Ron Paul: Legislation on the Fed

[Zoom-boing]

Unless I missed it, the MSM didn't touch this. Gee, I wonder why?


Statement of Congressman Ron Paul
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.

Paul (TX14) - Speech and Statement - Statement on Federal Reserve Board Abolition Act

 

[Kevin_Kennedy]

I posted this a while back, hopefully the 111th does something about it. But I won't hold my breath.

H.R. 833: To abolish the Board of Governors of the Federal Reserve System and the Federal reserve banks, to... (GovTrack.us)

 

[sealybobo]

Unless I missed it, the MSM didn't touch this. Gee, I wonder why?


Statement of Congressman Ron Paul
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.

Paul (TX14) - Speech and Statement - Statement on Federal Reserve Board Abolition Act

I love it!

But don't expect the government to listen to him when he only got 1% of the vote.

Look what Woodrow Wilson said about his participation in starting the Fed:

"I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated Governments in the civilized world no longer a Government by free opinion, no longer a Government by conviction and the vote of the majority, but a Government by the opinion and duress of a small group of dominant men." -Woodrow Wilson, after signing the Federal Reserve into existence

 

[wimpy77]

like its going to go anywhere. he needs to go back to his planet.

 

[Killuminati]

like its going to go anywhere. He needs to go back to his planet.

stfu

 

[DiveCon]

come on people, Ron Paul has no shot in hell of getting anything passed into law
name something other than the renaming of some government building that he has successfully got signed into law in his career

 

[007]

come on people, Ron Paul has no shot in hell of getting anything passed into law
name something other than the renaming of some government building that he has successfully got signed into law in his career

And it's a crying shame he doesn't. Maybe if dumb asses quite electing buffoons like hussein and RINO's like mclame, we'd actually get someone that knew how to fix this country the RIGHT way. But no... people are too damn stupid.

I like Ron Paul. I think he's a smart man. He had a huge lead on hussein and mclame in Nevada in the primaries.

 

[DiveCon]

come on people, Ron Paul has no shot in hell of getting anything passed into law
name something other than the renaming of some government building that he has successfully got signed into law in his career

And it's a crying shame he doesn't. Maybe if dumb asses quite electing buffoons like hussein and RINO's like mclame, we'd actually get someone that knew how to fix this country the RIGHT way. But no... people are too damn stupid.

I like Ron Paul. I think he's a smart man. He had a huge lead on hussein and mclame in Nevada in the primaries.

but Romney trashed them both
14% and 2nd place is nothing when the winner got over 50%

 

[007]

come on people, Ron Paul has no shot in hell of getting anything passed into law
name something other than the renaming of some government building that he has successfully got signed into law in his career

And it's a crying shame he doesn't. Maybe if dumb asses quite electing buffoons like hussein and RINO's like mclame, we'd actually get someone that knew how to fix this country the RIGHT way. But no... people are too damn stupid.

I like Ron Paul. I think he's a smart man. He had a huge lead on hussein and mclame in Nevada in the primaries.

but Romney trashed them both
14% and 2nd place is nothing when the winner got over 50%

Not in Nevada he didn't. Ron Paul won the "primaries" in Nevada. I know. I was there, and I voted for him.

 

[DiveCon]

And it's a crying shame he doesn't. Maybe if dumb asses quite electing buffoons like hussein and RINO's like mclame, we'd actually get someone that knew how to fix this country the RIGHT way. But no... people are too damn stupid.

I like Ron Paul. I think he's a smart man. He had a huge lead on hussein and mclame in Nevada in the primaries.

but Romney trashed them both
14% and 2nd place is nothing when the winner got over 50%

Not in Nevada he didn't. Ron Paul won the "primaries" in Nevada. I know. I was there, and I voted for him.

no he didnt
Romney won in NV with over 50%

 

[DiveCon]

Election Center 2008: Primary Results - Elections & Politics news from CNN.com

 

[midcan5]

If we lived in a perfect world in which honesty and integrity mattered to all people, sure Ron Paul may have a point. But life and people are what they are and to fantasize that organizations alone create crises is about as naive as one can get.

"Before the Federal Reserve opened its twelve regional banks and began monitoring banking in November 1914, America's banks functioned in widely divergent ways. These varied banking practices had driven the nation to four major financial crises in less than forty years."

Today in History: December 23

"Under capitalism, man exploits man. Under communism, it's just the opposite." John Kenneth Galbraith

 

[Paulie]

"Before the Federal Reserve opened its twelve regional banks and began monitoring banking in November 1914, America's banks functioned in widely divergent ways. These varied banking practices had driven the nation to four major financial crises in less than forty years."

What's your point?

There's been at least 4 in just the past 30. The 70's/80's recession, the S&L crisis, the dot-com recession, and this current one. This doesn't even factor in the other ones previous to the past 30 years, namely the GREAT DEPRESSION, which the Federal Reserve has admitted to being the cause of.

If we lived in a perfect world in which honesty and integrity mattered to all people, sure Ron Paul may have a point. But life and people are what they are and to fantasize that organizations alone create crises is about as naive as one can get.

If there's any organization that could cause such a thing, it's the Fed. They control the world's reserve currency. They dictate what interest rates will be, they are responsible for inflation and deflation. They are the sole organization that can actually create an environment where interest rates are so low, that it literally entices EVERYONE to want to indebt themselves.

The Fed is far more capable of CAUSING a crisis, then they are of FIXING it.

 

[Bern80]

Unless I missed it, the MSM didn't touch this. Gee, I wonder why?


Statement of Congressman Ron Paul
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.

Paul (TX14) - Speech and Statement - Statement on Federal Reserve Board Abolition Act

I love it!

But don't expect the government to listen to him when he only got 1% of the vote.

Look what Woodrow Wilson said about his participation in starting the Fed:

"I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated Governments in the civilized world no longer a Government by free opinion, no longer a Government by conviction and the vote of the majority, but a Government by the opinion and duress of a small group of dominant men." -Woodrow Wilson, after signing the Federal Reserve into existence

Then the constituency needs to start making some noise, because obviously a LOT of people (wink, wink) regardless of political persuasion agree.

 

[truthsaga]

The problem is with the people and their understanding of our political system. If people continue to believe that the government needs to take care of them from cradle to grave, we won't see much change. As more and more unite under the movement of individual responsibility and liberty, I'm sure Ron Paul will be legendary.

For you guys to say for him to go back to his planet just shows how little you know.

 

[William Joyce]

I don't know very much about this issue.

Assuming we need a common American currency, what is the best way to do it?

 

[Kevin_Kennedy]

I don't know very much about this issue.

Assuming we need a common American currency, what is the best way to do it?

We don't need a common American currency, we could have competing currencies. However, the Constitution gives authority to regulate the currency to Congress, and does not authorize them to cede this responsibility over to a central bank.

 

[William Joyce]

I don't know very much about this issue.

Assuming we need a common American currency, what is the best way to do it?

We don't need a common American currency, we could have competing currencies. However, the Constitution gives authority to regulate the currency to Congress, and does not authorize them to cede this responsibility over to a central bank.

OK. But even pretty conservative Constitutional scholars would say they can, if there's an enacting statute. Congress itself doesn't have much administrative machinery... that's more an executive function. How is the Federal Reserve Act a problem?

Believe me, I'm open to arguments... I just don't know the arguments against it.

 

[Kevin_Kennedy]

I don't know very much about this issue.

Assuming we need a common American currency, what is the best way to do it?

We don't need a common American currency, we could have competing currencies. However, the Constitution gives authority to regulate the currency to Congress, and does not authorize them to cede this responsibility over to a central bank.

OK. But even pretty conservative Constitutional scholars would say they can, if there's an enacting statute. Congress itself doesn't have much administrative machinery... that's more an executive function. How is the Federal Reserve Act a problem?

Believe me, I'm open to arguments... I just don't know the arguments against it.

The Federal Reserve Act is a problem because the Constitution doesn't give authority over our economy to a central bank, it gives it to Congress. Any act that goes against the Constitution is invalid and illegal. There would have to be an amendment to the Constitution to make it valid.

 

[Paulie]

I don't know very much about this issue.

Assuming we need a common American currency, what is the best way to do it?

We don't need a common American currency, we could have competing currencies. However, the Constitution gives authority to regulate the currency to Congress, and does not authorize them to cede this responsibility over to a central bank.

OK. But even pretty conservative Constitutional scholars would say they can, if there's an enacting statute. Congress itself doesn't have much administrative machinery... that's more an executive function. How is the Federal Reserve Act a problem?

Believe me, I'm open to arguments... I just don't know the arguments against it.

The biggest problem is that the Fed isn't a government agency. It's quasi-public, but for all intents and purposes, it's a private institution comprised of all the private member banks. What you have with the Fed, is a bunch of private citizens, not government employees, who are determining the status of our currency. Not only that, but congress has very little oversight, and seems to not even care.

If you're going to relinquish control of the currency to something or someone, you ought to maintain oversight, otherwise you're just ASKING for trouble.

How is it that the Fed can make monetary policy decisions without checks and balances? Congress not only allowed a central bank to have the authority, they completely ceded their power to regulate the process altogether. It would literally take another act of congress to change this. The fed won't even tell us what's going on with much of their policy decisions these days, and Congress sure as hell doesn't seem to have any power to do anything about that.

The whole thing is a huge mistake, and we pay for it dearly about once or twice a decade, and a little bit more each day.