Ron Paul on the Federal Reserve and Government Deficit Spending

August 26, 1988 http://www.amazon.com/gp/redirect.html?ie=UTF8&location=http%3A%2F%2Fwww.... Watch the full interview: http://thefilmarchived.blogspot.com/2010/09/ron-paul-on-running-for-us-presid...

Ron Paul's opposition to the Federal Reserve is supported by the Austrian Business Cycle Theory, which holds that instead of containing inflation, the Federal Reserve, in theory and in practice, is responsible for causing inflation.

In addition to eroding the value of individual savings, this creation of inflation leads to booms and busts in the economy. Thus Paul argues that government, via a central bank (the Federal Reserve), is the primary cause of economic recessions and depressions. He believes that economic volatility is decreased when the free market determines interest rates and money supply. He has stated in numerous speeches that most of his colleagues in Congress are unwilling to abolish the central bank because it funds many government activities. He says that to compensate for eliminating the "hidden tax" of inflation, Congress and the president would instead have to raise taxes or cut government services, either of which could be politically damaging to their reputations. He states that the "inflation tax" is a tax on the poor, because the Federal Reserve prints more money which subsidizes select industries, while poor people pay higher prices for goods as more money is placed in circulation.

He condemns the role of the Federal Reserve and the national debt in creating inflation. The minority report of the U.S. Gold Commission states that the federal and state governments are strictly limited in their monetary role by Article One, Section Eight, Clauses 2, 5, and 6, and Section Ten, Clause 1, "The Constitution forbids the states to make anything but gold and silver coin a tender in payment of debt, nor does it permit the federal government to make anything a legal tender." The Commission also recommended that the federal government "restore a definition for the term 'dollar.' We suggest defining a 'dollar' as a weight of gold of a certain fineness, .999 fine." On multiple occasions in congressional hearings, he has sharply challenged two different chairmen of the Federal Reserve, Alan Greenspan and Ben Bernanke.

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[Redfingers]

This was over 20 years ago and he's still saying the same shit. I would give my left nut for an honest politician. What are you jackoffs thinking? This is the most principled and consistent human being you are likely to see in your lifetime, figure it out.

[DaleElder11]

He is and always will be the MAN.

[WeThePeopleVStheNWO]

I'm RACIST for criticizing Obama.

TERRORIST because I'm not with Bush.

ANTISEMITIC for not supporting Rothechild Zionism.

TEABAGGER for supporting the Constitution.

TRUTH-ER for asking unanswered questions.

TRAITOR for whistle-blowing on my corrupt Government.

CONSPIRACY THEORIST for presenting documented facts.

TROLL for uploading news, videos, quotes and U.S.Atrocities.

ANTI-AMERICAN for supporting Constitutionalists like Dr. Ron Paul.

RON PAUL 2012!

[tommyrgrs]

@Redfingers i too would give my left nut.

[damnpayne]

More people need to see this video. 

[SkullOfYorick]

23 years down the road, and two things haven't changed: the genius of Ron Paul, and the criminality of the ruling class. Ron Paul, 2012!

[faulconandsnowjob]

Jefferson warned that if we let the central bank in, we'd be looking at perpetual wars...

[Hpersona1]

An Honest Politician...I didn't think such a thing existed...but Ron Paul is proof that there is at least one...Ron Paul 2012

[buffalopatriot]

Committed.

[MarceloRodrigues1]

@withtheoldbreed BEcause they think through fox news.

[JUANO510]

WOW................ EVERYTHING HE'S SAYING TRANSLATES TO TODAY YO