Ron Paul: Lift The Fed’s “Shroud Of Secrecy”

“IF THE FED HAS NOTHING TO HIDE, IT HAS NOTHING TO FEAR” || By RON PAUL || Since the creation of the Federal Reserve in 1913, the dollar has lost over 97 percent of its purchasing power, the US economy has been subjected to a series of painful Federal Reserve-created…


ron paul|| By RON PAUL || Since the creation of the Federal Reserve in 1913, the dollar has lost over 97 percent of its purchasing power, the US economy has been subjected to a series of painful Federal Reserve-created recessions and depressions, and government has grown to dangerous levels thanks to the Fed’s policy of monetizing the debt. Yet the Federal Reserve still operates under a congressionally-created shroud of secrecy.

No wonder almost 75 percent of the American public supports legislation to audit the Federal Reserve.

The new Senate leadership has pledged to finally hold a vote on the audit bill this year, but, despite overwhelming public support, passage of this legislation is by no means assured.

The reason it may be difficult to pass this bill is that the 25 percent of Americans who oppose it represent some of the most powerful interests in American politics. These interests are working behind the scenes to kill the bill or replace it with a meaningless “compromise.” This “compromise” may provide limited transparency, but it would still keep the American people from learning the full truth about the Fed’s conduct of monetary policy.

Some opponents of the bill say an audit would somehow compromise the Fed’s independence. Those who make this claim cannot point to anything in the text of the bill giving Congress any new authority over the Fed’s conduct of monetary policy. More importantly, the idea that the Federal Reserve is somehow independent of political considerations is laughable. Economists often refer to the political business cycle, where the Fed adjusts its policies to help or hurt incumbent politicians. Former Federal Reserve Chairman Arthur Burns exposed the truth behind the propaganda regarding Federal Reserve independence when he said, if the chairman didn’t do what the president wanted, the Federal Reserve “would lose its independence.”

Perhaps the real reason the Fed opposes an audit can be found by looking at what has been revealed about the Fed’s operations in recent years. In 2010, as part of the Dodd-Frank bill, Congress authorized a one-time audit of the Federal Reserve’s activities during the financial crisis of 2008. The audit revealed that between 2007 and 2008 the Federal Reserve loaned over $16 trillion — more than four times the annual budget of the United States — to foreign central banks and politically-influential private companies.

In 2013 former Federal Reserve official Andrew Huszar publicly apologized to the American people for his role in “the greatest backdoor Wall Street bailout of all time” — the Federal Reserve’s quantitative easing program. Can anyone doubt an audit would further confirm how the Fed acts to benefit economic elites?

Despite the improvements shown in the (government-manipulated) economic statistics, the average American has not benefited from the Fed’s quantitative easing program. The abysmal failure of quantitative easing in the US may be one reason Switzerland stopped pegging the value of the Swiss Franc to the Euro following reports that the European Central Bank is about to launch its own quantitative easing program.

Quantitative easing is just the latest chapter in the Federal Reserve’s hundred-year history of failure. Despite this poor track record, Fed apologists still claim the American people benefit from the Federal Reserve System. But, if that were the case, why wouldn’t they welcome the opportunity to let the American people know more about monetary policy? Why is the Fed acting like it has something to hide if it has nothing to fear from an audit?

The American people have suffered long enough under a monetary policy controlled by an unaccountable, secretive central bank. It is time to finally audit — and then end — the Fed.

Ron Paul is a former U.S. Congressman from Texas and the leader of the pro-liberty, pro-free market movement in the United States. His weekly column – reprinted with permission – can be found here.

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Dan Ruck January 19, 2015 at 6:17 pm

There’s nothing secret about the Fed, you dumb shit! Just because you don’t understand economic policy doesn’t mean there’s anything secret going on. Just the other day you made an ass of yourself claiming Muslims control whole cities in Europe. Now you top yourself with an asinine crack about Fed secrecy. Keep on showing people how stupid you are by starting to babble about the TriLateral Commision and the Illuminini

Flip Coscoe January 19, 2015 at 7:53 pm

I agree with you Dan. Radical Islam controls the democrat party in USA…not whole cities in Europe-at this time-coming soon though to america…

Smirks January 20, 2015 at 8:40 am

There’s nothing secret about the Fed

I’d say when the far right (Paul) and the far left (Sanders) agree that the Fed needs to be audited, then the Fed probably needs to be audited.

Annoying the stupid January 20, 2015 at 7:00 pm

“Just because you don’t understand economic policy doesn’t mean there’s anything secret going on.”

Pot, meet kettle.

Dan Ruck January 19, 2015 at 6:20 pm

Trilateral Commission and the Illuminati.

FastEddy23 January 19, 2015 at 7:26 pm

I have a relative on the Trilateral Commission and she don’t tell me shi’ite.

“… While Trilateral Commission bylaws exclude persons holding public office from membership,[5] the think tank draws its participants from political, business, and academic worlds. …” – http://en.wikipedia.org/wiki/Trilateral_Commission#Membership

Dan Ruck January 20, 2015 at 10:01 am

Ha! Ha! Hey! How about the Knights Templar and the “cult” known as Masons? Skull and Bones runs Washington, doesn’t it? You ever read “Foucault’s Pendulum”? You’d enjoy it!

FastEddy23 January 21, 2015 at 1:35 pm

Knights Templar has no real connection to the Masons and that has no real connection to the “Skull and Bones” and that has no connection to anything except frat boys trying to play adult games.

Dale Holmgren January 19, 2015 at 9:16 pm

I think that people who scoff at gold will see a move in gold overnight similar to what happened to the Swiss franc. Now, for most people, it will not affect them in the sense that they do not own gold, so they will not benefit. They are not interested in gold, so the fact that it goes up matters not to them. However, would these same people be as disinterested if they didn’t own bonds and all of a sudden the bond market collapsed and everyone lost their money – wouldn’t they realize that even though they don’t own bonds themselves, that something large has happened that will affect them in a domino fashion that they can’t quite yet understand?

It’s surprising to me the number of people that will not budge and even own 2-3% of their wealth in gold. They resist the most modest proposals for balancing their portfolio.

Slartibartfast January 19, 2015 at 10:05 pm

And when Europe folds, Obama will declare that all gold belongs to the state. Atlas is already beginning to shrug.

Smirks January 20, 2015 at 8:39 am

Gold hit the dirt years ago and Bitcoin is doing the same now. All these libertarian doomsday investments are going to shit and the prophecies of the fall of our fiat currency continues to get postponed year after year.

Is your hat made of gold foil instead of aluminum?

9" January 20, 2015 at 5:40 pm

Even a fall,like the great depression,wasn’t a time when gold was going to keep you going.People bartered and traded over everyday necessities,like food,clothes,etc.You can’t eat gold.

Don't be ignorant January 20, 2015 at 6:44 pm

Bitcoin was a Ponzi scheme, that happened to appeal to liberty minded people looking for an escape from a constantly devalued dollar, but a Ponzi scheme none the less.

Tying Bitcoin to gold however in your comparison, is laughable. Gold has been the default currency since before written history.

And when any country(and there’s been many) has finally destroyed it’s currency, it always has to tie the new currency to gold(or silver) temporary, to regain trust and have it accepted again.

9" January 20, 2015 at 2:50 pm

Gold is heavy,and only worth what it represents,or do you want to drive a car made of gold? You’d be better off investing in Confederate currency.

Ok George January 20, 2015 at 6:57 pm

“Gold is heavy”

When I read stuff like this, it really make me wonder how many financial illiterates there are in the world.

At current spot price, around $130,000 in gold weighs under 7 pounds, and total a measly 100 coins. (you can easily fit 4-25 count tubes in your pockets)

If you were to carry that amount in $20 bills, it would weight almost twice as much as the gold, assuming you could carry all 6500 of them in a trash bag inconspicuously.

The Colonel January 20, 2015 at 9:58 am

Once again the blind squirrel finds the nut (in this case the blind squirrel is a nut but he’s got a point here).

Mickey White January 20, 2015 at 2:51 pm

Go Ron Paul. End The Fed.

Comrade1917 January 20, 2015 at 9:10 pm

Gold – real money for 5000 years.


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