Did the Fed create the effect of the bailout bill even when it was voted down? What exactly will events be ?

I can NOT believe Jsmack's answer. A Central Bank is necessary? Since when? The Treasury was empowered to do everything necessary and is answerable to the Congress (as I recall - need to double check). Excellent quote by Jackson. Andy "By God" Jackson! ...

In a sense yes they did. That the Federal Reserve can appropriate hundreds of millions of dollars without Congressional approval is exactly why the Fed must be abolished or reformed. By "lending" this money to banks on the verge of collapse is akin to the bailing "giving" the banksters the money by buying their toxic assets at full market value. When the Federal Reserve creates money out of thin air, the taxpayers pay interest on the money and pay the hidden tax known as inflation caused by expansion of the money supply. That this expansion of the money supply is done by a private entity, to the tune of $100s of billions, without Congressional approval is absolutely insane. The financial system will continue its crumble with or without the bailouts. The banksters and the power elite will use their wealth and influence to attempt to manipulate the system to "prove" that the bailouts were necessary. WE CANNOT GIVE IN TO BLACKMAILERS AND EXTORTIONISTS!!!!! They can only manipulate the markets for so long before they commit financial suicide themselves, so we must be prepared to ride it out. The crash is not just the result of bankers fraud and unethical practices. It is the result of 90 years of a fiat money (paper money created out of thin air, not backed by anything other than a promise to pay). The use of fiat money and the Federal Reserve system were designed by the power elite to protect their own interests. Its designers knew that in time, eventually it would cave in on itself and all of the property, including the real property, would return to the hands of the banksters. That is happening now. It is amazing that it took 90 years for the bottom to fall out. REMEMBER. The media and pro-bailout government propaganda "...see, we need the bill! ..." was predictable. The media is owned and controlled by the power-elite. The power elite wants those bailouts! Their controlled media will exercise its best efforts to feed their viewers and readers with whatever propaganda is required to induce public acceptance for the bailouts. I already saw a good example of it today, immediately after the vote. See this question of mine today: http://answers.yahoo.com/question?qid=20080929130703AAUuu4l As you say DAR, "NO BAILOUT, NO WAY, NO HOW". Keep the pressure on the representatives. Call them and email them EVERY DAY. Contact them tomorrow with your opposition to what the Federal Reserve did today, and demand they support HR 2755 (Ron Pauls' Fed reform bill). We are standing at a turning point in history. Today was a small victory for democracy, but we have a very long way to go. The people must choose now to take the government back from the elite interests that have hijacked it, OR they choose to roll over and become financially enslaved to the power elite forever. We take the government back by doing what was done during the past week. Millions of people keep the pressure on the politicians. Make them understand they will unemployed unless the follow the wishes of the people. DAR, please add details to add that Capital Hill switchboard number, and the links to contact Represenatives and Senators by email and phone. I don't have them handy or I would post them myself.

Chuck Junior, when your businesses fail, you won't even understand why... unless YOU educate yourself about the big picture. I don't care how successful you perceive yourself to be. Hubris is a dangerous vice. Start by learning how central banks work... and their history... Then find out how fractional reserve lending works... And learn the difference between the Keynesian and Austrian schools... ...and then you will be qualified to discuss economics with the big boys.

Well at least you understand the federal reserve is a British banking company set up to destroy American sovereignty bit like that other treason gang the CFR. Tho as they own the media and people have tube brains not many know the facts a delusional reality seems better to most than an ugly truth

The bailout is necessary. While the companies deserve to get punished, if they go belly up the economy is screwed, as can be seen by the results on wall street. Ron Paul is not an economist, and dissolving the Fed is just dumb. We need a central bank, without one we are screwed. A central bank without oversight is good because then it is independent of political machinations. Also, you cannot make something more accountable when it is abolished.

The "effect" will be that sometime later in the week those that actually understand world economics will save the average person. Ron Paul isn't an economist, nor is he good at playing one even after staying at a Holiday Inn Express. This first package was a pig. The revised version should be better. To Admin. My businesses are making money even in this economy. They are recession proof. How are you RP supporters doing? Making money, or running scared? Don't try to preach to me. You aren't qualified. I can buy and sell you and your soul many times over. LOL at "Hubris". You are the poster child for the word. I'll keep making money. You'll keep following your cult God. Good luck with that one Sparky. LOL