The Federal Reserve: The Biggest Scam In History (Photo credit: CityGypsy11)
The Fed isn’t holding the gun, but it’s convenient for (1) the welfare advocates who increase their wealth and power with the help of the welfare votes and using welfare for cover for subsidies to their rich buddies, and for (2) the warfare advocates who increase their wealth and power by paying back their industry sponsors.
People have gone to prison for using something other than the U.S. dollar for currency. The Fed has a government-guaranteed monopoly.
If you “don’t understand is what Paul thinks ending the Fed will do about” the Fed as a “tool used by capitalist barons to increase their wealth at the expense of the only ones who still have some – the middle class” then you really should read up on his explanations.
You’re right, but the “tool” they use is inflation, which Ron Paul got Bernanke to admit is a “tax”. It’s a stealth tax and most people don’t understand how it works its magic, but it is literally killing our economy.
“Ending the Fed” means ending the private banking cartel control over the money supply. The wealth transfer that is killing the middle class is happening through several means. My advocacy of midget government that is afraid of the citizens rather than the other way around has extra humph because all governments tend to increase abuses of the poor with time.
There are three general ways in which certain of the powers-that-be transfer wealth from the middle class to support themselves. They all depend on government laws. An honest politician that wants to end the oppression of the poor by the rich-elite club and stop the assault on the middle class –and understands real-world economics– will not be bought.
(1) One method is direct taxation, including and most especially the so-called “progressive” income tax that in the real world hits the middle class the most, based on the claim that the government owns all your income and is the best decider on how much you get to keep and who they are stealing it for. (Stealing is taking property from John Doe with force or under threat of force, whether by an individual or a group).
The justification for taxation is often to make the rich pay “their fair share”, and the biggest mouths that advocate such talk (I call it “demagoguery”), they are either simply ignorant of what is best for the poor, or, they are part of those very despised billionaires and elite that very much understand how it works, and how they hurt the poor. I think George Soros, advocate of socialism, understands this well, witness how he increases his wealth using his own political organizations internationally.
(2) Another way the cartel of super-rich are eliminating the middle class is through heavy regulation. The claim is that regulations are needed to “protect” the poor from abuse, or to save the planet, or some other such claim.
The regulatory agencies in real life are no threat at all to the biggest corporations that they are supposed to regulate most, and when the fiat currency chickens come home to roost with the Fed’s manipulations, and they do get in trouble, they are infused with free fiat cash money (the big banks, the auto companies, European banks). The Fed is the money machine, the government-guaranteed money counterfeiter.
The FDA protects us from raw milk and shuts down small and mid-size family farms.
The Labor Department currently in power almost put in place a regulation that would forbid a farmer’s children from helping in the family farm.
The OSHA tells you to put loud beepers on your forklifts that blast away when backing up, but then the other OSHA agent comes in and tells you the workers need to wear earmuffs to protect them from the sound.
Farmers who created a small pond for their own reasons cannot fill it in when those reasons are gone.
My employer, a giant corporation, has no such trouble. They just got a freebie subsidy to buy natural gas trucks, for example, but for other regulations they have personnel specialized in all the little government irritations that make sure small businesses cannot overcome.
(3) The biggest theft in the history of the world is executed by the Federal Reserve, through inflation. People in government, if they are not incorruptible, facilitate this because they are among the first beneficiaries.
Inflation robs groceries from the housewife at the supermarket. It robs the middle class by increasing the price of doing business.
Inflation generally does not hurt the wealthy because the first infusion of fiat currency goes to them: From the Fed, to their “member banks” (the biggest ones), then their best customers (and biggest customers), and the best and biggest vendors to all of those.
And without an audit of the Fed, we don’t know who else they’re giving money to.
Not for nothing Jesus Christ made such a big deal over the money changers. A “false balance is an abomination” and that’s exactly what fiat currency does, through the inevitable inflation that it supports.
China is buying Iran’s oil with yuan partly because of the sanctions. But the decline of the American dollar has already started.
Gold and silver are not only the only constitutionally recognized medium for currency, they are commodities that do not depend on politicians or the rich for its worth.
The poor Tunisian man who is credited for starting the Arab uprisings is quoted by his brother as saying shortly before that, “The poor have a right to buy and sell, too!” Authorities had shut down his street vending. You know, regulations.
For monopolies to be real monopolies, they have to be enforced by government.
Ending fiat currency and letting people use whatever they please, or at least gold and silver instead, removes the power of the rich and powerful to use the stealth tax (and stealth theft) of inflation to pull the reverse Robin Hood.