Getting to Know Ron Paul #7: End The FED

This article is dedicated to Dr. Ron Paul’s stance on ending the Federal Reserve .  More info can be found at  RonPaul2012.com  This is #7 in a series that I am posting on here titled “Getting to Know Ron Paul”.

THE FED: DISHONEST, IMMORAL, UNCONSTITUTIONAL

There is no greater threat to the security and prosperity of the United States today than the out-of-control, secretive Federal Reserve.

Imagine that parents, overwhelmed by debt and months behind on their bills, sent their spendthrift teenagers out each weekend for a night on the town with credit cards and blank checks.  Would anyone be surprised if this family never got their finances under control?

Yet that is how a government which is almost 15 trillion dollars in the red behaves by entrusting taxpayers’ financial futures to the Federal Reserve, which pumps money into the economy whenever it chooses and makes secret deals with Wall Street executives, foreign central banks, and other politically-connected insiders without any significant oversight from Congress.

Snuck through Congress on Christmas Eve in 1913, the Federal Reserve Act established the Fed as America’s central bank.  The Fed essentially creates money out of thin air, manipulates interest rates, and interferes with the free market.  By doing so, the Fed fuels our economy’s boom-bust cycle and has helped devalue our dollar by over 95%.

According to the Minneapolis Federal Reserve branch’s own website, what you could buy with $1.00 in 1913 would now cost you $22.55.

Although Congress and the Treasury helped bring about the housing bubble and financial collapse with legislation, regulations, and keeping the funds flowing to reckless institutions like Fannie Mae and Freddie Mac, the Fed was the main cause of the crisis.  Its interference in setting interest rates distorted the market, and its status as the “lender of last resort” ensured banks could hook individuals and businesses for loans on projects that weren’t in as high demand as forecasters believed.

When the crash occurred, common sense dictated a change in policy.  But the Federal Reserve only increased its lending and intervention to historic highs.

While selling Americans a bill of goods that the economy would never recover without unprecedented bailouts, we now know that at the peak of its “emergency lending,” the Fed was providing nearly 90% of its discount window loans to foreign banks!  This included making over 70 loans to a bank partially owned by the Bank of Libya.

The Fed was able to get away with these actions because Congress lacks the authority to thoroughly and completely audit it.  In fact, Federal Reserve Chairman Ben Bernanke appeared before Congress early in the crisis and was able to refuse a direct request to disclose which institutions were receiving trillions of taxpayer dollars from the Fed.

IN THE SHADOWS

It was only thanks to overwhelming grassroots support for Ron Paul’s Audit the Fed legislation that we have been granted limited insight into the Fed’s operations.  If it hadn’t been for last minute efforts to water down his bill, we would have learned even more about the Fed’s actions before and during the crisis.

TIME FOR SOUND MONEY

As President, Ron Paul will work for passage of comprehensive audit legislation, and he will also fight to legalize sound money so Americans will have alternatives to the Fed’s inflated paper money.

Ultimately, he will lead the charge to end the dishonest, immoral, and unconstitutional Federal Reserve System, enabling America to take a giant step toward economic security, financial responsibility, and lasting prosperity.


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2 Responses to Getting to Know Ron Paul #7: End The FED

  1. mafh12609 says:

    My Dad, may he rest in peace, has always said that America was setting itself up for failure and that no one but the American people had themselves to blame for allowing it to happen. He stated that as a child, born in 1931, he could buy bread, milk, eggs, flour, sugar, and many other essentials for the family dinner, with a five dollar bill and come home with change. He was appalled when gasoline hit $1.50/gal, and honestly considered a horse and buggy when it hit $2.00/gal before he passed away. He believed in sound money and always encouraged us to hold on to any gold or silver that came into our possession, and to convert cash to gold and silver whenever possible.

    My Dad is probably rolling over in his grave knowing that Obama is running this country, and that he was elected due to harpO and his “African American” platform. He wasn’t the fondest of the Bush’s due to some shady practices, but he would have been absolutely against this. However, I do have to give Obama credit; he promised “change,” and that is all that many are left with after they pay bills every month, and those are the lucky ones.

    • straydog01 says:

      I agree that we are the ones to blame…we continue to elect the corrupt individuals that put us in this position. We don’t care to educate ourselves on the real issues at hand and we are too lazy to take action. It sounds like your dad was a smart man to educate you about sound money. So many people have absolutely NO clue what that is or what it means. I just try to educate as many people as I can about the situation at hand and urge people to take SOME steps in preparation for a harsher tomorrow. I don’t think people understand just how close we are or how little it would take to be back in a ‘Great Depression’ scenario. I hope it doesn’t come to that, but that is what I am preparing for. Take care and keep spreading TRUTH!

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