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Robert Auerbach
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Robert Auerbach is Professor of Public Affairs at the Lyndon Baines Johnson School of Public Affairs, The University of Texas at Austin. He was an economist with the House of Representatives Financial Services Committee during the tenure of four Federal Reserve Chairmen: Arthur Burns, William Miller, Paul Volcker, and Alan Greenspan. Auerbach also served as an economist in the U.S. Treasury's Office of Domestic Monetary Affairs during the first year of the Ronald Reagan administration and as a financial economist with the U.S. Federal Reserve System. Auerbach has been a professor of economics at the American University in Washington, D.C. (1976-83), and a professor of economics and finance at the University of California-Riverside (1983-93). He has written numerous articles, and two textbooks in banking and financial markets and "Deception and Abuse at the Fed, Henry B. Gonzalez Battles Alan Greenspan's Bank" (2008). He received two Masters degrees in economics, one from the University of Chicago and one from Roosevelt University, where he studied under Abba Lerner, and a Ph.D. in economics from the University of Chicago, where he studied under Milton Friedman.

Blog Entries by Robert Auerbach

The Bernanke Fed's Printing Press Explosion Now Exceeds Two Trillion Dollars

(6) Comments | Posted April 2, 2013 | 9:38 AM

As of March 20, 2013 the Ben Bernanke Federal Reserve has added $2.101 trillion dollars to the base of the U.S. money supply since September 2008 when the financial crisis erupted. That is a 240 percent increase. The Bernanke Fed, that has sole control over the nation's monetary base (currency,...

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Warren Buffett's Tax Confusion

(1) Comments | Posted December 13, 2012 | 12:15 PM

The optimum allocation of investment choices depends on the future after-tax expected income, adjusting for the risk involved. Warren Buffett disagrees with the importance of taxes and for some investors he is surely correct. He writes:

Suppose that an investor you admire and trust comes to you with...
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Federal Reserve Policy and the Presidents of the United States

(4) Comments | Posted October 24, 2012 | 2:04 PM

Whether you like or dislike Federal Reserve policy, its policy record from World War II to the Bernanke Fed is generally related more to who was President rather than to who was Federal Reserve chairman.

President Harry Truman (1945-53) assigned Federal Reserve Chairman William McChesney Martin Jr. (serving as...

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The Bernanke Fed's Policy of Paying Banks to Limit Loans Creates Unemployment

(4) Comments | Posted September 17, 2012 | 1:59 PM

The Bernanke Fed's policy has contributed to unemployment by rewarding banks for not making loans to consumers and businesses. Eighty-five percent of the Bernanke Fed's printing press expansion since August 2008 is sitting idle in the nation's banks as excess reserves (which is 56 percent of the August 2012 monetary...

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Senator Bernie Sanders Seeks to Reduce Bankers' Prominent Government Role Regulating Themselves

(1) Comments | Posted June 5, 2012 | 5:02 PM

The most powerful government regulator of banks, the Federal Reserve -- the Fed -- provides a prominent role in its bureaucracy for the banks it regulates. Each of the Fed's 12 district Federal Reserve Banks from Boston and New York City to Kansas City and San Francisco has a board...

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A Blatant Cover-up of Corrupt Practices at the Federal Reserve by Its "Independent" Inspector General

(7) Comments | Posted April 18, 2012 | 3:35 PM

"Well, Congressman, these specific allegations you've made I think are absolutely bizarre, and I have absolutely no knowledge of anything remotely like what you just described." That dismissive and ridiculing testimony by Federal Reserve Chairman Ben Bernanke responding to Congressman Ron Paul's questions occurred two years ago. His questions were...

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The Fed's Money Explosion and $76.9 Billion of Its Meaningless "Profit" Transferred to the Treasury

(0) Comments | Posted January 30, 2012 | 4:37 PM

Toward the end of 2008 the Bernanke Fed administered the beginning of a huge money explosion to remedy the financial crisis and to reduce the ensuing massive unemployment. The very large spike in the monetary base -- cash and bank reserves -- pictured at the St. Louis Federal...

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Chairman Bernanke's "Urban Legend" About Deception and Corruption at the Fed

(15) Comments | Posted October 18, 2011 | 3:40 PM

On the same day, October 4, 2011, I testified on Capitol Hill about the terrible record for transparency and corrupt records at the Federal Reserve, its chairman, Ben Bernanke, gave a strong opposing view before the Joint Economic Committee. When Senator Michael Lee (R, Utah) said he was concerned about...

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The U. S. Government's Largest Means-Tested Anti-Poverty Program Has Severe Problems

(1) Comments | Posted September 12, 2011 | 4:35 PM

During these dire times for millions of people, many of whom have been unemployed for long periods, the nation's safety net is mangled and inefficient.

Many people would be surprised to learn that Milton Friedman, the famous conservative and free market scholar, suggested that the most...

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The Bernanke Fed Is in a Deep Hole With a $1.6 Trillion Time Bomb

(8) Comments | Posted August 29, 2011 | 2:40 PM

The Bernanke Fed's policy has created a $1.6 trillion time bomb that has contributed to high unemployment and may explode under the Fed's new policy adopted August 9, 2011. The growth of the time bomb began one month after the Lehman Brothers collapse (September 16, 2008) ignited worldwide...

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Does the Stimulus Stimulate?

(2) Comments | Posted June 21, 2011 | 12:18 PM

On March 2, 2011 Federal Reserve Chairman Ben Bernanke replied to Congressman John Campbell (R-CA) about the timing of a financial crisis from massive government deficits "close to $5 trillion in the next 36 months." Bernanke explained that it was "hard to know about the timing but eventually...

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My Response to the Fed's IG

(0) Comments | Posted May 23, 2011 | 10:16 AM

My response to the Federal Reserve's IG request:

Jina Hwang, Senior Attorney
May 19, 2011
Office of Inspector General
Board of Governors of the Federal Reserve System

Regarding: Your email request sent to me at 4:02 PM Friday, May 13, 2011 for my assistance on what...

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Bernanke's Press Conferences Will Not Remedy the Fed's Corrupt and Deceptive Public Records Policies

(5) Comments | Posted April 25, 2011 | 3:48 PM

Chairman Ben Bernanke's public press conferences are intended to open the nation's central bank, the Federal Reserve, to needed public sunlight. Bernanke may well dodge any questions on Fed policies, the only policies the Fed has authority to alter. He will be eager to talk about fiscal and budget policy...

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The Bernanke Fed Plans to Give Large Banks Billion Dollar Annuities

(16) Comments | Posted March 29, 2011 | 3:29 PM

What I described as "Malpractice at the Bernanke Federal Reserve" has now turned into billion dollar annuities to the stock holders of the large banks. The Bernanke Fed began paying interest on reserves held by the banks in October 2008 when the financial crisis heightened after...

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The Social Security Lock Box Hoax and the National Debt

(41) Comments | Posted March 3, 2011 | 8:13 AM

The huge deficits of the federal government now and in the future have been and will be financed in large part by selling U.S. Treasury securities to the public. The present value of those securities is the national debt. It is useful for understanding the plans to limit the national...

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Has Computer Trading Made the Stock Market a "Crapshoot"?

(7) Comments | Posted February 8, 2011 | 12:05 PM

Jim McTague contends in his forthcoming book, Crapshoot Investing: How Tech-Savvy Traders and Clueless Regulators Turned the Stock Market into a Casino, that the present use and regulation of computerized trading, High Frequency Trading (HFT) have severely harmed investors and the economy. McTague, currently the Washington Editor of...

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Score One Against Racial Discrimination, and the Federal Reserve

(6) Comments | Posted January 18, 2011 | 11:54 AM

Update below.

On January 11, 2011 the United States Court of Appeals for the District of Columbia Circuit ordered that the case [Cynthia Artis, et al., Appellants v. Ben Bernanke of the Board of Governors of the Federal Reserve System, Appellee] be "remanded for further proceedings, in accordance with the...

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The Federal Reserve's $3.3 Trillion Insider Loans Follow a History of Corrupt Practices

(51) Comments | Posted December 8, 2010 | 10:31 PM

When the severe financial panic struck the United States in 2008, it was absolutely essential that the nation's central bank, the Federal Reserve, preserve the nation's payment system. The payment system includes bank accounts, especially those guaranteed by the government such as commercial bank accounts and money market accounts that...

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Ben Bernanke Versus Ben Bernanke: Fed Chair Flip-Flops With QE2

(4) Comments | Posted November 15, 2010 | 12:11 PM

The Bernanke Federal Reserve's recent plans to print more money, QE2 (Quantitative Easing 2), with the intention of stimulating demand to provide full employment without inflation is a policy in dismal company according to Ben Bernanke's own views before he became Fed chairman.

Bernanke and his coauthor,...

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Why the Federal Reserve's Contribution to Unemployment and Price Discrimination Continues

(18) Comments | Posted October 27, 2010 | 5:54 PM

As I described earlier, the Fed began paying banks interest on their reserves one month after the September 2008 financial crisis struck the United States economy and spread throughout the world. The Fed (actually taxpayers) paid the banks more than $2 billion in 2009 at a small, but...

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