Fed's 'Ponzi scheme'

Is the Fed lending money? Of course! Do hospitals treat sick people? How can honest people, fact seekers, like Merlin Ross (Readers' Forum, July 12) remain so misinformed? The Federal Reserve Banks do not print money; the U.S. Printing Office prints it. The Federal Reserve Bank system buys all the printed and minted money at the cost of the paper, ink and aluminum metal, then loans it back to the U.S. Treasury at face value with interest, along with the trillions of dollars in bookkeeping entry money the Federal Reserve system creates out of nothing.

Since all of our money is created this way, out of nothing, and borrowed by the spenders to put it into circulation, the interest on all this can be paid only with more borrowed money. This is the greatest Ponzi scheme of all time. Who do you think the suckers are?

Byron Gibbs

Salt Lake City