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Accounting Tweak Could Save Fed From Losses

My brother is studying to be an accountant. He showed me this article. What this means is that the Fed can take their losses and shift them over to the negative "liabilities" column, which means their losses are now "assets". Their losses have now become money that is owed by the Treasury to the Fed. In other words, the American taxpayer is left holding the bag. They did this sneaky little "tweak" without any notification, or approval from our government.

From the article:

"The change essentially allows the Fed to denote losses by the various regional reserve banks that make up the Fed system as a liability to the Treasury rather than a hit to its capital. It would then simply direct future profits from Fed operations toward that liability."

Full article:
http://www.cnbc.com/id/41198789/

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how does the fed even have losses?

how can an outfit that prints money and is owed it back with interest even capable of losing any money?

How can we come together?

I am a member C4L and I like the unity that we have. How can we spread this? How can you and I become friends? How can you and I help each other to help others?

One thing that I don't like about discussion boards is the attacks made on individuals because the have differing viewpoints.

When I signed up on Liberty Tree I was a Ron Paul supporter who had very leftest leanings. I paid a price. I also have been educated and do not believe the same way. So, given my experience I am more tolerant than I was before. Do you think we can become more tolerant of others so that we can help people?

"I support the Declaration of Independence and I interpret the Constitution."

Michael Nystrom's picture

What a beautiful question

Do you think we can become more tolerant of others so that we can help people?

Yes, I think we can. Over the 4 years of running this site, I have become much more tolerant of people. What I have come to realize is that behind every screen name is an individual, somewhere in the world. And every individual is fundamentally similar to me. I had a professor in college who used to say that people are 99% similar. The 1% that is different is culture. But everyone wants love.

I wrote out postcards to every donor in my most recent money bomb. Close to 200. To all over the country, and the world. Mexico, Canada, the Czech Republic, Poland, Ireland, France...

Doing that writing every day, seeing these addresses of far flung lands, imagining the brief spark of joy on the recipients' end when they open their mail (after all, who gets anything personal in the mail anymore?) put me in touch emotionally with the members of this site. It is incredibly touching to me that this site means enough to people that they actually send money.

I'm sorry you had a bad experience on the Liberty Tree - what is that? I know people here can be mean also, though I do make a conscious effort to weed them out.

I think that part of the problem about a message board is that it is free. There are no costs to people to join, and say whatever they like. This is a problem.

So yes, we can be more tolerant of others, but there are also limits.

All art is only done by the individual. The individual is all you ever have, and all schools only serve to classify their members as failures. E.H.

You do an exceptional job of

keeping DP a place of excitement, information and passion... and yet you manage to discern where passion has spilled over into anger, insult and disrespect. THANKS for this marvelous forum.

Thomas Jefferson: “Indeed, I tremble for my country when I reflect that God is just, that His justice cannot sleep forever."

Viva La Revolucion!
http://www.youtube.com/watch?v=FmaTNf4YhEs

Mike..your site is exemplary...

...and that is why we need to practice tolerance. The message Dr.Paul delivers is about freedom and liberty. We should be the shinning examples of how we can respect each others freedoms and liberties.

"I support the Declaration of Independence and I interpret the Constitution."

"Truth is treason in the

"Truth is treason in the empire of lies." -Ron Paul

Lord, our country has been

totally co-opted by the banksters and traitors in government. All is lost. It is time for a serious debate on whether or not a peaceful revolution is going to get our country back. We don't have much time to play footsie.
Again, I am not condoning open violent rebellion but, seriously...nobody cares what the people want so, how much longer can we throw "words" at the problem?

"Necessity is the plea for every infringement of human freedom. It is argument of tyrants. It is the creed of slaves." William Pitt in the House of Commons November 18, 1783
"I have one word for you...predator drones. Oh, you think I'm kidding?" Obombya

I have given some thought to your comment...

...and I agree with you. But, we don't even protest in America anymore. People are too divided. Even Libertarians can't agree on much and argue. So, until we can come together and be unified, I don't think there is much hope. I also don't think that living in a bunker awaiting the Feds with a MG42 is the answer, either.

"I support the Declaration of Independence and I interpret the Constitution."

Michael Nystrom's picture

What does one do when winter approaches?

The seasons follow one another: Spring, summer, fall. After summer comes the fall. There is no way to avoid it, or skip it, and after fall comes the winter.

I'm thinking more and more that the predicament we find ourselves in is simply a cyclical function of human social evolution. Look back in history and it always goes down the same way. No society / civilization lasts forever. Right now, we're in the midst of fall, and winter is coming.

Here is a very good read, if you're interested.

The Onset of Catabolic Collapse

Ron Paul is and has been ringing the warning bell, but even a close listen to his words reveal that he has little hope of anything changing. He's just doing what he thinks is the right thing to do.

Faced with all of this information, the question is what to do about it. As individuals, we still have the power to choose our response, to choose our outlook and to choose our actions. And while we can choose our actions, we have no control over the consequences of those actions.

That's the paradox. But it leads back to the same thing: After thinking things over, always do what you think is the right thing to do.

All art is only done by the individual. The individual is all you ever have, and all schools only serve to classify their members as failures. E.H.

Ron hopes that he can change the future.

He is not trying to prevent the winter.

He wants the spring to sprout new, freer ideas.

He is planting seeds.

And if you know anything about gardening ...

The fall is the best time for planting.

He started planting in the summer and that was too early ... those seeds did not take.

But he must have done some research, because I think Ron Paul has developed a serious case of the "green thumb".

Very well said

All we can do is keep plugging along in the right direction,At least we are going the right direction.What will become of it? Maybe just destiny without control.But we tried.

The unfortunate thing that is prevalent in history would be the fact that not one civilization ended peacefully.

If I disappear from a discussion please forgive me. My 24-7 business requires me to split mid-sentence to serve them. I am not ducking out, I will be back later to catch up.

Yep. Mike's right,.

However, with Leiberman, Dodd and many other traitors voluntarily leaving the senate, I have a hunch that they know the gig is up and don't want to be around for the fallout.I've got a bad feeling about what is about to engulf us. I think our "winter" is upon us and it will fall on us with relentless pain and surprise. Worse...this is going to be a global event. There won't be a place to hide from collapse but, I suppose where you live in a better "survival" area will be helpful. We have all posted about survival on the DP for a few years now and I guess most have made some sort of preparations, meager or otherwise. What is going to fill the vacuum after the collapse is going to be interesting. I hope those that have foisted this mess on our people are tracked down and punished for their selfish, treasonous behavior.

"Necessity is the plea for every infringement of human freedom. It is argument of tyrants. It is the creed of slaves." William Pitt in the House of Commons November 18, 1783
"I have one word for you...predator drones. Oh, you think I'm kidding?" Obombya

This...^^^^

I wonder if Ron Paul realizes it is hopeless. One thing I really like about Rand verses his dad is this: do you notice how Ron is always smiling at the beginning of an interview? He is not being phony, he is very sincere. Watch Rand at the beginning of an interview; he never smiles. I like this. Rand ain't messing around. I think Rand is going to surprise us all.

"I support the Declaration of Independence and I interpret the Constitution."

I think Rand (and certainly Ron)

know what's up but, are trying to give that last great fight in the hopes of turning the mess around...We can hope.

"Necessity is the plea for every infringement of human freedom. It is argument of tyrants. It is the creed of slaves." William Pitt in the House of Commons November 18, 1783
"I have one word for you...predator drones. Oh, you think I'm kidding?" Obombya

I think deep down we all know

I think deep down we all know,Yet we also know that a sustained effort needs to be put forth.I guess it's kind of like a dead end job,You know it will end soon yet you will not let it be said that you did not make an effort to do your job right.

If I disappear from a discussion please forgive me. My 24-7 business requires me to split mid-sentence to serve them. I am not ducking out, I will be back later to catch up.

MG42?

Where did you get that?

If I disappear from a discussion please forgive me. My 24-7 business requires me to split mid-sentence to serve them. I am not ducking out, I will be back later to catch up.

LOL

I watch the History Channel. The MG42 is the greatest machine gun ever made.

"I support the Declaration of Independence and I interpret the Constitution."

LOL! ,I just wondered

I just wondered which hat you pulled that one out of,LOL.You can still buy ammo for one.

If I disappear from a discussion please forgive me. My 24-7 business requires me to split mid-sentence to serve them. I am not ducking out, I will be back later to catch up.