Friday, September 19, 2008

Fed Pulls Money Out of Thin Air

Yesterday, Congressman Ron Paul (R) of Texas warned against the impending financial doom facing the nation. In an address hammering the nation's fiat currency based on debt, Paul slammed the Federal Reserve and the US Congress for their nationalization of the mortgage industry and clueless understanding of the current crisis.

Claiming that "we are in the middle of something very big," Paul warns against the secrecy behind the recent takeovers of Freddie, Fannie, and AIG. In a scheme where there is no congressional oversight and a deliberately destructive policy toward the US dollar, Dr. Ron Paul fears that further printing of greenbacks out of thin air will cause higher inflation and ultimately hurt the average American citizen.

Paul went on to say,

“The reason this is so important is that if you care about people in a humanitarian sense, what you want to do is protect the value of the money. Just think of the third world nations when they have total run away inflation, the middle class gets wiped out. And what we are seeing today is the middle class being jeopardized by this type of system that we have, unlimited spending, unlimited debt, unlimited creation of new credit.”

Meanwhile, Senate Majority Leader Harry Reid (D) of Nevada claims that simply "no one knows what to do." The level of incompetence echoes volumes.

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