Guest Post by Ron Paul
According to numbers released by the US government, consumer prices have increased by 7.5 percent in the past year, the steepest increase since 1982. The actual price increases are even worse than the government numbers suggest, given that the “official” statistics are manipulated to understate the real rate of price increases. According to John Williams of ShadowStats, prices have actually increased by around 15 percent over the past year.
The fact that prices remain at historically high levels shows that inflation is far from “transitory,” as Federal Reserve Chairman Jerome Powell had described it. The continuing inflation has led the Federal Reserve Board to suggest the Fed will start increasing interest rates earlier than previously announced. The Fed may also break with its practice of only raising rates by 25 basis points at a time and increase rates by increments of up to 50 basis points. However, the increases the Fed is discussing would still leave interest rates at historic lows. Thus, such interest rate increases would do little or nothing to ease the pain rising prices cause for average consumers.
Most policy “experts” and politicians, including President Biden, support interest rate increases to deal with inflation. However, some progressives oppose raising rates. Opponents of rate increases fear that increasing interest rates will slow economic growth, increase unemployment, and depress wages. These progressives believe the old fallacy that workers benefit from easy money. The truth is workers are inflation’s main victims.
Workers may see their nominal pay (pay unadjusted for inflation) increase while the Fed-produced price increases cause real wages to plummet. That is certainly the case today. In contrast, the Federal Reserve’s money creation benefits crony capitalists who receive the new money created by the Fed before the injection of new money causes prices to rise. This increases the elite’s purchasing power, furthering income inequality.
The Federal Reserve’s creation of new money does more than erode the value of the currency. It also artificially lowers interest rates, which are the price of money. This distorts the signals sent to market actors, leading to investment decisions that do not reflect the real condition of the market. The result is a temporary boom, followed by a bust. Workers who find new jobs in the boom lose those jobs in the bust. These workers are then not just unemployed. They are also often saddled with unmanageable debt incurred during the low interest rate, easy money phase of the business cycle.
Progressives could help workers by joining the movement for market-based money. Free-market money will be safe from government manipulation, and thus its value will remain stable. A step toward restoring a free-market monetary system is letting the people know the truth about the Federal Reserve by passing Audit the Fed. Another step is legalizing alternative currencies by repealing legal tender laws and ending all capital gains taxes on precious metals and cryptocurrencies. Congress must also begin to cut spending, starting by making major cuts in our 750 billion dollars military budget and ending all corporate welfare.
Fiat money benefits financial and political elites at the expense of working people whose standard of living is eroded by Federal Reserve actions. As a Texas labor leader once told me, “Gold has always been the working man’s friend.” I would add that fiat money is the worker’s foe.
It is my sincere desire to provide readers of this site with the best unbiased information available, and a forum where it can be discussed openly, as our Founders intended. But it is not easy nor inexpensive to do so, especially when those who wish to prevent us from making the truth known, attack us without mercy on all fronts on a daily basis. So each time you visit the site, I would ask that you consider the value that you receive and have received from The Burning Platform and the community of which you are a vital part. I can't do it all alone, and I need your help and support to keep it alive. Please consider contributing an amount commensurate to the value that you receive from this site and community, or even by becoming a sustaining supporter through periodic contributions. [Burning Platform LLC - PO Box 1520 Kulpsville, PA 19443] or Paypal
-----------------------------------------------------
To donate via Stripe, click here.
-----------------------------------------------------
Use promo code ILMF2, and save up to 66% on all MyPillow purchases. (The Burning Platform benefits when you use this promo code.)
The Federal Reserve is the enemy of the world’s citizens. All are hurt by its existence….well, not all citizens, just the ones not directly benefiting from their massive crime spree.
Surprise , the federal reserve is nothing less than organized crime in control of the money supply and benefiting a select few “THE BIG CLUB” while destroying the American economic standard of living !
I am not sure of the details but did not Andrew Jackson fight a duel with a banker that tried to start a national bank .
Wouldn’t that threat straighten out a number of financial parasites in high places !
My Glove Sir !
The creature from Jekyll Island is an excellent read on how and the fed was created by a bunch of global elite robber barons.
And has been supported by both worthless major parties ever since.
Not exactly supported by. The Fed actually owns them. Its like how my dog supports me, when I tell em to sit.
Goes without saying, worthless. But they be “worth” sompin.
Ron Paul is 86 years of age. He has talked this stiff for a l…o…n…g time.
G. Edward Griffin , 90 years of age, been talkin’ this stuff for a l…o…n…g time.
Kind of amazing the Trump worshipers in my area have no clue what we be talkin’ bout. And it’s funny, the loggers in this area, Trump worshipers, cutting them pine trees down baby, hauling ’em to the mills, drivin’ themselves some brand new pickups! In “Biden’s Economy”.
7.5%? HAHAHAHAHAHA
Good one. You’re kidding right? Wait…what?
According to John Williams of ShadowStats, prices have actually increased by around 15 percent over the past year.
Inflation is at 7%+ the average worker gets 3-5% raise if you are lucky. A fucking pay cut!!!!!!!!!!
That is according to govy figures. The real figures are much higher.
You are being fucked over by the federal reserve!!!!
Why would any country in its right mind borrow money from a central bank at interest, when it is legally able to just print it itself? When you know the answer to that, then you will know just how corrupt this country really is….
Ask that question to JFK. I forgot. He’s not around anymore.
Every privately run central bank, seemingly all run by the same tribe of people, is an enemy of humanity.
Americans are BRAINWASHED! (But not most on this Platform on Fire)
“They have been raised by a public school system and media that constantly assures you that the reasons for all these wars and assassinations are many and varied. The US claims to bring democracy to the conquered lands (they haven’t; the usual result of a US overthrow is the imposition of a dictatorship, such as the 1953 CIA overthrow of Iran’s democratically elected government of Mohammad Mosaddegh and the imposition of the Shah, or the 1973 CIA overthrow of Chile’s democratically elected government of President Salvador Allende, and the imposition of Augusto Pinochet), or to save a people from a cruel oppressor, revenge for 9-11, or that tired worn-out catch all excuse for invasion, weapons of mass destruction. Assassinations are always passed off as “crazed lone nuts” to obscure the real agenda.
The real agenda is simple. It is enslavement of the people by creation of a false sense of obligation. That obligation is false because the Private Central Banking system, by design, always creates more debt than money with which to pay that debt.
Private Central Banking is not science, it is a religion; a set of arbitrary rules created to benefit the priesthood, meaning the owners of the Private Central Bank. The fraud persists, with often lethal results, because the people are tricked into believing that this is the way life is supposed to be and no alternative exists or should be dreamt of.
The same was true of two earlier systems of enslavement, Rule by Divine Right and Slavery, both systems built to trick people into obedience, and both now recognized by modern civilizatyion as illegitimate. Now we are entering a time in human history where we will recognize that rule by debt, or rule by Private Central Bankers issuing the public currency as a loan at interest, is equally illegitimate. It only works as long as people allow themselves to believe that this is the way life is supposed to be”.
WHAT REALLY HAPPENED: THE HISTORY THE GOVERNMEVT HOPES YOU NEVER LEARN
https://www.whatreallyhappened.com/
“The US claims to bring democracy to the conquered lands (they haven’t; the usual result of a US overthrow is the imposition of a dictatorship, such as the 1953 CIA overthrow of Iran’s democratically elected government of Mohammad Mosaddegh and the imposition of the Shah, or the 1973 CIA overthrow of Chile’s democratically elected government of President Salvador Allende, and the imposition of Augusto Pinochet), or to save a people from a cruel oppressor, revenge for 9-11, or that tired worn-out catch all excuse for invasion, weapons of mass destruction. Assassinations are always passed off as “crazed lone nuts” to obscure the real agenda.”
Pointless to even try to talk about these things with folks in these parts. Mention 1953 Iran and they look at you like you are ANTI-AMERICAN. Its like they only “tune in” to anything every four years when TPTB spew their garbage in the presidential debates. . True story.
“The Federal Reserve: Enemy of American Workers”
The Federal Government: Enemy of American Citizens
There … that’s a whole lot more correct …