions tend to exercise
restrictions on the improvement of the economy rather than assist
same. The recent increases in the 'Prime Rate' serve to allow
financial institutions more latitude in charging higher interest on loans,
mortgages, etc., to the detriment of individuals wishing, or forced by
circumstances, to borrow money. This negative effect on individuals
is particularly onerous in the interest rates charged by credit card
holders on balances carried over and not paid in full each month,
with some I've seen quoted in mailings from issuers seeking my
business exceeding 20%. Of course those were wasting their
money mailing to me as I am quite happy with the company that
issued cards to me.
It seems that after so many years of Democrat control of
Congress and White House the make up of the FRB members
is consisted primarily of bankers of a more C/F/S philosophy
who love to manipulate the prime to attain their wished goals.
If not put under some control, they could very well return us to
the days of 'misery quotient' that developed during the days of
the PRESJC-39 Administration with ultra high interest rates for
even property mortgages. In my younger days such conditions
were considered to be 'usury' and subject to civil or criminal
prosecution.
Quite frankly, again if memory serves correct, the
establishment of the "National Central Bank" (FRB) was
done in violation of the Constitution and it might be time to
re-consider it's necessity. It was touted as a brake on the
excessive power of the major nationwide banks. In fact, at
one time banks actually issued their own currency. This came
to my knowledge when my late wife, Anne, had a framed bill
issued by a bank in Watertown, Wisconsin that was signed
by her grandfather Solliday as bank president. There have
been one or two of my banker acquaintances in past years
that held seats on the Reserve, in district offices.
In any event, it seems appropriate for a closer look at
the make-up of the Board with an attitude of some control
over their actions, if in fact it is to be kept active. My
understanding is that they are independent of the 'triad'
controls constitutionally set up for the management of the
Federal Government, which would automatically, in my
opinion, render it unconstitutional. It is true that the
President is the one naming Chairmen, but that seems to
only be when there is a vacancy.
Changing the subject slightly, we have just witnessed
'the longest government shut-down in history'. This one
brought about because the Democrat elected leadership
absolutely refuses to even consider funding for a 'border wall',
even though the same individuals voted for even greater
funding during the previous administration but then no
construction was done!! All this flying in the face of a number
of reports that a large majority of citizens are vehemently in
favor of a 'wall', as am I.
END
Composed January 12, 2019
Robert W. McDowell, Jr. 841 Lynwood Lane
918-451-1051 Broken Arrow OK 74011-8608
Email: abdmcfpi@localnet.com