Skip to main content

Ron Paul: How to Fix the Economy

http://www.worldnetdaily.com/index.php?fa=PAGE.view&pageId=89412

Financial fix? Abolish the Fed, says congressman
Paul: Constitution requires coin based on gold, silver

--------------------------------------------------------------------------------
Posted: February 21, 2009
8:35 pm Eastern


By Bob Unruh
© 2009 WorldNetDaily


U.S. Rep. Ron Paul

In just recent weeks, the federal government has designated billions of tax dollars for bank bailouts, including vast quantities to quasi-government agencies that helped create the economic crisis; billions more for automakers, and billions more for homeowners who default on their loans, so where will it end? Republican Rep. Ron Paul of Texas says he has at least part of the answer: abolish the Federal Reserve.

The congressman, a candidate for the 2008 Republican presidential nomination, once again has introduced a bill that would get rid of the private organization that sets interest rates and establishes monetary priorities.

"Abolishing the Federal Reserve will allow Congress to reassert its constitutional authority over monetary policy," Paul said in a statement at the time the proposal was introduced.

"The United States Constitution grants to Congress the authority to coin money and regulate the value of the currency," Paul said. "The Constitution does not give Congress the authority to delegate control over monetary policy to a central bank. Furthermore, the Constitution certainly does not empower the federal government to erode the American standard of living via an inflationary monetary policy."

You've never needed to understand money like you need to understand it now! "Web of Debt: The Shocking Truth About Our Money System and How We Can Break Free" unravels the deception of the Federal Reserve and presents a crystal clear picture of the financial abyss towards which we are heading.

The Texas lawmaker said the constitutional mandate to Congress actually provides only for currency "backed by stable commodities such as silver and gold."

"Abolishing the Federal Reserve and returning to a constitutional system will enable America to return to the type of monetary system envisioned by our nation's founders: one where the value of money is consistent because it is tied to a commodity such as gold," he said.

(Story continues below)






Paul said every problem in the economy, "from the Great Depression, to the stagflation of the '70s, to the current economic crisis caused by the housing bubble," can be traced to Federal Reserve policy.

Paul's opinions on the Fed are available in a video linked here and embedded here:



Paul's plan calls for the director of the Office of Management and Budget to "liquidate" Fed assets "in an orderly manner so as to achieve as expeditious a liquidation as may be practical while maximizing the return to the Treasury."

Columnist and commentator Chuck Baldwin believes it's about time.

"'We've seen money go out the back door of this government unlike any time in the history of our country,' Senator Byron Dorgan, a North Dakota Democrat, said on the Senate floor. 'Nobody knows what went out of the Federal Reserve Board, to whom and for what purpose. How much from the FDIC? How much from TARP? When? Why?'" he wrote.

"Senator Dorgan is exactly right. No one oversees the Fed. The Fed is held accountable to absolutely nobody. But Senator Dorgan (as with everyone else in Congress) has no one to blame but himself. Ever since the Marxist, E. Mandell House, convinced President Woodrow Wilson to create the Federal Reserve in 1913, the Congress of the United States has had virtually nothing to do with the way our fiscal policies are managed. The Fed (which is not even a government agency, but rather a private corporation consisting of mostly foreign bankers) dictates America's financial policies," Baldwin said.

Baldwin cites the U.S. Constitution itself. In Article I, Section 8, Paragraph 5, it states Congress has the authority to "coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures."

"Only the elected Congress, not some private foreign (or even domestic) banking interest, has the power to make monetary policy," he said, and "paper money – known as the Federal Reserve Notes – is not even legal tender."

The problem Paul's plan confronts is simple, he wrote.

"No cosponsors. That's right. No cosponsors," he said.

"Until the American people demand that their elected members of Congress live up to their duties and responsibilities under the Constitution, they will continue to have their pockets picked clean by these corrupt banksters in New York City (and London) and their contemptible facilitators in Washington, D.C.," Baldwin wrote.

Paul's spokeswoman, Rachel Mills, told WND the congressman has strong feelings about the issue.

"The inflationary policies of the Fed are insidious," she told WND. "It's a hidden tax on the poor."

She confirmed the idea has been getting more attention recently, because "people are becoming really curious about the roots of our problems."

Federal Reserve Chairman Ben Bernanke this week said "policymakers" have "pulled out all the stops – cutting the federal funds rate … and establishing a series of lending programs designed to add liquidity into credit constrained markets."

He also committed to more "transparency," by introducing a new website for Fed information and new communications efforts.

Paul was unimpressed.

"While I applaud any effort towards greater Federal Reserve transparency, Chairman Bernanke's latest effort contains more window dressing than substance," he said.

Getting information from the Fed won't help, he said, "as this data is often inaccurate.

"If the Fed could not be trusted to foresee the present economic downturn, despite the myriad of market commentators predicting this, why should the current Fed data and predictions be any more trusted?" Paul asked. "Furthermore, these new initiatives only divert focus from the real areas where transparency is needed. The Fed's agreements with foreign central banks and international finance institutions need to be audited, as do the source and destination of funds provided through the Fed's emergency funding facilities."

At the CitizenEconomists.com site, J.D. Seagraves noted his organization's poll showed a "sarcastic and/or deranged 5 percent of respondents" believe the Fed's performance in the current economy is excellent.

One in four in that poll believe, "We should get rid of them."

"Support for abolishing the Federal Reserve System is mounting every day," the report said. "The fact that people are beginning to wake up to the problems caused by the Federal Reserve System is a hopeful sign. The only question is: is it too late? Can the dollar be saved by the political action of the president and the Congress, or must we wait for the entire global financial system to completely melt down so we can start over?"

Columnist Jacob Hornberger last year noted that while Paul's abolition plan is considered "wacky" by some, at least two Nobel Prize-winning economists have agreed.

Economists Milton Friedman and Friedrich Hayek called for the abolition of the Fed during their careers, Hornberger notes.

"While Friedman spent much of his life advocating externally imposed constraints on the Fed's power to expand the money supply, his first wish was to have the Fed abolished, as he pointed out in a 1995 Reason magazine interview. In his book, 'Denationalization of Money: An Analysis of the Theory and Practice of Concurrent Currencies,' Hayek advocated a free-market monetary system of competing currencies," said Hornberger.

"Most Americans probably still believe that the Great Depression was caused by 'the failure of the free-enterprise system.' It is a false belief. The truth is that the worst economic disaster in American history was caused by the Federal Reserve. Give current Fed Chairman Ben Bernanke credit for publicly acknowledging that fact in a speech delivered in 2002 commemorating Friedman's 90th birthday," Hornberger said.

WND recently reported that under the fiscal policies of the Fed, the total obligations of the United States have reached $65.5 trillion – exceeding the gross domestic product of the world.

Comments

Anonymous said…
Check out this new Catholic band that just released their first album.

From what I heard on the samples site, they sound really good.

Introducing the new Christian National Anthem: Guns & Jesus.


http://ccrg.info/cas.htm

Popular posts from this blog

"Exorcist Fr. Ripperger is asking everyone to say this Prayer until the Election is Resolved"

A good friend of the Catholic Monitor got this from a group message. She said "exorcist Fr. Chad Ripperger is asking everyone to say this prayer until the election is resolved": Prayer of Command In His Name and by the power of His Cross and Blood, I ask Jesus to bind any evil spirits, forces and powers of the earth, air, fire, or water, of the netherworld and the satanic forces of nature.  By the power of the Holy Spirit and by His authority, I ask Jesus Christ to break any curses, hexes, or spells and send them back to where they came from, if it be His Holy Will.  I beseech Thee Lord Jesus to protect us by pouring Thy Precious Blood on us (my family, etc.), which Thou hast shed for us and I ask Thee to command that any departing spirits leave quietly, without disturbance, and go straight to Thy Cross to dispose of as Thou sees fit.  I ask Thee to bind any demonic interaction, interplay, or communications.  I place N. (Person, place or thing) under the protectio

High-profile Lawyer Barnes: Amy Coney Barrett would be a Disaster

High-profile trial lawyer Robert Barnes who deals in civil, criminal and constitutional law reported on Twitter that Amy Coney Barrett would be a disaster. The Barnes Twitter report shows that Coney Barrett has " sid[ed] with the government on the lockdowns, on uncompensated takings, on excusing First Amendment infringements & Fourth Amendment violations... [and] exclaimed the benefits of Jacobson, the decision that green-lit forced vaccines & carved out an emergency exception to Constitutional protection in "public health" or "emergency" cases used to justify forced sterilizations & detention camps... [and] hid behind precedent... to prohibit pro-life activists from exercising their free speech ." The Avvo.com lawyer directory reports that attorney "Robert Barnes embraces the challenge to defend the little guy and stand up for what is right. This is why he left the prestigious Yale Law School, whom publicly stated their unwill

If Kamala Harris' Father is part White & part Jamaican African and her Mother is Asian-Indian then is she really Black?

  Is Joe Biden's running mate really Black? If Kamala Harris' father is part white and part Jamaican African and her mother is Asian-Indian then is she really Black? Reason.com tries to figure it out: Kamala Harris, Joe Biden's pick to be the Democratic Party's vice-presidential nominee, is the daughter of an Indian immigrant mother and a Jamaican immigrant father. Her father, as I understand it, has ancestors of both European and African origin. [Welcome new Volokh readers. FYI, I've been working on a book on the American Law of Race, with this forthcoming article the first relevant output. My own opinion is that Ms. Harris should be deemed American, period, but there is no such box on government forms, and if you decline to state your race, someone will decide for you… First things first. There is no multiracial or mixed-race category in American law in any jurisdiction. Nor is there an Indian category. So Harris cannot be legally Indian, nor can she b