The Federal Reserve System in the United States was created by Congress in 1913 and signed into law by President Woodrow Wilson. Since its creation, the purchasing power of the US Dollar has declined 96%.
But according to a House of Commons Library Report entitled “Inflation: the value of the pound, 1750-2011,” RESEARCH PAPER 12/31 29 May, 2012, RP12-31 (1), the decline in purchasing power of the British Pound since 1913 equals 99%!
Note that the shape of the decline of purchasing power following the creation of the Federal Reserve System in the US are virtually identical.
With the exception of the fact that the British Pound purchasing power actually was crushed even worse than the US Dollar.
Neither the US or the UK are up to Zimbabwe’s destruction of their currency, but The Fed has only been working on it for 100 years. Think of what they can do over another 100 years!!
I would love to see UKIP’s Nigel Farage debate the merits of central bank policies in the European Parliament! Here is Farage discussion the merits of The Euro.