T Nation

End the Fed


#1

So Ron Paul's book, "End The Fed" is out and it seems to be getting some good press:

In light of HR1207 to audit the Fed we all know his ultimate goal is to end it. This is a great first step and his book should help educate many people about the insidiousness of politically motivated inflation which should help give the idea of sound money more traction.

Has the Creature finally met its match or is what we are seeing just a typical tactic by the media to give a "wacko" a soapbox from which to discredit himself?

Are there any members (liberal or otherwise) in the PWI forums who's opinion has been swayed in the last few years since we first saw him in the debates lambasting the Fed?


#2

I'm reading it right now. So far it's been very eye opening and a bit scary.


#3

I don't think he has changed my opinion, but other people who hold to Austrian economic theory have. I think the Fed needs to be abolished also. It's clear that it's nothing more than a bubble machine that can only magnify what's already going on with their blunt tools. This time around, they've set the interest rates to almost zero and they've still not managed to get any money into the economy - it's all piling up in the banks in anticipation of future losses.


#4

This is an excellent point. The ideas are what matter here not the messenger; even Paul has stated that he felt illequipped as a the messenger compared to some of the actual scholars within the movement.


#5

I don't know. I'm not a smart man, and those really smart Economists sometimes seem to disagree alot, even having entirely different philosophies (Classical, Keynesian, Austrian, New Classical, New Keynesian, Chicago School, etc., et.,) on how the economy works. This topic, ending the Fed, is above my pay grade.


#6

And this is the opinion the overlords want the general public to have. It makes their job easier in that they don't have to be in the public eye defending their actions:

"Don't you worry your simple little head about this. We only have your best interests at heart."


#7

Man's gotta know his limitations. For every fella that throws out facts, economic principles, charts, formulas, powerpoints, videos, and wonky jargon, I see a fella from the opposing view doing the same.


#8

The first clue that the wool is being pulled over your eyes is the use of "wonky jargon". Economics is first and foremost a logical discipline. It is rooted in human action. Its principles can be explained in plain language and require no charts, formulas, etc. In fact any such devises totally misses the point of economics -- to explain the consequences of humans making choices with regard to scarcity. No formula can do this and none exist.

http://mises.org/books/econforrealpeople.pdf

Edit -- corrected link to pdf


#9

It is really about some epistemological assumptions about what economics is and how to go about an economic science.

Are there economic "laws" or not.

Do they apply to everyone, everywhere or not.

Do we state "laws" and than try to disprove them or do we have some basic assumptions and deduct our reasoning from there.

I think you could know at least so much as to know whether the claims some Keynesian make can even be made or not. If they claim fore example that they know what the interest rate should be, ask yourself, why? They do not know the price for tomatoes but they do know the price for the use of money?

You could also know that everyone claiming to be a "heterodox" economist is very likely to use ideas that have premises that directly contradict each other, i.e. they are full of shit.


#10

I used to like communism because of what I heard it was from other people and my parents.
A couple years ago I decided that "social liberalism" was all debauchery and I supported the war and interventionism.
After listening to Peter Schiff and actually reading Mises, Marx, Bastiat, etc... I've come to the conclusions mostly aligned with classical liberalism and Austrian economics.
I've added my own ideas about an overarching theme of creative-destruction though.


#11

Rock on, end the fed! BTW your dp is amazing haha!!


#12

The Fed is too powerful. There is about as much chance of ending it as Jesus walking down the street and blessing you.


#13

According to Christians, that has already happened once, so are you saying it's possible? "What like one in a thousand? More like one in a million...... Sooooo you're telling me theres a chance!"

V


#14

Hahaha! Now that's funny...


#15

Public opinion could crush the Fed.

What happens when the world will no longer accept their dollars? They would cease to be powerful. So, I guess what I am saying is I reject your claim.


#16

What is dp?


#17

I know it as double penetration. Apparently you've got some good dp going on.


#18

Which scares me because only my closest friends know about my awesome technique...

Rocco is that you!?