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Ron Paul Asks Of The Fed: "When Will This Madness Stop?"

Tyler Durden's picture




 

Submitted by Ron Paul of The Ron Paul Institute,

Last week, Federal Reserve Chairman Janet Yellen testified before Congress for the first time since replacing Ben Bernanke at the beginning of the month. Her testimony confirmed what many of us suspected, that interventionist Keynesian policies at the Federal Reserve are well-entrenched and far from over. Mrs. Yellen practically bent over backwards to reassure Wall Street that the Fed would continue its accommodative monetary policy well into any new economic recovery. The same monetary policy that got us into this mess will remain in place until the next crisis hits.
 
Isn't it amazing that the same people who failed to see the real estate bubble developing, the same people who were so confident about economic recovery that they were talking about “green shoots” five years ago, the same people who have presided over the continued destruction of the dollar's purchasing power never suffer any repercussions for the failures they have caused? They treat the people of the United States as though we were pawns in a giant chess game, one in which they always win and we the people always lose. No matter how badly they fail, they always get a blank check to do more of the same.
 
It is about time that the power brokers in Washington paid attention to what the Austrian economists have been saying for decades. Our economic crises are caused by central bank infusions of easy money into the banking system. This easy money distorts the structure of production and results in malinvested resources, an allocation of resources into economic bubbles and away from sectors that actually serve consumers' needs. The only true solution to these burst bubbles is to allow the malinvested resources to be liquidated and put to use in other areas. Yet the Federal Reserve's solution has always been to pump more money and credit into the financial system in order to keep the boom period going, and Mrs. Yellen's proposals are no exception.
 
Every time the Fed engages in this loose monetary policy, it just sows the seeds for the next crisis, making the next crash even worse. Look at charts of the federal funds rate to see how the Fed has had to lower interest rates further and longer with each successive crisis. From six percent, to three percent, to one percent, and now the Fed is at zero. Some Keynesian economists have even urged central banks to drop interest rates below zero, which would mean charging people to keep money in bank accounts.
 
Chairman Yellen understands how ludicrous negative interest rates are, and she said as much in her question and answer period last week. But that zero lower rate means the Fed has had to resort to unusual and extraordinary measures: quantitative easing. As a result, the Fed now sits on a balance sheet equivalent to nearly 25 percent of US GDP, and is committing to continuing to purchase tens of billions more dollars of assets each month.
 
When will this madness stop? Sound economic growth is based on savings and investment, deferring consumption today in order to consume more in the future. Everything the Fed is doing is exactly the opposite, engaging in short-sighted policies in an attempt to spur consumption today, which will lead to a depletion of capital, a crippling of the economy, and the impoverishment of future generations. We owe it not only to ourselves, but to our children and our grandchildren, to rein in the Federal Reserve and end once and for all its misguided and destructive monetary policy.

 

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Tue, 02/18/2014 - 10:32 | 4447789 The_Ungrateful_Yid
The_Ungrateful_Yid's picture

It will stop when the NWO wants it to.

Tue, 02/18/2014 - 10:42 | 4447822 BLOTTO
BLOTTO's picture

Ron Paul Asks Of The Fed: "When Will This Madness Stop?"

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Why didnt RP ask, err SCREAM out, those type of questions when he was on stage, with cameras rolling and nation watching during the REP election process?

Tue, 02/18/2014 - 11:00 | 4447870 Looney
Looney's picture

... and end once and for all its misguided and destructive monetary POLICY.

It is not the Fed's policy being distructive, it is the Fed's EXISTENCE destroying what's left of the Land of the Free. I think? ;-)

Looney

Tue, 02/18/2014 - 14:09 | 4448835 LMAOLORI
LMAOLORI's picture

 

 

The Fed's power lies in the hands of Congress who could abolish it. They won't because of the power it brings to them and this is especially true since we were taken off the gold standard since they have no constrictions on spending. This may be an unpopular opinion but I think the politicians are even more evil than the Fed for this reason. 

Tue, 02/18/2014 - 14:12 | 4448852 kralizec
kralizec's picture

It will only end when the blood letting has run its full course.

Tue, 02/18/2014 - 14:44 | 4449013 boogerbently
boogerbently's picture

We could elect RP tomorrow, and he would be surrounded by 500+ "public servants" trying to thwart his efforts.

Tue, 02/18/2014 - 16:10 | 4449382 LMAOLORI
LMAOLORI's picture

 

 

Boy isn't that the truth (though full disclosure I would have voted for him had I been given the chance)

Tue, 02/18/2014 - 11:16 | 4447971 lordylord
lordylord's picture

For anyone willing to listen, his voice sounded like a hollar.  For the ignorant, his voice was a muted gasp. 

Tue, 02/18/2014 - 11:26 | 4448009 BLOTTO
BLOTTO's picture

Anyone with .REP or .DEM is ruled by the same shit. The end.

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Or does the recent 200 years of horseshit not enough of a proof? He didnt even run for independent...

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RP is a fellow brethren of the craft - thats why he is allowed to speak on tv.

 

Tue, 02/18/2014 - 11:26 | 4448022 lordylord
lordylord's picture

Allowed to speak on TV?  He was IGNORED during the 2012 election.  They wouldn't even say his name at the GOP convention.  Are you ignorant, or just a statist scum?  Every time his name is mentioned on TV, it is in ridicule.  He ran as a republican because that is the only way to be in the conversation at all.  He is closer to a libertarian and he loves the Constitution.  Just look at his recored.  You are a piece of shit to mix his name in with the rest of the dems and RINOs.

Tue, 02/18/2014 - 11:33 | 4448049 jcaz
jcaz's picture

Ron Paul-  TRUE American hero.

Tue, 02/18/2014 - 11:40 | 4448083 BLOTTO
BLOTTO's picture

I am a piece of shit eh? thanks.

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Why - Because im suspicious? 

Because im skeptical?

I mean - look at the fuckin state of affairs? Ive been on this planet long enough to know that we are being fuckin lied to every fucking day with no change... NO FUCKIN CHANGE. He is a brethren of the craft - do you understand?

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I have the right to scrutinize and be suspicious all those mofo's. You guys can keep licking his nuts - at least we have the bases covered...ill be that 1.

Tue, 02/18/2014 - 13:01 | 4448514 wahrheit
wahrheit's picture

So what if he's a freemason?  The way you word it, it sounds like he's been boinking model beta kittens a la Eyes Wide Shut.  There are lots of low-level freemasons who have no idea what sort of silliness they are part of, and are more the pillar of the community types.  OHHH BRETHREN OF THE CRAFT DAMN HE IS SUMMONING CTHULHU

Tue, 02/18/2014 - 13:14 | 4448573 donsluck
donsluck's picture

Blotto, you are engaging in classic messenger blaiming. If a doctor makes a mistake, does that mean all doctors are idiots? Of course not. There ARE decent politicians. To think otherwise is to miss the nuances in life and resign to a black/white, rich/poor, Rep/Dem dichotomy of hopelessness.

Tue, 02/18/2014 - 13:22 | 4448610 BLOTTO
BLOTTO's picture

I understand and agree don...

However, on the global stage, they dont let decent politicians ever get close to being a threat to their agenda. Your either on their side helping with the agenda - or 'you're out'.

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'They' got to this point because they own and control both sides. How else do you control the outcome.

Or do we need another 200 years of voting to prove that nothing is changing and we are getting worse.

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I even see it on the Municipal level - the corruption of politicians and decent ones getting shunned...nevermind Provincial and then Federal (Canada).

 

Tue, 02/18/2014 - 16:17 | 4449428 NidStyles
NidStyles's picture

Fuck man, lay off the LSD-25.

Tue, 02/18/2014 - 11:40 | 4448090 sleigher
sleigher's picture
“The best way to control the opposition is to lead it ourselves.”

He does say many good things and his voting record stands, but I don't trust any of them.

Tue, 02/18/2014 - 11:57 | 4448170 BLOTTO
BLOTTO's picture

And lordylord - anyone thats been on here for less than 4 weeks - has no fucking clue what im about or any other longtime loyal ZeroHeds for that matter.

I only take insults from the regulars

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Your just a fish.

Tue, 02/18/2014 - 12:20 | 4448275 denverdolomte
denverdolomte's picture

http://www.youtube.com/watch?v=6NEoYCUkpqg - Speech in Congress about the Fed - Horrible video editing though.

 

Farewell speech to Congress :: http://www.campaignforliberty.org/national-blog/transcript-of-farewell-a...

 

"We're now in the midst of unlimited spending of the people's money, exorbitant taxation, deficits of trillions of dollars--spent on a failed welfare/warfare state; an epidemic of cronyism; unlimited supplies of paper money equated with wealth.

  A central bank that deliberately destroys the value of the currency in secrecy, without restraint, without nary a whimper. Yet, cheered on by the pseudo-capitalists of Wall Street, the military industrial complex, and Detroit." - May 19th, 2009 - Speech on House Floor

I personally feel that he did try and raise awareness to this BS but no one listened. 

Tue, 02/18/2014 - 16:18 | 4449431 NidStyles
NidStyles's picture

Who in the fuck are you? You have an old account, but I have never seen you before.

Tue, 02/18/2014 - 11:54 | 4448149 NoDebt
NoDebt's picture

Yeah, and the fact that's he's ridiculed by BOTH sides, roundly dismissed as a crackpot, should tell you something about those (currently) in power.  

They already know, deep down, he's right.  If they didn't, they wouldn't work so hard to discredit him.

They just want to ride the current money-printing gravy train until the wheels come off.  They care about THEMSELVES, not about those they serve (us).

Tue, 02/18/2014 - 13:51 | 4448594 InTheLandOfTheBlind
InTheLandOfTheBlind's picture

If one is to assume that Paul is contrived opposition then your points only serve to further that assumption in terms of building his legend and street cred with those he is to pied piper away.   Hopium is hopium whether it be a Paul or Obama.  Personally it always felt that as bright as rp is he is always playing checkers when he should be playing chess

Tue, 02/18/2014 - 14:14 | 4448867 lordylord
lordylord's picture

Are you really comparing Obama's Hope and Change to Ron Paul's message?  Wow.  That is a bit of a stretch.

Tue, 02/18/2014 - 14:27 | 4448936 InTheLandOfTheBlind
InTheLandOfTheBlind's picture

not at all... it is silliness like that which discredits your points...  i am comparing the delusion that you should put your hope into a mortal human to achieve for you what you are responsible for... i see no difference in this regard between paul supporters and obama supporters.... the messages are quite different but the means are the same

Tue, 02/18/2014 - 14:29 | 4448953 lordylord
lordylord's picture

No, the means are not the same. 

Obama's message:  Government will take care of you.

Ron Paul's message:  I will restore your liberties so that you can take care of yourself.

Hope and change was just a slogan.  Ron Paul's message was a call to action.  You don't see the difference at all.

Tue, 02/18/2014 - 14:41 | 4448969 InTheLandOfTheBlind
InTheLandOfTheBlind's picture

what do you mean different means?

those are different ends 

 

the means are through a cult of personality... .

they are the same exact fucking means....

different people but the mechanisms are analogous 

 

you seem to confuse my dislike of the means with dislike of the intention...

 

Tue, 02/18/2014 - 14:57 | 4449039 lordylord
lordylord's picture

Are you daft?  The means to Obama's end is to sit on your ass and give government all the power.  The means to Ron Paul's end is to take responsibility for yourself and to reject any growth in government power.  Sure, Ron Paul had a following, but he was a horrible speaker and women were certainly not fawning over him.  He won them over with the content of his message and NOT his personality.  Obama's message of hope and change had no substance and was taken at face value.  Obama is completely superficial.  Try not to confuse the two.   

Tue, 02/18/2014 - 16:20 | 4449438 NidStyles
NidStyles's picture

Don't feed the trolls, it only makes them braver than they ought to be.

Tue, 02/18/2014 - 20:18 | 4450291 InTheLandOfTheBlind
InTheLandOfTheBlind's picture

not trolling... what he is calling the means is an end... the ends are different but the means are the same.... man the newbies are dense. goals are not tactis... goals are ends tactics are means... 

Wed, 02/19/2014 - 00:52 | 4451482 NidStyles
NidStyles's picture

You are trolling and arguing semantics.

 

So yes, you are dense.

Tue, 02/18/2014 - 19:51 | 4450303 InTheLandOfTheBlind
InTheLandOfTheBlind's picture

so why need a ron paul or an obama?  this is what you are missing... you think i am anti paul but only because i disagree with trusting him (like blotto)... i can like the ideals but don't believe paul can accomplish them purely though acts of office... even if he got into office, history argues for him to take a pragmatic approach at the point.  ppl like blotto and i refuse to be part of the cult of personality or take part in the delusional and wishfull thinking that is associate with belief that any human is your savior

Tue, 02/18/2014 - 11:48 | 4448125 Greenskeeper_Carl
Greenskeeper_Carl's picture

you can see hundreds of videos of him doing just that on youtube, dumbass. try looking before you say things like that. and as for him getting censored or being allowed on tv, here is a nice compellation of him just being ignored by the media. obviously it worked on you, since here you are spouting this kind of ignorance

 

http://www.youtube.com/watch?v=o_WBo4sfmi4

Tue, 02/18/2014 - 12:50 | 4448446 BLOTTO
BLOTTO's picture

Yea, love the vids...I just seen a great one of RAND Paul endorsing Mitt Romney...

http://www.youtube.com/watch?v=drXbQyfkEUs

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Good things its not - 'like father like son.'

Hey, all im saying is that nothing appears as it seems these days...lets debate and discuss - attacking the messenger is useless.

Tue, 02/18/2014 - 13:15 | 4448566 BLOTTO
BLOTTO's picture

Info for consideration...my fellow ZeroHeds.

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Whats Ron Paul's stance on 9/11?

=

Why are we taking precious military and intelligence resources away from tracking down those who did attack the United Statesand who may again attack the United Statesand using them to invade countries that have not attacked the United States? 22. (Ron Paul Speaks, fn. 22 Ron Paul, "Questions That Won’t Be Asked About Iraq," U.S. House of Representatives, Sept. 10, 2002.)

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Therefore, he does not think its an inside job...he thinks its Al-Qaeda or whatever.

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http://watch.pair.com/synarchy-6.html

Tue, 02/18/2014 - 14:30 | 4448858 lordylord
lordylord's picture

Hi Blotto.  Here is my rebuttal to all of your comments:

 

"I am a piece of shit eh? thanks. Why - Because im suspicious?"

You are a piece of shit becuase you are misrepresenting Paul and you are accusing him of being part of the Red-Blue team when his record speaks to the contrary.  You can be suspecicious, but I would suggest keeping opinions to yourself until you do more research and can back them up.

"However, on the global stage, they dont let decent politicians ever get close to being a threat to their agenda."

Ron Paul was never much of a threat.  His MESSAGE is a big threat even today. 

"And lordylord - anyone thats been on here for less than 4 weeks - has no fucking clue what im about or any other longtime loyal ZeroHeds for that matter."

Facts are facts and your bullshit is bullshit.  I don't care if am only a member for a day.  I called you out on your comment posted today.  I don't need your history.

"Yea, love the vids...I just seen a great one of RAND Paul endorsing Mitt Romney..."

Rand Paul and Ron Paul are two different people.  We were talking about Ron.  Confused?

"Whats Ron Paul's stance on 9/11?"

What happened on 9/11 and what can be proven are two different things.  Should Ron Paul be screaming "inside job" or should he bring attention to the US Foreign Policy?  I think the latter is more productive.  Let someone else prove 9/11 was an inside job.

Tue, 02/18/2014 - 15:22 | 4449157 BLOTTO
BLOTTO's picture

"Yea, love the vids...I just seen a great one of RAND Paul endorsing Mitt Romney..."

Rand Paul and Ron Paul are two different people.  We were talking about Ron.  Confused?

"Whats Ron Paul's stance on 9/11?"

What happened on 9/11 and what can be proven are two different things.  Should Ron Paul be screaming "inside job" or should he bring attention to the US Foreign Policy?  I think the latter is more productive.  Let someone else prove 9/11 was an inside job.

Let someone else prove 9/11 was an inside job.

Let someone else prove 9/11 was an inside job.

Let someone else prove 9/11 was an inside job.

.

.

.

 

What does that have to do with what Ron Paul said in HIS BOOK regarding 9/11? 'Let someone else prove...' has nothing to do with the most important point - HE THINKS IT WAS NOT AN INSIDE JOB.

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.

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Now, go back to bed...and follow your own advice regarding research so you wont get fooled again...

Tue, 02/18/2014 - 15:38 | 4449234 lordylord
lordylord's picture

Can you please show me the conclusive evidence that 9/11 was an inside job.   The book was about US foreign policy.  Not 9/11.  I'm sorry that facts and reality are getting in your way today.  I also noticed that nothing in your incoherant response rebutted anything I said.

Tue, 02/18/2014 - 15:33 | 4449236 Greenskeeper_Carl
Greenskeeper_Carl's picture

let me preface this by saying this is pure speculation on my part, but I think he probably keeps his mouth shut about that becuase that would be all that is needed to turn a huge segment of the population that would be willing to listen to his message against him, and make them think of him as a crackpot. That is already the main way mainstream media and politicians use to descredit him. Every single true statement and good point made would be answered with "ya but he thinks the govt was responsble for 9/11, so any talk of ending the fed is the talk of wing nut conspiracy theorists" 9/11 stuff would just move the topic off his main message- sound money, freedom, etc. and RON and RAND are two very different people. I personally wish ron would take his boy out behind the wood shed and beat some liberty into him, but oh well.

Tue, 02/18/2014 - 15:37 | 4449250 lordylord
lordylord's picture

Now this is a rational response.  Blotto, take note.

Tue, 02/18/2014 - 16:06 | 4449360 Golden Rule
Golden Rule's picture

If you want some very eye opening information on the Fed please read Eustace Mullins' "Secrets of the Fed".  Mullins was undoubtedly the authority on the shadowy organization and his 40+ year research and documentation shows it.  It dispels a ton of myths and gives a clear picture of who is who. In fact it is the only book ever burned in Germany since WWII. A protégé of Ezra Pound and a colleague of George Stimpson it's defiantly worth a look. http://www.barefootsworld.net/fedsecrets_00.html

Tue, 02/18/2014 - 10:34 | 4447794 Headbanger
Headbanger's picture

Fedtards don't stop until they hit the street below!

Tue, 02/18/2014 - 10:51 | 4447859 tradebot
tradebot's picture

FUBARB

Tue, 02/18/2014 - 10:37 | 4447803 LawsofPhysics
LawsofPhysics's picture

When?  That's easy, when it's their name on the title to every single physical asset and resource on the planet.  The robber barrons have always been here, we simply need to keep culling their numbers from time to time...

same as it ever was.

Tue, 02/18/2014 - 11:14 | 4447961 tarsubil
tarsubil's picture

That is their goal but they will never accomplish it. I feel that, sooner or later, their failure will be realized and they are going to find jumping off the roof to be the best option for themselves.

Live by the suicided, die by the suicide.

Tue, 02/18/2014 - 11:23 | 4448002 Debt-Is-Not-Money
Debt-Is-Not-Money's picture

Next they will be placing air mattresses around all JPM buildings?

Tue, 02/18/2014 - 11:27 | 4448023 Unknown User
Unknown User's picture

And then what?  They still have to expend debt exponentially.

Tue, 02/18/2014 - 12:11 | 4448230 LawsofPhysics
LawsofPhysics's picture

Bullshit, that which cannot be sustained, won't be, period.  And then what?  Well, for starters people will have to actually start working for a living again (not simply pushing bullshit pieces of paper around).

Tue, 02/18/2014 - 12:39 | 4448383 Shitonya Serfs
Shitonya Serfs's picture

Aggreed.

"No matter how badly they fail, they always get a blank check to do more of the same."
They are not failing, they are succeeding in their plans. They make/write the checks.

"Yet the Federal Reserve's solution has always been to pump more money and credit into the financial system in order to keep the boom period going, and Mrs. Yellen's proposals are no exception."
Of course they pump more "money" into the system. This "money" is debt we owe to them. RP knows this. If you had the privilege to print YOU-OWE-MEs, what would you do?

"Every time the Fed engages in this loose monetary policy, it just sows the seeds for the next crisis, making the next crash even worse."
The Fed owners/masters want it all. The crises are their goals.

"As a result, the Fed now sits on a balance sheet equivalent to nearly 25 percent of US GDP, and is committing to continuing to purchase tens of billions more dollars of assets each month."
It wants 100% of GDP (or more). Then they just own everything and all the people are serfs.

"Everything the Fed is doing is exactly the opposite, engaging in short-sighted policies in an attempt to spur consumption today, which will lead to a depletion of capital, a crippling of the economy, and the impoverishment of future generations."
Everything they are doing is the opposite of good for everyone but them. Their policies are only short-sighted to everyone but them. These short-sighted policies are baby steps to long-term goals. They need us to consume, so we need more money from them. The only this they care about is: the impoverishment of future generations.

This is a longwinded article to just say: the Fed wants it all and they will get it. RP should not event have used "money" is this, he should have just called it indentured servitude...but perpetual.

Tue, 02/18/2014 - 16:25 | 4449464 NidStyles
NidStyles's picture

Titles are merely pieces of paper. Posession is far more secure and makes more sense.

Tue, 02/18/2014 - 10:38 | 4447810 RSloane
RSloane's picture

RP knows better, the Fed is not going to stop because at this point it can't. Main Street has long since been sacrificed by the Fed and gov't for the sake of Wall Street. All of their eggs are in one basket.

Tue, 02/18/2014 - 10:38 | 4447812 holmes
holmes's picture

Grant me one wish and Ron Paul is President

Tue, 02/18/2014 - 11:08 | 4447928 foodstampbarry
foodstampbarry's picture

The FSA won't have it.

Tue, 02/18/2014 - 10:39 | 4447816 Greenskeeper_Carl
Greenskeeper_Carl's picture

If they stop, instant crash, with horrible consequences, with morons like schumer demanding that the fed 'get to work' and the people demanding govt 'do something' since to the brain dead sheep of America, the solution to a problem created by the fed and the govt, is more fed/gov intervention. If they keep printing, there will be a crash eventually with a rejection of the dollar, but we only care about the here and now, and our leaders only care about the next election cycle. So the easiest thing to do since we only care about short term is to keep printing.

Tue, 02/18/2014 - 10:41 | 4447824 LawsofPhysics
LawsofPhysics's picture

Hank "tanks in the streets" Paulson, is that you?

Tue, 02/18/2014 - 10:44 | 4447837 Cursive
Cursive's picture

@Greenskeeper_Carl

Yep.  TPTB passed the proverbial Rubicon in 2009.  There's no looking back, just living in downward spiral now.

Tue, 02/18/2014 - 10:48 | 4447849 LawsofPhysics
LawsofPhysics's picture

Please, it began in 1913, then was accellerated in 1971.

Tue, 02/18/2014 - 11:33 | 4447974 Drifter
Drifter's picture

and entered the end-game all-out looting phase in 2008.

It won't be long now.

Tue, 02/18/2014 - 11:04 | 4447916 pndr4495
pndr4495's picture

The descending scale of feeblemindedness is :  MORON - IMBECILE - IDIOT.  So in a way you have just paid Schumer a compliment.

Tue, 02/18/2014 - 11:28 | 4447969 RaceToTheBottom
RaceToTheBottom's picture

I wish they would reinstate QE to its previous amount, maybe increase it to 150 B/Month.

I say bring it on!  Let what is going to happen, happen

Keynesians wanted more money, give it to them. 

Stop pussying around.

Tue, 02/18/2014 - 12:18 | 4448266 Drifter
Drifter's picture

Patience grasshopper, can't kill the dollar till China has enough gold for their new gold-backed world reserve currency.

Shouldn't be much longer now.

Tue, 02/18/2014 - 10:40 | 4447818 Rising Sun
Rising Sun's picture

Yellen is a fucking cunt and we hope you burn in HELL!!!

Tue, 02/18/2014 - 10:43 | 4447829 Dollar Bill Hiccup
Dollar Bill Hiccup's picture

What more  can one say?

True dat.

And everybody knows it.

Tue, 02/18/2014 - 10:44 | 4447836 Jayda1850
Jayda1850's picture

Oh Ron Paul, how I truly miss your honesty and idealism. But this shit has been going on seemingly forever and after your 30 or so years railing about it on congressional record, even though waking up more than a few, has not even put up even the smallest of roadblocks to stop this insanity. Just in the past decade alone, we have blatantly seen how far these schemes will go to push the boundaries of surrealness, yet it continues to get worse exponetially. Kinda hard to be a lone voice in the wilderness when it seems the wilderness around you is growing faster than the speed of sound.

Tue, 02/18/2014 - 10:46 | 4447841 ptoemmes
ptoemmes's picture

I suppose this is as good a place as any to link this gem: http://nymag.com/daily/intelligencer/2014/02/i-crashed-a-wall-street-sec...

Not about the FED, but about those that benefit most from the FED.

And when you couple that with this: http://www.republicreport.org/2014/big-banks-tpp/

Well, we know who runs Barter Town.

May be worth a top-post all to itself.

 

 

Tue, 02/18/2014 - 10:50 | 4447855 Spungo
Spungo's picture

Why would we stop? Printing trillions of dollars and giving it to my friends has worked great so far.

Tue, 02/18/2014 - 10:52 | 4447860 Seasmoke
Seasmoke's picture

Perhaps Mr. Yellen should watch that Hayek video.

Tue, 02/18/2014 - 10:52 | 4447861 max2205
max2205's picture

why is my interest going to the banks Instead of me?

Tue, 02/18/2014 - 10:57 | 4447879 Seasmoke
Seasmoke's picture

Take ALL your money out .....

 

I finally had the chance to speak out in the lobby of a BOA. The bank lady tried to tell a nice old lady she should put all her savings into a CD....I stopped her right there and told her to close her accounts and put money under mattress. ......people in line were shocked. ......strangely, or perhaps not, the old lady knew the truth and was in complete agreement !!!

Tue, 02/18/2014 - 11:43 | 4448005 Drifter
Drifter's picture

"put money under mattress."

Where it becomes worthless when the dollar dies.

Great advice there genius.

Tue, 02/18/2014 - 12:22 | 4448283 Bob Golf
Bob Golf's picture

Under the mattess, in a CD, in the bank, it doesn't matter. When the dollar dies it will be worthless no matter where it is. 

Tue, 02/18/2014 - 11:35 | 4448010 lordylord
lordylord's picture

Last time I went to my bank, a manager tried to offer me a savings account.  I told her that it didn't keep up with inflation and there was no point.  She agreed and the sad look in her eyes told me she was tired of "scamming" people.

Tue, 02/18/2014 - 10:55 | 4447873 1835jackson
1835jackson's picture

Out there in the vast ignorance of the world it festers and spreads. A shadow that grows in the dark. A sleepless malice as black as the on coming wall of night. So it ever was, so will it always be. IN TIME ALL FOUL THINGS COME FORTH.

Tue, 02/18/2014 - 10:57 | 4447882 A Lunatic
A Lunatic's picture

Learn to do less with less, bitchez.......

Tue, 02/18/2014 - 11:00 | 4447894 lordylord
lordylord's picture

President Paul! 

Tue, 02/18/2014 - 11:07 | 4447921 lordylord
lordylord's picture

Big government is only possible with Keynesian economic policies and central planning.  For that reason, the madness will never stop until it falls apart spontaneously.  Governments do so much bad in comparison to any "good" they do.  If you voted for Obama or Romney, go fuck yourself.  You are just as responsible for the atrocities government commits every day.

Tue, 02/18/2014 - 14:19 | 4448902 InTheLandOfTheBlind
InTheLandOfTheBlind's picture

Not as guilty as those that take part in any form of financial transactions. .. Which is everyone.  Silly rabbit. .. you vote with your money

Tue, 02/18/2014 - 11:06 | 4447922 adr
adr's picture

Since Ron Paul is near the end of his life and no longer a factor in the government maybe he should end his life by blowing up the Fed or at least killing Janet Yellen. Being Ron Paul he might be one of the only people who can geg close enough to do it.

In fact any Senator or Congressman with enough love of this country should do the same. Wear a bomb to the chamber and kill as many of these treasonous bastards as possible.

Nothing will change until the streets of Washinton run red with central government blood.

Tue, 02/18/2014 - 11:09 | 4447936 lordylord
lordylord's picture

Ron Paul has too much respect for the life of others to do that.  He would be just as bad os Bush or Obummer.  The ends do not justify the means.  

Tue, 02/18/2014 - 11:27 | 4448025 falak pema
falak pema's picture

the ends ... we have two dangling and the means in between. 

Why do we print when we can imprint ways and means on hungry flesherine like a light socket illuminating its bulbous vulverine incandescence? 

Its such a mystery. When you think our current hedonistic age has resulted in such female rage that in some countries the gates of heaven are permanently closed until hell freezes (or boils) over. 

I think that Ron would second that; he sounds like a reasonable fellow prepared to be unreasonable only about light sockets. 

Yes, please stop that printing madness that leads to much worldwide sadness, as its total, unmitigated badassness. 

Tue, 02/18/2014 - 14:30 | 4448963 InTheLandOfTheBlind
InTheLandOfTheBlind's picture

there you go again testifying to the moral character of paul as if it is known fact and the you share minds and hearts with the man....  to clarify, the message paul has had is not the issue but by making this into an issue of moral character then you are just reenforcing the same cult of personality bs that has surrounded obama and other galvanizing figures selected to spearhead social trends

Tue, 02/18/2014 - 11:10 | 4447939 Tinky
Tinky's picture

Seriously – that's not a smart thing to advocate on a public forum like this. Certainly risky for you, unless you are well hidden (in the IP sense).

Tue, 02/18/2014 - 13:22 | 4448601 donsluck
donsluck's picture

Falak's comment clearly condones terrorism. It is a good illustration of the source of terrorism: injustice and frustration.

Tue, 02/18/2014 - 11:13 | 4447954 IridiumRebel
IridiumRebel's picture

They'd re-set up shop elsewhere with new fuckers. 

Tue, 02/18/2014 - 11:15 | 4447968 A Lunatic
A Lunatic's picture

Be sure to let us know how the body cavity search goes this afternoon.....

Tue, 02/18/2014 - 11:11 | 4447942 Drifter
Drifter's picture

Seems even Ron Paul can't recognize a well-planned looting spree.

Tue, 02/18/2014 - 11:12 | 4447953 NoWayJose
NoWayJose's picture

The media, fellow Republicans, and a few of his own comments have turned the perception of Ron Paul into a 'kook'.  Had he stayed in Congress he would still have had some real power within the committees, but now that he is outside of Congress his message will only be reaching his followers.  The liberal media certainly is not going to interview him or run any stories where he is quoted.  Our best hope is that we get a Republican sweep in 2016 and can appoint Ron Paul as chairman of the Federal Reserve -- to oversee it's audit and dismantling...

Tue, 02/18/2014 - 11:42 | 4448100 Fix-ItSilly
Fix-ItSilly's picture

Ron Paul quit when he finally gained control of a power lever. When do real Americans promote a quitter?

Unfortunately, Paul needs time to redeem himself and repair the defect that led to his quitting. Until we find out why he quit, he is not suited to lead anything.

Tue, 02/18/2014 - 13:32 | 4448665 Emergency Ward
Emergency Ward's picture

Leave the leadership to the certified, proven psychopaths and criticize Ron Paul for not being one of them?

Tue, 02/18/2014 - 13:42 | 4448726 Fix-ItSilly
Fix-ItSilly's picture

Why do you refuse to recognize that he quit at the point he was given leverage to achieve his passionate goals? There is a disconnect in this that you should not ignore.

Tue, 02/18/2014 - 16:11 | 4449364 Emergency Ward
Emergency Ward's picture

Ron Paul "disconnected" himself.  Sometimes it shows more integrity to walk out than to allow political enemies make a martyr of you.  The powers of both Parties were arrayed against him.  And he is old.  (Yes, it would be nice if Ron were a young loud-mouth firebrand at the beginning of his career, but he's not -- and I'm not pinning much hope on his son.)

Tue, 02/18/2014 - 14:01 | 4448804 Fix-ItSilly
Fix-ItSilly's picture

Why do ignore that Paul quit when he was at a point that he could actually make an impact? That is nothing to
respect, nor is quitting an act to ass/u/me better things will come of the person in the future.

Tue, 02/18/2014 - 11:57 | 4448169 GoldenDragon
GoldenDragon's picture

You must be high if you think the Rep establishment would ever appoint Ron Paul to anything.

They wouldn't even give him commitee chair that we was due.

If you think a Replublican electoral victory will change anything, you have not been paying attention.  When that so-called "small government" party took the House a few years ago, their first order of business was to pass the largest budget in the history of the world.  And, now they've submitted to eliinating the debt ceiling.  Budget deficits will continue grow and the Fed is just about the only buyer left.

So, at every turn where the Republicans could have held this check, they have failed to do so.

Your faith is misplaced.

 

Tue, 02/18/2014 - 11:12 | 4447955 Fix-ItSilly
Fix-ItSilly's picture

Sadly, I find it amazing, and disheartening, that after hearing Ron Paul rail against the Fed for years, when he finally headed up a House committee to do something about it he quit.

He quit.

Now he goes back to talking when he could have been doing?

Why should we listen?

Tue, 02/18/2014 - 11:43 | 4448068 Everybodys All ...
Everybodys All American's picture

I tend to agree though you know this is an unpopular opinion. I watched many of the meetings with Bernanke and though he certainly made it known his opposition, he also demonstrated his weakness by not demanding Bernanke stop printing. I would have had a hard time not wanting to beat Bernanke over the head with a baseball bat for instance and Ron was not going there.

Tue, 02/18/2014 - 12:00 | 4448180 Fix-ItSilly
Fix-ItSilly's picture

Quitting is a character defect. Even more so Paul is supposedly so passionate on the subject that he quits when he finally achieved prominence and leadership of a committee for him to do something.

Yes, mine is an unpopular position on this website, but should it be? First and foremost we should show respect
for those that have the American backbone and will to achieve - not to those that are idealistic talkers who are quitters.

Tue, 02/18/2014 - 12:07 | 4448214 GoldenDragon
GoldenDragon's picture

There wasn't much he could do. First off, he did not chair the FS committee, he chaired a sub-committee that dealt that did not deal directly with the totality of monetary policy.

He had no authority to demand the Fed stop printing.  No member of Congress does and only the repeal of the Fed Res Act would put the power back in Congress' hands.

The best he could do was draw attention to the issues, which of course was never adequately covered by the press.

He is just a man and not a superhero.  However, he's done a lot more to address this issue then post on ZeroHedge, which is probably the extent of your efforts.

Tue, 02/18/2014 - 12:42 | 4448398 Fix-ItSilly
Fix-ItSilly's picture

here come the excuses. Yet... Paul could have given it a try when finally given some levers to pull. Instead he quit, and you provide excuses.

Tue, 02/18/2014 - 13:54 | 4448774 GoldenDragon
GoldenDragon's picture

No excuses.  He had no lever.

What do you think he should have done, that he could have done?  Baseball bats, notwithstanding.

Tue, 02/18/2014 - 19:16 | 4450174 Everybodys All ...
Everybodys All American's picture

If the Fed is truly as harmful to Americans as we both contend then he obviously came up short in his opposition. Yes I would have threatened Bernanke if I was in  his position. Take it to the bank.

Tue, 02/18/2014 - 21:14 | 4450747 GoldenDragon
GoldenDragon's picture

Threatend him with what?  Another subpoena? or just a lot of tough talk.  In either case, the money printing will continue.

In fact, maybe the better strategy is not to offer a solution, but to make sure everyone sees who's fault this really is.  The outcome is inevitibale and a congress full of Ron Pauls probably couldn't stop it.  But you can be sure that if he was in charge when the SHTF, liberatarian and free market ideas would take the wrap.

I say if the ship is going to crash let the oligarchs who caused it be at the helm, and make sure everyone knows.

Tue, 02/18/2014 - 11:22 | 4447996 Duc888
Duc888's picture

 

 

 

Gee, ask a private banking cartel to stop empowering the private banks?

 

yea, that'll work.

Tue, 02/18/2014 - 11:25 | 4448015 TuPhat
TuPhat's picture

This is not madness.  This has been the plan all along.  A hundred years of success by the Fed.  A hundred years of ever increasing poverty for the masses.  They don't want to stop.

Tue, 02/18/2014 - 12:35 | 4448361 JR
JR's picture

That was pre-ZH.

The media’s 100 years of the crescendoing Greenspan maestro image of the Fed is dead; the Fed's reputation is “pushing up the daisies,” buried alongside US 666, the economic highway to Hell strewn with slides of derivative rubble, busted dotcom, equity, and housing boulders, and impoverished savers begging for a handout.

In case you’ve forgotten, here’s the way it was back in 2003 at the height of Greenspan’s maestro fame – before the Fed's denouement.

Pop! Goes the Housing: That's the Way the Money Goes

 - a parody by Sandy Hanna

I'm riding on a bubble--a housing bubble!  Every day it gets bigger, and thinner.

Alan Greenspan--(he's my Daddy Warbucks!)--makes bubbles and lets me ride them:  Bond bubbles, stock bubbles, housing bubbles and dollar bubbles.

"Whee-e-e-e!!!  Isn't this fun, kid?" pants Daddy, as he pushes down hard on the interest rate and pumps up the money supply bigger and bigger, and the housing bubble gets thinner, and thinner.

I'm a little scared, but Daddy says just to hold on "cause this bubble's gonna be the biggest of them all. "When this one pops, he says, it could pop those homeowners right off their sofas, right into the streets.  Thousands of 'em!

"But, Daddy," I say...

"Shut up, kid," Daddy says, "you don't know what's best and, anyway, it's nothing personal (Daddy works for the big bankers)."

Daddy is famous for bubbles.  One blew up the stock market and all the 401(k)s in it and scattered trillions to the winds!  Just three years ago. Another, a "smart" bubble, blew out the value of the dollar and wiped out lots of dusty old things like stingy old ladies' savings accounts and put the profits in the accounts of the bankers who help people.

Big bankers love Daddy (Daddy calls them "The Buckaneers").  They call him "Captain Finance"--after Captain America!  Cause Daddy makes them rich.  

My daddy operates the big bankers’ money machine.  They call it “The System” (you know, for Federal Reserve System)!  It makes money!  Out of air!  And it destroys money.  With a big suck!  It's a big secret how Daddy does it, and he says not to talk cause what he does is unconstitooshunal. He won’t even tell people like Congressman Ron Paul who keeps trying to find out!

This makes Dr. Paul upset cause he thinks the free market, not Daddy, should set money and interest rates, and wages and prices.  He says the money machine Daddy operates doesn’t work!  And that we’ll all be poorer!  Because the dollar is declining!   Ohhh!  How silly.  Why Daddy will just make more of them!!

I guess Dr. Paul agrees with St. Thomas Aquinas who said (I copied his words right out of a book) that money was invented for the convenience of serving as a common exchange measure of things saleable.  And that, as a common measure, it ought to be stable.

Oh, does that make Daddy mad!!!  I think if he had a bubble handy, and that man came back to earth, Daddy would pop him.

(Oh!  Did I see a bond bubble?)

What would Daddy do if he couldn’t make bubbles?  When Daddy changes the value of money, he likes to watch the rate go up and go down, the supply blow plenty and blow scarce.  Stable dollars aren’t fun!!  And every time money fluctuates, The Buckaneers can make money! cause they know stuff nobody else knows, like, well, when bubbles will blow.  Some sillies call Daddy’s work “manipulation”—the dangerous power to create economic stress, control the money options, and suck people into risk.  Well, I ask, what is a money machine for?

The key that operates the money machine’s power is in (Shhhh!)…the Monopoly!!  I peeked.  Daddy just pushes a button that makes book money, trillions--out of nothing!  It’s magic money called Fed Fiat—and it’s elastic so it can expand and contract and boom and bust!  The big bankers loan it out and it collects interest and commissions for them. Gobs!!! They call it “Assets.”

I wish I had a System. I would make a loan.  Maybe a little one, to a little country. Then I would collect millions of dollars, every year, in interest.  And if the little country couldn’t pay me some day, well, Congress would bail us out.  And I would be a Buckaneer!

Lots of people are afraid of The System cause it eliminates things, like Competition, and it operates without any balances or checkups from Congress!  At practically no cost or risk to The Buckaneers, Daddy whispers.  Wow! 

Congress was too busy back in 1913 and still is, I guess, to "coin and regulate the value" of people’s money by weighing and measuring it like the Constitooshun said. So The Buckeneers got the job.

Democracy can be messy! Daddy says.  Congressmen get nervous when people start protesting in the street or calling all the time for them to fix this! or ask that! about their lost 401(k)s, wrecked pensions, devalued savings, soaring property taxes, lost jobs, lost equity . . .  So Daddy tells the Congressmen he’ll do it for them… Of course he doesn't take calls, silly!

Congress really loves Daddy.  They give him standing ovations, and passionate “Hurrahs!”  He buys and sells national debt for them in the outdoor market.  “The sky's my limit," Daddy chuckles.  Isn't he cheeky?  Then he floods the market with more Fed fiat, and, ooh la la, a hidden taxman, Mr. Inflation, pays the debt from the people’s purses. 

Daddy can talk smart, too, even if he does talk kinda funny when he's in Congress, like, well, saying that the housing market has not swelled into a bubble (Daddy is always modest) because when it pops, the result won't be a "negative" for the economy but the disappearance of a "positive."

When Congress put The Buckaneers in charge of the System in 1913 (Congress can really be nice), Mr. Paul Warburg came all the way from his banking house in Germany just to help design it.  Now The Buckaneers are richer than all the kings—of the Whole World!  They are Global Monarchs (not butterflies, silly) who can make or break corporations and governments around the globe.

When The Buckaneers favor you, Daddy says, you get big rewards:  Loans for a war, for pipelines, for corporate takeovers and monopolies that push out stupid little businesses for nice big Home Depots, billion dollar contracts like Bechtel's, world-size media chains. . . and sealing wax and all sorts of things. They can even pick the President. . .

"Look out, Daddy!!  I think...  Oh, Daddy…Daddy…Daddy. . .

"This is going to hurt."

Tue, 02/18/2014 - 11:41 | 4448091 sfisher
sfisher's picture

The answer is not that complicated.  The US defaults on treasuries held by the Fed (privately owned institution creating money from nothing) and begins to issue its own currency (rather than borrowing it into existence). 

That would go a long way in the right direction!

Tue, 02/18/2014 - 12:01 | 4448187 yrbmegr
yrbmegr's picture

It will stop later this year and rates will start rising next year.  Everybody knows that by now.  Except Ron Paul, apparently.

Tue, 02/18/2014 - 12:06 | 4448209 Racer
Racer's picture

And going by this survey the US sheeple are too dumb to care

2h

A recent survey revealed that 26% of Americans believe that the Sun revolves around the Earth."

Tue, 02/18/2014 - 12:10 | 4448211 Metal Minded
Metal Minded's picture

For all those many, mad bitcoin loving ZH regulars, there is a RonPaulCoin(RPC) cryptocurrency. Watch the Ron Paul interview on the RonPaulCoin website:

http://www.ronpaulcoin.com

RPC trades at:

Coinedup.com - The first RonPaulCoin exchange

Cryptsy.com


Tue, 02/18/2014 - 12:33 | 4448325 dadichris
dadichris's picture

Exponential growth of debt is imperative under the global monetary system.  There must be massive public borrowing in the absence of sufficient private borrowing.  The debt must go on.  After all, how can the interest on all this debt be paid unless that money is borrowed into existence?

Tue, 02/18/2014 - 12:32 | 4448338 q99x2
q99x2's picture

They are like pedophiles. They can't stop until they are placed behind bars.

Tue, 02/18/2014 - 12:35 | 4448356 Debt Slave
Debt Slave's picture

The only way to get rid of the Fed is to short the dollar. Most people aren't willing to do that hence the Fed remains.

Tue, 02/18/2014 - 13:26 | 4448630 10mm
10mm's picture

Ron needs to move on, plant tomatoes,go fishing etc. Unless he lies, they won't listen.

Tue, 02/18/2014 - 13:50 | 4448702 MagicMoney
MagicMoney's picture

The Federal Reserve doesn't want a recession, or a depression, so it needs to squandor more capital for short term gains in economic "growth indexes", such as GDP. Starve lenders, and encourage them to pursue much more risk. Essentially turning the economy into a gambling ring. Try to get consumers more indebted trading future consumption for present consumption with consumer credit This is the type of economy we have today, and had for many years. It's no coincidence that interest rates have been on the path of decline for decades. We are zero percent, and can't go any lower. If we go higher than 0 percent, like 3 percent on the Federal Funds, the economy will return to a recession. The Federal Reserve is hoping that that a economy that depends on cheap money can somehow survive, and thrive when cheap money is removed.

 

When one conceeds that recessions should be avoided at all costs, then you must conceed inevitably in my view, that you must continue with more, and more, and more, and more stimulus to prevent recessions, this includes bailouts. The implications of this are quite clear, easier money begots easier money, because a recession is something we should all avoid at all costs. A recession is a correction, however painful to economic imbalances in the Austrian view.

Tue, 02/18/2014 - 13:56 | 4448778 LawsofPhysics
LawsofPhysics's picture

"When one conceeds that recessions should be avoided at all costs," then one is accepting that outright FRAUD is acceptable...

 

FIXED

Tue, 02/18/2014 - 14:54 | 4448980 JR
JR's picture

The shop teacher in our high school used to demonstrate the danger of the plunge router by a fictional account of a student who tried to hold the blade of the router and turn it on to impress his friends.

It worked, in fiction, except to release it in reality would have destroyed his fingers.

But Ms.Yellen’s hand on the blade of destruction is not fictional.

Unless Ms. Yellen solves the Fed’s problem of the destruction of the purchasing power of sound money and stops immediately the confiscation and transfer of the wealth of the nation to a banking cartel that cannot produce value, the economy is going to self destruct.

The American people, through educators such as yourself and the Tyler Durdens, are awakening to the realization that when economic freedom is destroyed, so is political freedom. The media's aim is to divert the public's attention to fake two-party partisanship while the takeover of America’s financial centerand the nation by private bankers continues.

In 1943, just before the United Kingdom’s pound sterling lost its status as the world’s reserve currency, a body of influential citizens pleaded for monetary reform; their objective was an honest National Money System  for England with the prerogative over the issue of money by the “community of each nation.”

The letter, signed by 32 prominent spokesmen in Great Britain, concluded:

“The issue and destruction of money by the money-lenders is not a service, but a weapon which can be and has been used to perpetuate poverty amidst abundance, which renders individuals and nations powerless to protect themselves, and which may even be perverted to serve vast designs for the complete subjugation of the human race to tyranny, exploitation and the powers of darkness and evil.”

As unemployment continues to plague our nation, Ron Paul explains:

“The Fed is not a small business or a manufacturer that creates value or increases productivity to sustain real job growth.  It literally destroys value by printing more money, and distributing it through sweetheart deals to well connected banks and investment houses to prevent them from going bankrupt as they should.  Instead, they survive to malinvest another day while their executives enjoy jackpot bonuses.”

America is paralleling the UK’s demise as the bankers finalize their approach to world government. It’s a path to destruction perpetrated by a flawed economic system.

Fortunately, it is going to blow up in the hands of the perpetrators, i.e., the bankers.

Tue, 02/18/2014 - 13:58 | 4448788 LordAarioc
LordAarioc's picture

I bet Yellen Doubles Down on Printing Funny Money out of Thin Air and she goes to $160 Billion a month. Any takers on the bet ?

Tue, 02/18/2014 - 14:01 | 4448802 bcecil
bcecil's picture

"Sound economic growth is based on savings and investment"

whoops .....forgot the most important one WORK

Tue, 02/18/2014 - 15:56 | 4449327 messystateofaffairs
messystateofaffairs's picture

Ron Paul stops short of saying this is for Israelis benefit and that CONgress are traitors paid to throw America under the bus. Not politically correct to say that even if it is the core problem.

Tue, 02/18/2014 - 17:57 | 4449892 DetectiveStern
DetectiveStern's picture

Even as a Brit I like Ron Paul. No nonsense kinda guy.

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