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To: blueberry12

Call me a commie, but I think the Fed is a good thing. Keeping money supply stable is a national security issue and its one of those things I don't mind the government doing.


32 posted on 08/03/2005 9:06:53 AM PDT by stacytec
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To: stacytec
I think the Fed is a good thing. Keeping money supply stable is a national security issue and its one of those things I don't mind the government doing.

Actually, the government is not keeping the money supply stable. The Fed is constantly diluting the money supply by printing more money thus driving the value of US dollar down. This is the reason for inflation.

In other words, the money in your pocket shrinks. But the question is where does the value go? It cannot just evaporate. And the answer is it doesn't; it goes back to the Fed.

People think that the amount of money they pay in taxes is what the government takes from them. But actually the government takes much more than the taxes. The people are made poor, and the government is made rich by inflation. A paper currency allows the government to take the people's riches away from them without taxing them!

I wish we would have gold coins in America. In that case, we would not need the Fed. And we would not have inflation either!

I recommend that you read this book: What Has Government Done to Our Money? by Murray N. Rothbard.

33 posted on 08/03/2005 12:13:28 PM PDT by blueberry12
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