Free Republic

Out on the campaign trail, Fed head Ben Bernanke is an unpopular guy. Mitt Romney and Newt Gingrich have both said they would replace Bernanke, not reappoint him. Rep. Ron Paul would swap the whole Federal Reserve monetary system for a gold-linked dollar, making the yellow metal legal tender. And it was Gov. Rick Perry of Texas, before he dropped out of the race, who said more quantitative easing by the Fed would be "almost treasonous." Republicans in Washington are equally unimpressed by Bernanke. Rep. Paul Ryan recently criticized the Fed for bankrolling our huge budget deficits and thereby accommodating...

The first top-to-bottom audit of the Federal Reserve uncovered eye-popping new details about how the U.S. provided a whopping $16 trillion in secret loans to bail out American and foreign banks and businesses during the worst economic crisis since the Great Depression. An amendment by Sen. Bernie Sanders to the Wall Street reform law passed one year ago this week directed the Government Accountability Office to conduct the study. "As a result of this audit, we now know that the Federal Reserve provided more than $16 trillion in total financial assistance to some of the largest financial institutions and corporations...

It doesn’t come as too much of a surprise that the measure to audit the Federal Reserve is coming under continuous fire from the central bank and its cronies. For the first time since the Federal Reserve was created nearly a century ago, they have hired an actual lobbyist to pound the pavement on Capitol Hill. This is a desperate effort to hang on to the privilege of secrecy and lack of accountability they have enjoyed for so long. Last week showed they are getting their money’s worth in the Senate. At the very last minute on the floor of...

The Federal Reserve, our nation’s central bank, operates in a shroud of secrecy and with absolutely no oversight controls by Congress. Since its founding in 1913, the Fed has been the target of fiscal conservatives and libertarians alike. For years now, and amplified by the recent financial crisis, rising deficits, and surging debt, those same people have begun demanding an audit of the Fed (and even pushing for its elimination). In a surprising move Tuesday, the Senate took a tiny step in that direction by voting 96-0 to do a one-time audit of the Federal Reserve to examine its emergency...

Our country’s economic future is in Ben Bernanke’s hands on a daily basis. Now his job security is in ours. I need you to immediately call your senators with a simple message: “No vote on Bernanke until we get a vote on Audit the Fed.” Here’s what’s going on and why you need to act immediately. It’s a little complex, so bear with me. Senator Jim DeMint (R-SC) has led the charge to place a “hold” on Bernanke’s nomination to a second term as Fed chairman until the Senate votes on Audit the Fed. This means to get a vote...

Sixteen months after the 11 a.m. simultaneous withdrawal of billions of dollars out of money market accounts in the aftermath of Lehman’s demise a few days earlier, no one seems to care about the dimensions of this event. After all, this catastrophic event did not have quite the physicality of say an actual bank run. There were no investors standing in line waiting to take their money out for Americans to see just who they were—from what country, wearing what kind of clothes, honest or squirrelly looking, working in tandem with each other? Just computer generated orders simultaneously withdrawing billions...

(snip) Sen. Lindsey Graham believes his fellow South Carolina Republican's verdict is too harsh. He plans to vote to confirm Bernanke, who just turned 56. “I remember what it was like in September 2008 when the stock market went down a thousand points, and we had one failure after another of major financial institutions,” Graham told McClatchy. “Bernanke and some others came up with a game plan to save us from another Great Depression,” Graham said. “I think he's been a pretty steady hand at the tiller.” DeMint also blasts Bernanke on the $700 billion financial bailout bill pushed by...

If you believe polls, current Federal Reserve Chairman Ben Bernanke favorability has been slipping. A recent Rasmussen Reports poll indicates that only 21 percent of Americans favor his reappointment as the Fed chair. And this hasn't gone unnoticed by some members of the Senate, where Bernanke's fate lies. Bernanke's reconfirmation passed through the Senate Banking Committee by a 16-to-7 vote on Dec. 17. But that margin calls into question how his reconfirmation vote on the Senate floor could go. And as CNBC "The Kudlow Report" host Larry Kudlow warned, that puts his reconfirmation in question. "Look, ‘Helicopter' Ben passed the...

In his 1981 inaugural address, former President Ronald Reagan said, "Government is not the solution to our problems; government is the problem." Nearly 29 years later, that still holds true according to CNBC "Mad Money" host Jim Cramer and former Federal Reserve Chairman Alan Greenspan. Both Cramer and Greenspan were guests on NBC's Dec. 13 "Meet the Press" and although neither was making a vain effort to be nostalgic, but instead explained that Congress' deliberations over an "agenda" was creating uncertainty for business. "I think the priority ought to be get rid of the agenda," Cramer said. "I hear the...

Rep. Ron Paul's attempt to rein in central bank is finally close to passing -- just don't expect him to vote for it. Ron Paul is used to going it alone. During 20 years in Washington, the libertarian Republican congressman from Texas has proposed doing away with personal income taxes, federal antitrust laws and the minimum wage. He's advocated pulling the United States out of the United Nations, NATO and the International Monetary Fund. Those efforts have mostly been legislative non-starters. Many of his bills fail to attract a single co-sponsor. But one of his perennial causes is headed to...

There’s a strange political cocktail brewing in Washington, one that mixes top conservative strategist Grover Norquist and tea party organizers at FreedomWorks with democratic socialist Sen. Bernie Sanders (I-Vt.), progressive activists and public interest advocates. The unlikely coalition’s bid to block Ben Bernanke’s nomination to a second term as chairman of the Federal Reserve until Congress votes on legislation to audit the secretive central bank is tapping into a growing anti-establishment mood — and legislators up for reelection next year are taking notice.

Ben S. Bernanke used a hearing for his reconfirmation as Federal Reserve chairman on Thursday to express concern about legislation that would put the Fed on a tighter leash and let Congress “second-guess” its decisions. Mr. Bernanke’s chief concern was a proposal by Representative Ron Paul, Republican of Texas, to “audit the Fed.” The amendment to the House of Representative’s bill overhauling financial regulation would submit the Fed to audits of its decisions concerning monetary policy. “To be very, very clear, I in no way object to — in fact I welcome — transparency about the Fed’s activities and the...

Federal Reserve Chairman Ben Bernanke (November 29th Washington Post) does not want us to know any of the details of the Fed's secret operations. This position is not surprising and has been typical of all central bank chairmen. Bernanke's stated goal in his editorial is "To design a system of financial oversight..." that will "provide a robust framework for preventing future crises." During its 96 years of existence, the Federal Reserve has played havoc with our economy and brought great suffering to millions through unemployment and price escalation. In addition, it has achieved what only a central bank can: a...

Fed Chairman Ben Bernanke's warning that further regulation would "impair" the economy is a "hoax," according to Rep. Ron Paul (R-Texas). Responding to Bernanke's op-ed in The Washington Post this past weekend, in which the Federal Reserve chairman said that Paul's bill to audit the Fed would harm the U.S. economy, the Texas congressman accused Bernanke of dodging responsibility for his role in causing the recession. "He claims that they're rescuing, and making things better. But he takes no responsibility for causing all the problems," Paul said during an appearance on the Fox Business Network. "So I think it's a...

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Spots urging shoppers to use their credit cards wisely will be shown on big screens in 12 U.S. cities. The central bank has long been accused of neglecting its consumer protection duties. BY JIM PUZZANGHERA Washington - The Federal Reserve isn't too popular these days, what with its failure to predict or prevent the financial crisis and recession, not to mention its involvement in last year's bailouts. Rep. Ron Paul (R-Texas) has a bestselling book out called "End the Fed," and some lawmakers are looking to cut back the central bank's power. It sounds like a perfect time for an...

I was pleased last week when we won a vote in the Financial Services Committee to include language from the Audit the Fed bill HR1207 in the upcoming financial regulatory reform bill. As it stands now, if HR 3996 passes, because of this action, the Federal Reserve’s entire balance sheet will be opened up to a GAO audit. We will at last have a chance to find out what happened to the trillions of dollars the Fed has been giving out. Finally, the blanket restrictions on GAO audits of the Fed that have existed since 1978 will be removed. All...

It's an issue that libertarian Rep. Ron Paul, R-Texas, and Sen. Bernie Sanders (I-Vt.), a self-proclaimed socialist agree on: Congress should have the authority to call for the Federal Reserve to be audited. But it is also something that some in the financial media are reluctant to support, especially judging from the tone of CNBC "The Call" co-host Trish Regan and comments CNBC senior economics reporter Steve Liesman. On the Nov. 20 broadcast of "The Call," CME Group reporter Rick Santelli made the case that Federal Reserve should be audited. He cited opposition to the Fed audit proposal from Sen....

A top Senate Republican lashed out against lawmakers of both parties for supporting legislation that would audit the Federal Reserve, accusing the bipartisan group of “political pandering” to populist anger. Sen. Judd Gregg, the top Republican on the Senate Budget Committee, says he’s worried that politicians on Capitol Hill are sacrificing the Fed’s historic independence because the Fed has become unpopular during the economic crisis. “This move to bring the Fed’s conduct of monetary policy under the control of Congress is a grave threat to our economy. Congress has demonstrated time and again its inability to manage the nation’s fiscal...

Former Federal Reserve chairman Alan Greenspan and Paul Volcker wrote the House Financial Services Committee earliy this month that they opposed a provision, backed by Rep. Ron Paul (R., Texas) that would expand the congressional Government Accountability Office’s audits of the Fed. The committee, ignoring the pleas from the two, endorsed the provision Thursday. Greenspan and Volcker, in a letter sent to the committee’s chairman and ranking Republicans, warned that the provision threatened the ability of the Fed to foster price stability independent of political interference.

She sounds off on Ron Paul, health care, and, of course, liberty. BY MATT SNYDERS Michele Bachmann is a regular fixture on the cable news circuit. When it comes to print, however, she takes a more measured approach; she declined a phone interview with the New York Times last month, insisting on a Q&A via email. She gave City Pages the same deal. Here's what she had to say: City Pages: Your appearance with Rep. Ron Paul surprised some folks. At first blush, it would seem the two of you might come down on very different sides on a lot...

A University of Texas at Austin LBJ School of Public Affairs professor called for an unprecedented audit of the Federal Reserve Bank balance sheet expansion of $2trillion during the 2007-09 financial industry crisis. During a San Antonio appearance Friday, Robert Auerbach, author of the 2008 book “Deception and Abuse at the Fed,” argued for an audit by the U.S. Government Accountability Office as he spoke at an event sponsored by the Henry B. Gonzalez Foundation for Inspiring Public Service in San Antonio. Auerbach, who served on the U.S. Housing Banking Committee staff when Gonzalez was chairman in the 1990s, said...

The central bank doesn't need more political interference as it decides when to move against inflation. BY ANIL K. KASHYAP and FREDERIC S. MISHKIN Under the banner of increasing Federal Reserve transparency, Congressman Ron Paul has sponsored a bill that would subject the Fed's monetary policies to an audit by the Government Accountability Office (GAO). The bill is a veiled attempt to undermine the Fed's independence. If it passes, it will cripple policy making—particularly when it comes to inflation. It is completely appropriate to hold the Fed accountable for its decisions. But the Paul bill, H.R. 1207, will only produce...

A Less Than Opaque Look At Mel Watt's Motivations To Kill The "Audit The Fed" Bill /snip The Tom Woods' congressional testimony last week Friday in favor of the 'Audit the Fed' bill had two very curious turns, he set off extremely hostile questioning from two congressmen, by the hearings Committee Chair Barney Frank and Representative Mel Watt. Every other Congressman that questioned Woods, and Fed General Counsel Alvarez, was seemingly concerned about where the money the Fed is printing is actually going. But not Frank and Watt. I discussed Frank's hostility, here. Watt was even more hostile. It looked...

With most Americans outraged over the behavior of the Federal Reserve and the part it has played in the bailouts of huge institutions in the financial and automotive industries, Ron Paul introduced H.R. 1207, which would have required a full audit of the Federal Reserve and its activities, which crosses international lines. According to Rep. Ron Paul, R-Texas, the House Financial Service Committee’s panel on domestic monetary policy, Rep. Mel Watt, D-N.C., essentially stripped the bill of just about everything that would have required transparency, and pretty much is now worthless as to its original purpose of letting the American...

Rep. Ron Paul, R-Texas, has complained that the bill he sponsored calling for an audit of the Federal Reserve has been "gutted" by congressional committee, pointing specifically to a legislator whose campaign coffers have been boosted by the banking industry. As WND reported, Paul sponsored H.R. 1207, a bill requiring the Federal Reserve – an organization that's independent from the U.S. government but nonetheless oversees U.S. monetary policy – be opened to oversight by Congress. The plan compiled over 300 co-sponsors in the House before being sent to committee. But in a telephone interview with a Bloomberg reporter, Paul said...

Last week a new bill was introduced in the Senate to audit the Federal Reserve. Some backers of my bill HR1207 and the existing Senate companion bill S.604 were a little miffed at this, but depending on how you think about it, this new legislation poses no great threat to our efforts. With the economy in shambles, people are looking for answers - not just because of lost savings on Wall Street, but because of lost houses on Main Street. Because of the many problems we face, the Federal Reserve and its powers over the economy have come under scrutiny....

NEW YORK (MarketWatch) -- Ron Paul has America hungry. The former presidential candidate and 11-term Republican congressman from Galveston, Texas, seems to be doing what few have succeeded at: rallying support for radical change in Washington, on Wall Street and in the world. Paul, who rattled the Republican base with a strong showing in several primaries and caucuses last year, is upping the ante. He has a new and timely book, "End the Fed," and has been making a big media tour, including a stop on The Daily Show with Jon Stewart last Tuesday. "It's hard to enforce the laws...

The prime sponsor of a plan to audit the Federal Reserve, which oversees U.S. monetary policy, U.S. Rep. Ron Paul, R-Texas, says his plan has reached 300 co-sponsors in the U.S. House. The legislation calls for a full and complete audit of the Federal Reserve by the Government Accountability Office, reported to Congress by the end of 2010. "I continue to be pleased that so many of my colleagues are willing to stand up for transparency and accountability in government by cosponsoring this bill," Paul said today.

In an interview with Bloomberg yesterday, former Federal Reserve Chairman Alan Greenspan warned about possible future inflation and higher taxes as consequences for the unprecedented deficit spending taking place in the United States.

Although Fisher has a reputation for being one of the Fed's toughest inflation fighters, it marked the second such warning by a central bank official in recent days. Fed member Kevin Warsh on Friday said the central bank will need to move swiftly when the time comes to raise rates. Charles Plosser, president of the Federal Reserve Bank of Philadelphia and also a hawk against inflation, waded into the debate in a speech Tuesday in Easton, Pa., saying the Fed may need to act "well before" unemployment -- now at a 26-year high of 9.7 percent -- returns to normal....

Zero Hedge has recently presented several declassified documents from the pre-1971 "Nixon Shock" days, that endorse the case for gold as a major historical factor in US monetary and foreign policy, as demonstrated by State Department and CIA disclosure. Gold's special status in policy and administrative decision-making was a direct factor in Nixon's choice to abolish the gold reserve at a time of an exploding budget deficit. Yet what about the days after 1971, and specifically, how did that critical "behind the scenes" organization, the Federal Reserve, perceive and manipulate gold in the post Bretton-Woods world? Was gold, freed from...

The Federal Reserve, in the 1970's, had a secret agreement with the German government whereby the German government agreed not to buy gold in the open market, or from other governments, at a price above the then-official U.S. government price of $42.22 per ounce, despite the fact that the open market price for gold was then trading between $160 to $175 per ounce...

Last week I was very pleased that the Financial Services Committee held a hearing on the Federal Reserve Transparency Act, HR 1207. The bill has 295 cosponsors and there is also strong support for the companion bill in the Senate. This hearing was a major step forward in getting the bill passed. I was pleased that the hearing was well-attended, especially considering that it was held on a Friday at nine o’clock in the morning! I have been talking about the immense, unchecked power of the Federal Reserve for many years, while the attention of Congress was always on other...

House lawmakers want to pry open the books of the famously secretive Federal Reserve with legislation that would subject the central bank to a sweeping congressional audit. The effort is overwhelmingly bipartisan. Hardline conservatives and liberal Democrats have banded together in their criticism of the Fed as a major power broker in the financial system that doesn't answer to Congress. Friday's debate comes as lawmakers consider a proposal by President Barack Obama that would give the Fed new powers to prevent another economic crisis. "Nobody in my district thinks that the Fed has done such a wonderful job of running...

Editor's Note: After many long years of working to shed light on the ultra-secretive Federal Reserve, Ron Paul's "Audit the Fed" bill is finally getting a hearing on Friday, 09-25-09. In that spirit, we present to you this speech he made in 2007 on the dangers of Federal Reserve policy, and the institution itself... please read, comment, and share.

Former Alaska Gov. Sarah Palin fired a shot at the Federal Reserve in her coming-out speech in Hong Kong today, blaming the central bank for the current crisis and disagreeing with the idea that the Fed should have a greater role in preventing the next crisis. It was an echo of fellow Republican and Texas congressman Ron Paul, who has led the charge in Congress to perform an audit of the Federal Reserve with an eye to eventually eliminating it. “How can we discuss reform without addressing the government policies at the root of the problems? The root of the...

... She also criticized the U.S. Federal Reserve's massive intervention in the economy over the last year, arguing its actions only exacerbated the crisis, according to another attendee. She also praised the conservative economic policies of former U.S. President Ronald Reagan and former British Prime Minister Margaret Thatcher. ...

In her first paid public speech outside of North America, the former Alaska governor and vice presidential candidate said Washington is the problem, not the solution. "We got into this mess because of government interference in the first place," Palin said Wednesday at a conference sponsored by investment firm CLSA Asia Pacific Markets. "We're not interested in government fixes, we're interested in freedom." Palin also stressed the importance of the global fight against terrorism and of enlisting the help of China, which "rightfully makes a lot of people nervous." Palin didn't refer to President Obama by name, but "utopian sounding"...

Near the start of this year Ron Paul (R-Texas) introduced H.R. 1207, the Federal Reserve Transparency Act of 2009. The bill was referred to the House Committee on Financial Services. As of this writing, H.R. 1207 has 282 cosponsors. A Senate equivalent, S.604, the Federal Reserve Sunshine Act of 2009, has been introduced by Bernie Sanders (I-Vt.). It has 23 cosponsors. Both bills have received a tremendous groundswell of grass-roots support. Much of the support is coming from ordinary people who have become aware of the fact that the Federal Reserve has created trillions of dollars literally out of nothing...

THE FEDERAL RESERVE MUST DIE “Paper money eventually returns to its intrinsic value ---- zero.” – Voltaire “The Federal Reserve in collaboration with the giant banks has created the greatest financial crisis the world has ever seen. The foolish notion that unlimited amounts of money and credit created out of thin air can provide sustainable economic growth has delivered this crisis to us. Instead of economic growth and stable prices, (The Fed) has given us a system of government and finance that now threatens the world financial and political institutions. Pursuing the same policy of excessive spending, debt expansion and...

Transparency at the central bank is a serious question. It deserves a serious answer. The Federal Reserve Board's independence is a bit like the judiciary's independence. Absolutely vital for the institution's proper functioning, it nevertheless depends on Congress and the president to respect decisions with which they disagree. In such cases, the best protection for either the Supreme Court or the Fed is to stay strictly within its legally prescribed authority and to act according to principled criteria: legal ones for the justices, technical economic ones for the central bank. Which brings us to the proposed Federal Reserve Transparency Act,...

WASHINGTON - Federal Reserve Chairman Ben Bernanke on Friday said he opposed legislation moving on Capitol Hill that would allow the Government Accountability Office, the investigative arm of Congress, to audit the central bank's monetary policy goals. "We are more than happy to work with the GAO and open to giving them broad authority to look at various aspects of our operations, including our responses to the financial crisis, but we are worried that an audit of monetary policy would result in a reduction of the independence of the Fed," Bernanke told lawmakers at a hearing on regulatory reform on...

Senator Jim DeMint of South Carolina made the first attempt to bring to the floor of the Senate a Ron Paul bill to audit the Federal Reserve. As one would expect, the Dems block the measure. With raising political pressure for yet another stimulus package, I, personally, can't see how the Dems are going to be successful, if they don't allow the Federal Reserve to be audited first. The Republican Congressional delegation's new motto should be: Audit first, then we talk about another stimulus.           ex animo          davidfarrar

The occupant of the White House may have changed recently. But the amount of ill-advised ideology coming from Washington has remained constant. Obama's list of economic errors is long -- and continues to grow. The president may have changed, but the excesses of American politics have remained. Barack Obama and George W. Bush, it has become clear, are more similar than they might seem at first glance. Ex-President Bush was nothing if not zealous in his worldwide campaign against terror, transgressing human rights and breaking international law along the way. Now, Obama is displaying the same zeal in his own...

After we broke through the 218 cosponsor threshold on H.R. 1207, I didn't think today could get any better. However, we have even more news. Sen. Jim DeMint (R-SC) today became the first cosponsor of S 604, H.R. 1207's companion legislation. We still have a long way to go before we pass real legislation to Audit the Fed, but this is yet another major step toward our ultimate goal. Sen. DeMint is highly respected and one of the most principled conservatives in Washington. Bernie Sanders (I-VT), 604's lead sponsor, is a firebrand Independent progressive. To see these two guys on...

For the past couple of months I’ve been writing about the “mainstreaming” of paleo-libertarian Ron Paul; he’s been a regular guest on Fox News and other networks, and his drones have been heavily involved in organizing “tea party” demonstrations. Lots of LGF readers didn’t want to believe this was happening.Well, it really is happening.The weird economic theories of Ron Paul are Winning GOP Converts. A funny thing has started happening to Paul since his long-shot presidential campaign ended quietly in the summer of 2008. More Republicans have started listening to him. There are the media requests from Fox Business Channel...

From time to time, a few members of Congress—as many as 10, sometimes fewer—gather with Rep. Ron Paul (R-Tex.) to eat lunch and hear from an author or expert whose opinion he thinks is worth promoting. They grab something to eat off of a deli plate. They take notes. They loosen up and ask questions. “It’s not all that easy for the other members to get here,” said Paul in an interview with TWI, sitting just outside of his office before heading back to Texas for a few days. “It’s just that there’s so much competition. Once they get here...