Posted on 12/09/2010 10:57:02 AM PST by speciallybland
Rep. Ron Paul, the Texas Republican who has passionately called for dismantling the Federal Reserve, will be running the panel that oversees the central bank when Republicans take the House majority next year.
Mr. Paul has introduced legislation to abolish the Fed, wrote the book, “End the Fed,” and rallied support for eliminating it.
Rep. Spencer Bachus (R., Ala.), who will take over the House Financial Services Committee from Rep. Barney Frank (D., Mass.), announced today that Mr. Paul, a libertarian who won a fervent following when he ran for president in 2008, will head the Domestic Monetary Policy Subcommittee. The 11-term lawmaker was in line for the post, but there had been some talk that GOP leadership might pick someone else.
(Excerpt) Read more at blogs.wsj.com ...
Statistically speaking those pre-1913 deflationary cycles were not significant. The Great Depression and the Great Recession are statistically significant as well as numerous recessions in between.
Economic cycles are a force and fact of nature. The effect of the Fed has been to exacerbate the natural cycles and render them more volatile.
Yes they have staved off previous deflationary cycles but with the result of causing inflationary cycles, more emphatic booms and busts and a burden on taxpayers by buying Treasuries purchased from phantom dollars. Today they are doing the same, preventing a deflationary collapse at the expense of the existing and prolonged insolvency of federal and state governments, impossible to service sovereign debt and the consequence or resorting to hyper-inflation to extinguish the debt problem.
Bernanke himself said he doesn’t have a solution. They don’t know what they are doing but they certainly played a key role in bubbling certain targeted sectors of commerce and then pullingthe plug creating in effect profit opportunities for their crony investment bank members.
The Fed is the ringleader of the ultimate corruption, the ability to create money from thin air with no accountability save for window dressing hearings before Congress where no audits are compelled and no true oversight exists.
Just look at the recent disclosures of trillions to foreign governments and operatives by the Fed.
Each one of those dollars among the trillions competes with each of my dollars. If I want to buy copper on the world market, if I want to hire a ship captain to transport my products, if I want to purchase a business, then I have competitors who received free dollars from a concessionary that my government calls the Federal Reserve and which is not accountable.
No one can compete, no one can experience a truly fair market when there is an entity that can say “Presto!” and cause a billion dollars to appear from nowhere.
But the real damage done by the Federal Reserve is in the destruction of the value of the dollar. Today’s dollar is worth 2 cents of what a dollar was worth in 1913. That is all Fed driven and by their design.
Inflation is a tax and the Fed levies this tax.
The Fed deals today with a fiat currency. Every case example in history has shown that societies that depend on fiat currency collapse catastrophically.
The Fed was a creation from 1913, a year that also saw so many poor decisions such as making constitutional the income tax without apportionment.
There are solutions and designs of today that are of much better effect and efficiency than the poorly engineered tax and financing systems of 1913.
It’s time to End the Fed.
It’s time to amend the Constitution to repeal the 16th Amendment.
It’s time to enact the FairTax (http://www.fairtax.org/site/PageServer?pagename=about_faq).
I tend to view Ron Paul as a well-intentioned but ultimately crazy uncle — there’s something endearing about him and his views but at the end of the day he tends to be off his rocker.
With that said, I think this is the best place for him. Our banking system needs to be reined in and he is one of the few in Congress that I’d trust to do it.
Here’s hoping for the best.
I know! and I think they are kooks!
Absence of evidence is not evidence of absence. Read the book. We don’t have all the facts.
You beat me to it...
Congress has authorization to carry out a direct tax to be collected and delivered by each state per citizen/person. Problem is, that requires a vote and a bill by Congress each time - and of course that means justification and debate. How many Congresspersons have the balls to do exactly that? It entails actual hard and honest poltical work. Answer: NONE!
An ongoing year to year indirect tax in the form of an “income” tax is just so much easier. Hence why you never really see a move entered onto the floor to abolish the 16th Amendment much less the current schedules implemented by the IRS under regulation. And of course, the all avoid attempts to clarify what “income” means for taxation purposes.
They are not just cowards - they’re lazy.
=8-)
Wrong!
The FairTax is an excise tax, an indirect tax on retail goods and services.
The Rebate is the same for every American and is not a tax.
The Rebate says in effect that Americans will pay no tax on goods and services that they deem essential for living and that is measured in dollars calculated by the DHHS line of poverty, a well-seasoned and means tested calculation.
To reemphasize the FairTax Rebate IS THE SAME FOR EVERY AMERICAN and hence no redistribution takes place among more than 99$% of the population. The only persons undeservedly benefitting from the Rebate are those who are bums, homeless and panhandlers and they constitute less than 1% of the population.
People on Social Security will receive a rebate equal to 23% of the poverty line or about $196 a month, But so will billionaires.
Every American individual will receive $196 a month to rebate them for the 23% National Retail Sale Tax they paid on $10,294 (the poverty level) of purchases over a year. That’s NOT REDISTRIBUTION. The money is not coming from wealthier earners. It is coming from each individual’s essential purchases and being given back to them so that in effect:
No One In America Pays Taxes Below the Poverty Level.
http://www.fairtax.org/site/PageServer?pagename=about_faq
When you think about it a bit, only a crazy uncle would take on the Fed and their banks.
In this context you are absolutely right, Ron Paul is made for this job.
Call it another one of God’s interventions.
The dollar losing 94% of it’s value over the course of 80 years is not a problem. Most economists believe a small rate of inflation is helpful to the economy because it provides and incentive to people to invest instead of simply hoarding cash.
Over 80 years a small rate of inflation will add up. But the economy itself hasn’t been harmed. That small amount of inflation does not appear to have harmed our economy over the last 80 years.
If you hoarded cash 80 years ago, you have lost a lot of purchasing power. But if you invested in a diversified portfolio, you now have incredible purchasing power compared to 80 years ago.
The Ron Paul plan works only if you want to pursue the incredibly stupid economic goal of incenting people to hoard cash and not invest.
Another website has already broken down how the so called Fair Tax is also unconstitutional...If I remember correctly it falls apart uniformity-wise or would head that way when challenged in court.
Poverty level in CA is not the same as poverty level in MO. The rebate becomes an “unequal” application of the law. If you turn around and adjust accordingly - then uniformity falls apart.
Still want to sell the Fair-Tax? Well consider this: Trying to read and comprehend the Rebate thingy was like trying to read IRS published schedules, guides, deductions, credits, etc., all over again.
If it was simply about EVERYONE paying a fixed %-age for final retail sales point of goods (not services) and nothing more - no exceptions, no deductions, or threshold crap - I’d give it some serious thought.
=8-)
(This is like appointing Mark Levin as Special Prosecutor for an Obama impeachment)
He has a chance to do some real good in that position. I hope he doesn't blow it.
The man who wrote this book now has oversight of the Fed.
This is the countdown to doomsday for the financial oligarchy.
“The dollar losing 94% of it’s value over the course of 80 years is not a problem.”
It’s a catastrophe. An absolute catastrophe.
You think the US is somehow unique? You this this game hasn’t been done before? The Byzantines did this exact thing, by debasing the currency. It worked for a long while, until finally they had a massive revolution, which destroyed their productive capacity for decades, until they restored the value of the coinage back to the original.
It’s the hallmark of poorly managed regimes to see currency debasement as the way to evade debt.
“That small amount of inflation does not appear to have harmed our economy over the last 80 years.”
As compared to where America was in 1912? America had 90 percent of their prosperity and industrialisation, and since then have stagnated.
Are you grotesquely ignorant, or a shill?
The lawyers that wrote HR 25 are Constitutional lawyers and historians.
The sales tax part of the FairTax legislations of revenue and enforcement is an excise tax no different that excise taxes that America used before 1913.
The Rebate is not a tax and is uniformly distributed. It is also not a grant or a benefit. It is a rebate just as it says it is, it rebates taxes already paid. If the rebate were unconstitutional then tax refunds would be unconstitutional.
The FairTax lawyers that I know have seen all of the misinformation, disinformation and outright lies against the FairTax. The websites that publish the FairTax is unconstitutional are spreading false propaganda.
The FairTax is the most feared piece of legislation in Congress today. It is feared by the same people that want to extend unemployment benefits and claim that doing so will stimulate the economy. It is feared by all leftists including socialists, Marxists, progressives and tax lobbyists who have a vested interest in keeping the progressive income tax.
Because the FairTax is so feared, it has vested interests working nonstop to put out false propaganda about it.
The FairTax is the largest Tax Reform legislation in Congress today (it has by more sponsors than any other tax reform). The FairTax has more support today than Ronald Reagan’s tax reform proposals of the 1980s.
In fact some leftist members of the Joint Committee on Taxation JCT and their consultants have said (as I am a personal witness) that if the FairTax were ever enacted, that they would work night and day to bring back the progressive income tax.
There is no denying (I have personally witnessed) that there are ideologues in and around Congress that live and breathe by the progressive income tax.
It is no surprise that there exist thousands of lies regarding the FairTax.
What got me focused on the FairTax many years ago is that I questioned some of the critics of the FairTax on their claims and assertions. They would not answer or they changed the subject, just like liberals do when they have a false argument.
So I investigated and found these critics of the FairTax to be either lazy and just parroting the party line or they were outright liars. It made me angry, so I set out to study the FairTax in depth and also the history of taxation in the United States. Along the way I retraced many of the steps already taken by the architects of the FairTax legislation. I found out that it is the most researched and doumented tax reform ever proposed. There is not one area that has not been researched, foundationally based on the Constitution and conformed with the spirit of the Founding Fathers.
The FairTax code of tax revenue and enforcement is the most innovative and brilliant piece of legislation to be proposed in Congress in our lifetime. It takes into account the original intentions of our Founding Fathers, examines mistakes made in our history and prevents them from happening again.
But make no mistake, enactment of the FairTax means death to socialism in the United States and because so much power is wielded by the ringleaders of the progressive income tax, you can bet there’s going to be a fight like never seen before and that means a ton of lies and a deliberate campaign to cause confusion.
People who fear the FairTax and criticize it out of panic are called on Wall St. the FUDMAKERS where FUD means Fear, Uncertainty and Doubt. Whenever the markets want to take down a company on Wall St. they mount a FUD campaign to discourage would-be investors.
You are being used by FUDMakers who are instilling in you false fear, uncertainy and doubt about the FairTax so that you will be discouraged from supporting it. But the FairTax is solid in every respect.
http://www.fairtax.org/site/PageServer?pagename=about_faq
I like it. I like it!
When it comesto monetary policy, he is hardly a kook............most of the time.
Panic_of_1819 - 75% unemployment in philadelphia, tent cities in baltimore
Panic of 1837 - Half of banks failed, 5 year Depression
Panic of 1857
Panic of 1873 6 yr depression, 1/4 of all railroads bankrupt, 14% unemployment
Panic of 1884
Panic of 1890
Panic of 1893 5 year depression, 19% unemployment
Panic of 1896
Panic of 1901
Panic of 1910-1911
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