Ron Paul has written another column advocating the auditing of, and
eventually shutting down, the Federal Reserve system.
Until the United States has the political will to tackle this important
issue, America is in grave danger of “a series of ever-worsening economic
crises” which will wear down the purchasing power of the dollar while further
eroding the standard of living for everyone.
In stark terms, Dr. Paul warns that this country and the world will “soon
experience a major economic crisis” unless they change course on monetary and
economic policy.
via the Ron Paul Institute:
Last week Federal Reserve Chair Janet Yellen hinted that the Federal
Reserve Board will increase interest rates at the board’s December meeting…
However, there are several reasons to doubt that the Fed will increase rates
anytime in the near future.
[…]
The failure of the Fed’s policies of massive money creation,
corporate bailouts, and quantitative easing to produce economic growth is a
sign that the fiat money system’s day of reckoning is near. The only
way to prevent the monetary system’s inevitable crash from causing a major
economic crisis is the restoration of a free-market monetary policy.
One positive step Congress may take this year is passing the Audit the Fed
bill. Fortunately, Senator Rand Paul is using Senate rules to force the
Senate to hold a roll-call vote on Audit the Fed. The vote is expected to
take place in the next two-to-three weeks. If Audit the Fed passes, the
American people can finally learn the full truth about the Fed’s operations.
If it fails, the American people will at least know which senators side with
them and which ones side with the Federal Reserve.
Allowing a secretive central bank to control monetary policy has
resulting in an ever-expanding government, growing income inequality, a
series of ever-worsening economic crises, and a steady erosion of the
dollar’s purchasing power. Unless this system is changed, America, and the
world, will soon experience a major economic crisis. It is time to finally
audit, then end, the Fed.
The decline in the stock market following Friday’s jobs report was
attributed to many investors’ fears over the impact of the predicted interest
rate increase. Wall Street’s jitters about the effects of a rate increase is
another reason to doubt that the Fed will soon increase rates. After all, according
to former Federal Reserve official Andrew Huszar, protecting Wall Street was
the main goal of “quantitative easing,” so why would the Fed now risk a
Christmastime downturn in the stock markets?
With the 2016 election in mind, Paul mentioned the efforts of his own son,
who is a candidate, while also acknowledging the recent statement of
controversial GOP frontrunner Donald Trump – who sounded off on the Federal
Reserve and accused its chairwoman Janet Yellen of holding off on
rate out of political consideration for President Obama – who
doesn’t want a bubble to burst, and subsequent round of
“recession-slash-depression” during his term in office.
Ron Paul agrees, writing:
Donald Trump made headlines last week by accusing Janet Yellen of keeping
interest rates low because she does not want to risk another economic
downturn in President Obama’s last year in office. I have many
disagreements with Mr. Trump, but I do agree with him that the Federal
Reserve’s polices may be influenced by partisan politics.
Janet Yellen would hardly be the first Fed chair to allow politics to
influence decision-making. Almost all Fed chairs have felt pressure
to “adjust” monetary policy to suit the incumbent administration, and almost
all have bowed to the pressure. Economists refer to the Fed’s
propensity to tailor monetary policy to suit the needs of incumbent
presidents as the “political” business cycle.
Presidents of both parties, and all ideologies, have interfered with the
Federal Reserve’s conduct of monetary policy. President Dwight D. Eisenhower
actually threatened to force the Fed chair to resign if he did not give in to
Ike’s demands for easy money, while then-Federal Reserve Chair Arthur Burns
was taped joking about Fed independence with President Richard Nixon.
Without a doubt, a clearer picture of the Federal Reserve decisions and
secret deals would prove the tyranny of monetary control.
The market is vulnerable to any rate increase, as Yellen well knows, while
the future prospects for American jobs is being whittled away.
Ron Paul’s full column can be read here on his Ron Paul Institute website.
Read more:
Trump Accuses Fed of Not Raising Rates Because Obama “Doesn’t
Want a Bubble Burst” Until He Leaves
As Yuan Rivals Dollar, U.S. Launches Ballistic Missiles Over
West Coast: “Lit Up California”
Ron Paul on Syrian Proxy War: U.S. “Now Al-Qaeda’s Air Force”
Obama’s Wars Are a Desperate Attempt to Save the Dollar:
“Global Hegemony Under Attack”
