Central banking and big governments have long shared in something of a symbiotic relationship. Central banking allows governments to give their subjects the appearance that government is a “good deal.” By running up massive debts to central banks, governments can trick their subjects into thinking that big government is “worth it.”
Modern Americans, for example, are highly taxed. But government appears to provide a large amount of goods and services–beyond what mere taxation would justify.
The magic of central banking! Governments simply run deficits and deflate their currencies.
Now it has come out that the highest officers of the Federal Reserve Bank tend to donate to Democratic, big-government campaigns and not small-government political campaigns.
The Fed Chairwoman has now been forced to go public with a claim that the Fed is “bipartisan”! See here.
