Fed Chair Jerome Powell Has ‘Serious Concerns’ with Facebook Libra Proposal

Post by im_down_w_otp » Wed, Jul 10, 2019, 10:34 PM UTC

tlb wrote: post #35

TheRealPomax wrote: post #6

My main concern about libra is that, by being strongly tied to real currencies, libra issuers (not just facebook, all of them) have effectively assumed the role of unsanctioned mints, with the ability to damage the stability of each currency because libra is not tied to the international exchange system: if you pay facebook, or anyone else, $10 and they convert that into libra, now they have $10 that they will absolu…

Every bank and credit card is also an unsanctioned mint. It works fine. The actual minting of money has not been a major factor in managing the money supply in a long time. It's all done by setting interest rates.

Post by wtfrmyinitials » Wed, Jul 10, 2019, 10:40 PM UTC

JumpCrisscross wrote: post #57

rufusroflpunch wrote: post #39

Of course he does. His job, his entire worldview, is based on technocratic control of the economy. Breaking the government monopoly on currency threatens everything about him.

> Breaking the government monopoly on currency threatens everything about him This is naive. Breaking governments’ holds on currency would be supremely lucrative for bankers. See the American free banking era.

Post by hardlianotion » Wed, Jul 10, 2019, 10:41 PM UTC

bilbo0s wrote: post #23

buboard wrote: post #15

Well he should have. Or maybe it's just for show. Libra can be a great tool to control the rising markets in africa. Perhaps this will end with a compromise that gives Fed control over the network.

I don't know man? There are things happening in Africa right now that make me think FB won't be a major player in Africa in the future. The Africans have been smitten by the Chinese protectionist model. That new free trade agreement they have actually specifically excludes your company from benefiting if you're using goods or services from outside the zone where options exist inside the zone. Don't misunderstand me,…

Post by malandrew » Wed, Jul 10, 2019, 11:13 PM UTC

nonbel wrote: post #96

tyre wrote: post #54

Earlier quoted context omitted.

> The actual minting of money has not been a major factor in managing the money supply in a long time. Very much not true. Quantitative easing, the process of minting money to inject liquidity into the economy, was a core tenet of the Obama administration’s* response to the Great Recession. Literally trillions of dollars created to purchase bonds and mortgage backed securities to prop up the economy. Edit: It was dur…

> "Edit: It was during the Obama administration but implemented by the Fed, which is independent of the White House administration (thank god.)" I was half-listening to Jerome Powell (Fed Chairman) testify before congress today and one congresswoman (CW) asked him (JP) something like: CW: Are there any tools you need that we can give you? JP: No, we have all the tools we need at the moment. CW: Well what about direct…

Post by abecedarius » Wed, Jul 10, 2019, 11:16 PM UTC

TheRealPomax wrote: post #6

My main concern about libra is that, by being strongly tied to real currencies, libra issuers (not just facebook, all of them) have effectively assumed the role of unsanctioned mints, with the ability to damage the stability of each currency because libra is not tied to the international exchange system: if you pay facebook, or anyone else, $10 and they convert that into libra, now they have $10 that they will absolu…