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I am always dismayed when the moderator of a program describes the Federal Reserve as being part of the government.

The Federal Reserve is no more "Federal" than is Federal Express. And it has no "reserves".

It is a privately owned entity that makes a profit on every additional dollar it issues, like the trillions used for recent bail-outs.

It does this by "buying" Treasury bills with the "money" that it creates out of thin air, and these Treasury bills pay interest back to it.

I urge you, Mr. Lehrer, to read the book, "The Creature from Jekyll Island" by G. Edward Griffin, for a clear expose of the origin and nature of the Fed. While I take exception to some of Mr. Griffin's politics, his analysis is excellent.

Saying, for example, that because the government has taken a stake in stocks of a failing bank / car manufacturer means that "we now own those companies" ignores that no stock holder owns more than some proportionate share of rights to potential dividends and never excercises day to day operational control. Stock is a securitized and limited interest --one among other interests in a corporated operation-- and not actual ownership in the commonsense meaning. Why isn't this kind of clarity the focus of public discourse instead of stirring up public misunderstandings by trafficing in oversimplified cliches? We need a journalistic standard of accuracy that is sharper. Ciao, T

This discussion demonstrates that there is no genuinely ready answer to the queston how shall the allocation of commercial resources be fostered and restricted. We have a commercial society, which means that matters of investment, promise-enforcement, and returns / rewards distribution are not a moral question, not a matter of social justice. Our critical terminology should not digress into silly moralizing. To impose moral judgement or social justice requirements is to ignore the imperatives of a "free economy" (i.e., not a governmentally command economy). Risk of profit and risk of loss in a free economy fall upon the investing individual / organization, and may or may not be made more secure or more attractive by some degree of rule-imposed regulation. Regulation is the imposition of penalties upon certain kinds of conduct. The regulation is NOT a matter of morals or of social justice, but rather of systematically encouraging investment, which our society regards as optimally beneficial.

To me the financial crisis is the result of a delusional phenomenon.
Is it America ready for a cultural shift? Do we really believe that we are all “created equal” and that one unit does not perform or contribute significantly better than another to the overall society?
Our society allows for some the illusion that they are above the law, criticism, the need for change and community.

Hi
With all due respect to the accomplishment of this guest: With our "vote" we created a government which enabled the ceos on Wall street to take the chances in business which ruined our economony. They business people are only accountable to the politicians who enforce the rule of law.

Thank you

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And this isn't racketeering and mafia-like!!?

Wait, wait, wait. Is this guy trying to say that spending billions (BILLIONS!) on a war based on lies, tax cuts that were unnecessary, the spending of a surplus has no effect on Obama's administration? HA!

It sure makes my skin crawl!

Gee it's good to hear someone who feels the same way I do AND be professional. Maybe I'm not crazy. This guy has hit the nail directly on the head. Of course, it's possible we're both crazy!!