Central Bank

Categories: Banking, Econ, Regulations

Big Brother to Big Brother. The central bank of a nation is the banker to the government, and in the U.S. it is called "The Fed," short for Federal Reserve Bank, and not to be mistaken with the FBI or other government eyes that may be watching you.

As theory breaks from reality once again, the central bank is supposed to act independently of government. Wait, isn't that the definition of psychosis, breaking from reality? Perhaps it is...could it be due to the extreme powers of a central bank?

Overseeing the country's banking system, to prevent fraudulent behavior and bank failures, is just one role. (Think 2008, Lehman Brothers.) The central bank prints currency, and controls the money supply, which affects interest rates and lending in a country.

If that ain't Big Brother, we don't know what is.

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