He is speaking about all the bad decisions that everyone made, based on the Fed driving interest rates down to low
This was one of the reasons for the housing bubble, along with the liberal stupidity of defending the GSE's which allowed people to manipulate lending requirements and offer loans to people that couldnt pay them back
This was one of the reasons for the housing bubble, along with the liberal stupidity of defending the GSE's which allowed people to manipulate lending requirements and offer loans to people that couldnt pay them back
A BETTER PLAN - Statement of Congressman Ron Paul**
Posted February 8th, 2009 by truth supporter United States House of Representatives
Statement on Federal Reserve Board Abolition Act
February 3, 2009
Madame Speaker, I rise to introduce legislation to restore financial stability to America's economy by abolishing the Federal Reserve. Since the creation of the Federal Reserve, middle and working-class Americans have been victimized by a boom-and-bust monetary policy. In addition, most Americans have suffered a steadily eroding purchasing power because of the Federal Reserve's inflationary policies. This represents a real, if hidden, tax imposed on the American people.
From the Great Depression, to the stagflation of the seventies, to the current economic crisis caused by
the housing bubble, every economic downturn suffered by this country over the past century can be traced to Federal Reserve policy. The Fed has followed a consistent policy of flooding the economy with easy money, leading to a misallocation of resources and an artificial "boom" followed by a recession or depression when the Fed-created bubble bursts.
With a stable currency, American exporters will no longer be held hostage to an erratic monetary policy. Stabilizing the currency will also give Americans new incentives to save as they will no longer have to fear inflation eroding their savings. Those members concerned about increasing America's exports or the low rate of savings should be enthusiastic supporters of this legislation.
Though the Federal Reserve policy harms the average American, it benefits those in a position to take advantage of the cycles in monetary policy. The main beneficiaries are those who receive access to artificially inflated money and/or credit before the inflationary effects of the policy impact the entire economy. Federal Reserve policies also benefit big spending politicians who use the inflated currency created by the Fed to hide the true costs of the welfare-warfare state. It is time for Congress to put the interests of the American people ahead of special interests and their own appetite for big government.
Abolishing the Federal Reserve will allow Congress to reassert its constitutional authority over monetary policy. The United States Constitution grants to Congress the authority to coin money and regulate the value of the currency. 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.
In fact, Congress' constitutional mandate regarding monetary policy should only permit currency backed by stable commodities such as silver and gold to be used as legal tender. Therefore, 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. Such a monetary system is the basis of a true freemarket economy.
In conclusion, Mr. Speaker, I urge my colleagues to stand up for working Americans by putting an end to the manipulation of the money supply which erodes Americans' standard of living, enlarges big government, and enriches well-connected elites, by cosponsoring my legislation to abolish the Federal Reserve.
http://www.house.gov/apps...
Posted February 8th, 2009 by truth supporter United States House of Representatives
Statement on Federal Reserve Board Abolition Act
February 3, 2009
Madame Speaker, I rise to introduce legislation to restore financial stability to America's economy by abolishing the Federal Reserve. Since the creation of the Federal Reserve, middle and working-class Americans have been victimized by a boom-and-bust monetary policy. In addition, most Americans have suffered a steadily eroding purchasing power because of the Federal Reserve's inflationary policies. This represents a real, if hidden, tax imposed on the American people.
From the Great Depression, to the stagflation of the seventies, to the current economic crisis caused by
the housing bubble, every economic downturn suffered by this country over the past century can be traced to Federal Reserve policy. The Fed has followed a consistent policy of flooding the economy with easy money, leading to a misallocation of resources and an artificial "boom" followed by a recession or depression when the Fed-created bubble bursts.
With a stable currency, American exporters will no longer be held hostage to an erratic monetary policy. Stabilizing the currency will also give Americans new incentives to save as they will no longer have to fear inflation eroding their savings. Those members concerned about increasing America's exports or the low rate of savings should be enthusiastic supporters of this legislation.
Though the Federal Reserve policy harms the average American, it benefits those in a position to take advantage of the cycles in monetary policy. The main beneficiaries are those who receive access to artificially inflated money and/or credit before the inflationary effects of the policy impact the entire economy. Federal Reserve policies also benefit big spending politicians who use the inflated currency created by the Fed to hide the true costs of the welfare-warfare state. It is time for Congress to put the interests of the American people ahead of special interests and their own appetite for big government.
Abolishing the Federal Reserve will allow Congress to reassert its constitutional authority over monetary policy. The United States Constitution grants to Congress the authority to coin money and regulate the value of the currency. 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.
In fact, Congress' constitutional mandate regarding monetary policy should only permit currency backed by stable commodities such as silver and gold to be used as legal tender. Therefore, 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. Such a monetary system is the basis of a true freemarket economy.
In conclusion, Mr. Speaker, I urge my colleagues to stand up for working Americans by putting an end to the manipulation of the money supply which erodes Americans' standard of living, enlarges big government, and enriches well-connected elites, by cosponsoring my legislation to abolish the Federal Reserve.
http://www.house.gov/apps...
Ron Paul Questions Bernanke 2/10/09
Posted February 10th, 2009 by xntryk1
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http://www.youtube.com/wa...
View Dr. Paul's opening statement and comment here:
<EMBED src=http://www.youtube.com/v/XS6Y8lxig30&hl=en&fs=1 width=425 height=344 type=application/x-shockwave-flash allowscriptaccess="always" allowfullscreen="true">
Posted February 10th, 2009 by xntryk1
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http://www.youtube.com/wa...
View Dr. Paul's opening statement and comment here:
<EMBED src=http://www.youtube.com/v/XS6Y8lxig30&hl=en&fs=1 width=425 height=344 type=application/x-shockwave-flash allowscriptaccess="always" allowfullscreen="true">
The Judge, Ron Paul, Peter Schiff, Cody Willard
<HR style="COLOR: #d1d1e1" SIZE=1><!-- / icon and title --><!-- message --><!-- message -->Great program, everyone can learn from this discussion
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Part 4: http://www.youtube.com/watch?v=w-oaVbgzBU0
Part 5: http://www.youtube.com/watch?v=wmKQ4-COtwI
Part 6: http://www.youtube.com/watch?v=tE3w7jzBQvg
<HR style="COLOR: #d1d1e1" SIZE=1><!-- / icon and title --><!-- message --><!-- message -->Great program, everyone can learn from this discussion
<EMBED src=http://www.youtube.com/v/Pw7U8JS1a4A&hl=en&fs=1 width=480 height=295 type=application/x-shockwave-flash allowfullscreen="true" allowscriptaccess="always"></EMBED>
<EMBED src=http://www.youtube.com/v/9h0s2TR3QGM&hl=en&fs=1 width=480 height=295 type=application/x-shockwave-flash allowfullscreen="true" allowscriptaccess="always"></EMBED>
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Part 4: http://www.youtube.com/watch?v=w-oaVbgzBU0
Part 5: http://www.youtube.com/watch?v=wmKQ4-COtwI
Part 6: http://www.youtube.com/watch?v=tE3w7jzBQvg
