What's Going on with A.I.G. Bailout?

There has been a considerable uproar over the Federal Reserve Banks $85 billion load to A.I.G., in return for a 79.9% equity stake. Some commentators have complained that the Fed had no government authority to conduct this transaction – that Congress or the Treasury or some regulators should have given approval. This simply demonstrates the ignorance of both the American public and the media. The Federal Reserve Bank is NOT a government agency in any form, but instead is a privately-owned consortium of twelve regional banks, each of which is in turned owned by a number of private domestic and foreign banks. No approval is therefore needed.

As for the implications and ramifications of this and other recent Fed activities, please consider the following informative commentaries:

Christopher Laird
http://www.financialsense.com/fsu/editorials/laird/2008/0917.html

Darryl Schoon
http://www.financialsense.com/fsu/editorials/schoon/2008/0917.html

Keep your eyes and mind open.
Michael Childress