The Federal Reserve isn’t a Federal agency and it doesn’t have any reserves.

However because it controls interest rates and the issuance of currency it is the big elephant in the room when it comes to control over our economy. What a lot of people do not know is the Federal Reserve has only been around for 100 years. There was no such thing as the Federal Reserved before 1913 and the way it came to be is shrouded in a lot of mystery.  The Federal Reserve is chartered with maintaining price stability and economic growth but any examination of the data seems to raise questions about how good of a job they’re actually doing.

In this video Ben Swann breaks the issue down from the ground up and is an excellent primer about the Federal Reserve, how it impacts you and me and the controversy that surrounds this extremely powerful institution that many believe do not help the economy but actually hinder real economic growth because now our currency is what is called “Fiat” currency and can be created out of thin air.

screen shot 2013-01-04 at 8.09.14 pm Here’s one graphical piece of information that is very telling. It’s a graph commonly called the golf club curve (for obvious reasons) of the consumer price index over recent history.

Note the dramatic increase since 1913.

Kind of makes you wonder if we shouldn’t go back to the days before the Fed. Back to sound instead of fiat currency.

If you don’t know of or haven’t heard of Ben Swann, he is an Emmy Award winning independent journalist who issues great news reports every day. You can check his site out at http://benswann.com

Other Videos on Project Camelot About the Federal Reserve and the History of Money