Ron Paul Speaks Before the House on Abolishing Federal Reserve
Carrying on in the grand tradition of John F. Kennedy, may he rest in peace, Congressman Ron Paul, R, TX, 14th Dist, on February 3rd again addressed the 111th Congress on the issue of abolishing the Federal Reserve System.
Last year Paul's bill, H.R. 2755: Federal Reserve Board Abolition Act, introduced during the 110th congressional session, had no cosigners and was never passed into law. Hence at the end of that session H.R. 2755 was cleared from the books. Paul's address of February 3 of the 111th session is his latest effort to build consensus on this monumentally important, albeit practically hopeless issue.
Now follows an exerpt of Paul's address -
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.
Most Recommended Comment
New Orleans, Louisiana, United States