Saturday, March 31, 2012
End The Fed
Finished Reading: 03.2012
"The Federal Reserve, the central bank of the United States, provides the nation with a safe, flexible and stable monetary and financial system." - www.federalreserve.gov
Not really. Ron Paul would beg to differ, and he does in this heated demand to abolish the federal agency which supervises the nation's money supply and banking industry. Though a topic few politicians are interested in discussing, let alone we the people with cash in hand, Congressman Paul continues to bring this national security issue to light, seeking a serious economic debate as to whether the Fed should stay or go.
Arguing that a central bank is not necessary, and in fact is "dishonest, immoral, and unconstitutional." Paul recommends a more diversified system without a single government backed entity that unwisely interferes with the free market and removes much of the responsibility and risk from the individual investor and redistributes the mistakes to everyone, all the while increasing inflation and devaluing the currency. Frequently descibing their frequent "printing money out of thin air," he advocates a monetary policy based on real commodities (such as gold) rather than the amount of ink that happens to be in the printing press or digital transaction records, which by the way, is money that doesn't ever need to be printed!
The more money the Federal Reserve prints, all of which isn't backed by gold, silver, or anything real, the less each dollar is worth. I could print money on my printer at home, but good luck buying bread with it as the government has not granted "legal tender" status on my pretty printed pictures, even if I did find someone who was willing to accept it. Both pieces of paper are otherwise worth the same.
The Fed doesn't seem to have plans to slow down the devaluation of our currency anytime soon, as the larger the machine gets the more fuel it needs to burn. But Ron Paul hopes to put the brakes on the Fed as a central issue in his bid for the white house in 2012 as it has been throughout his long political career. Unfortunately, rather than advocating change for a policy that doesn't work, most Americans are content to hope it works better tomorrow than it has for the last 99 years.
For more information: Ron Paul 2012