The Federal Reserve is a corrupt and unconstitutional institution. Contrary to popular belief, the Federal Reserve is not part of the United States Government. The Federal Reserve is not even held accountable by the United States Government. The Federal Reserve is no more part of the United States Government than Federal Express.
A recent article, “Despite fiery base, Paul’s spark yet to spread,” talks about the Federal Reserve and Ron Paul.
What the Federal Reserve Is
The Federal Reserve is an oligopoly of 12 independent and privately owned banks. These banks provide the government with a source of loans, and act as a safe depository of federal monies. The Federal Reserve also greatly affects/ manipulates monetary policy.
These banks print money out of thin air and spend it at will. The Federal Reserve literally prints money, lends it to the Unites States Government, and then charges a huge amount of interest for the money that it lent out.
Why the Federal Reserve is Ruining Our Country
As explained by Congressman and 2012 GOP Presidential Candidate Ron Paul, “The Federal Reserve is the chief culprit behind the economic crisis. Its unchecked power to create endless amounts of money out of thin air brought us the boom and bust cycle and causes one financial bubble after another.”
Since the creation of the Federal Reserve in 1913, the dollar has lost more than 96% of its value. The Federal Reserve continuously and intentionally inflates the money supply to maliciously manipulate interest rates and weaken the value of the dollar.
What hurts the economy the most is that the Unites States Government has to pay back the interest on the huge loans. The government pays these loans with the taxpayers money.
Why the Federal Reserve is Unconstitutional
According Article 1, Section 10, of United States Constitution, “No State shall make any Thing but gold and silver Coin a Tender in Payment of Debts.” To go off of the gold and silver standard, the Constitution would have had to be amended, pursuant the provisions in Article 5 of the United States Constitution.
The Solution - HR 1207
The ultimate solution is simply to END THE FED (Federal Reserve). A more probable solution, and a first step however, is to first Audit the Federal Reserve.
HR 1207 is the Federal Reserve Transparency Act, which calls for an audit of the Federal Reserve. The audit would require to the Federal Reserve to report its spending policies and history, and make them available to Congress.
Works Cited
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OK commentary, but maybe there's a reason why Ron Paul's "spark" has yet to spread.
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