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Silver Strike: End the FED 0

Posted on January 26, 2010 by silver strike
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End the Fed The Federal Reserve System, brought to you by Chuck Madere. The Fed, is the most important financial institution in the nation. Yet few Americans understand the Fed’s real purpose for existence and the dangers it presents to our nation’s financial well-being. However, Congressman Ron Paul’s book End the Fed, a New York Times bestseller, is changing that.

Simply, the Fed is a central bank, which has the legal authority to “create money out of thin air.” As Congressman Paul notes, as have other critics of the Fed have noted, it is an inflation machine. Rising prices across the board are not—and have never been—the fault of OPEC, unions or greedy corporations. Inflation is a monetary phenomenon that lies primarily at the door of the Fed. Fractional reserve banking deserves its share of the blame for inflation, but fractional reserve banking is exacerbated by the very existence of the Fed.

First elected to Congress in 1976, Ron Paul became a thorn in the side of the Fed, annually introducing a bill to dismantle the Fed. In no year could the Congressman find even one cosponsor to his bill. The Fed is held with such esteem by members of Congress that no one will stand alongside Dr. Paul on this issue. He was a voice crying in the wilderness, and I don’t doubt but that many members of Congress ridiculed him for his position on the Fed. Now, Ron Paul may be David, about to slay Goliath.

When the Fed created literally trillions of dollars to bailout large financial institutions and Ben Bernanke, Fed Head, had the audacity to tell Congress that he was not going to reveal who got the money much less how much they got, there was an uproar across the country. For perhaps the first time ever, the Fed was the focal point of public criticism, and Ron Paul called for a real audit of the Fed with HR 1207.

So intense have been the attacks on the Fed that for the first time it hired a lobbyist to defend its position on Capitol Hill. Paul’s Audit the Fed bill has 55 cosponsors and passed out of the House Financial Services Committee by a vote of 43 - 26. The Senate companion bill, S 604, has 31 cosponsors. Suddenly, Congressmen and Senators climbed on board the Ron Paul wagon. Undoubtedly, cosponsors climbed aboard not because they suddenly saw the evils of the Fed but because they saw the handwriting on the wall.

For nearly a hundred years, the Fed pretty much successfully concealed that it was the beast that its critics had said it was. To this day, most Americans do not know that the Fed, with its loose money policies of the 1920s, was the cause of the Great Depression of the 1930s.

In the 1970s, when prices rose at double digits rates, only Austrian economists correctly saw the Fed as responsible. The media, which by then had become fairly much the Fed’s lapdogs, blamed the “oil shock.”

Other times, rising price levels were attributed to “cost-push inflation,” a spurious theory that blamed businesses. When the CPI and GPI rose “only” 2%-3%, Americans were told “a little inflation is good.” Now, though, Ron Paul has told the truth.

The Fed is not a beneficent organization established for the good of mankind but exists solely for the benefit of big banking. End the Fed is Ron Paul’s assessment of an institution whose machinations he has sought to expose since before becoming a member of Congress. He relates how he came to realize the immorality of the Fed and the inflation it creates. And, he tells of his conversations with Fed Heads Greenspan and Bernanke when they appeared before House committees.

Paul pulls no punches. He lays the blame for the financial crisis of 2008 and the housing crisis squarely at the feet of Alan Greenspan. “History will show that Greenspan, during his years as Fed chairman (1987-2006), planted all the seeds of the financial calamity that erupted in 2007 and 2008.”

Further, Paul declares Obama’s “solution” to the problem not a solution at all. “. . . the inflation and debt accumulation of the Obama years will not inflate our way out of it. This depression will likely last and last. (Note that Paul calls our present economic woes a depression, not a recession.) If the depression lasts a decade or more, its length cannot be blamed solely on Greenspan. That blame will be placed on the current Federal Reserve Board, Congress, the President, the Treasury, but above all on Keynesian economic policy, the same philosophy that gave us the Great Depression of the 1930s.

Many persons familiar with Ron Paul’s assessments of our problems are quick to point out that he is a doctor, “not an economist.” To that, I would remind them that Ron Paul has studied economics his entire adult life. Further, he has hobnobbed with some of the foremost economic thinkers of the Austrian economic school, such greats as Murray Rothbard, Hans Sennholz, F. A. Hayek and the master himself, Ludwig von Mises.

Additionally, Ron Paul has authored at least ten books on economics and political thinking. The Revolution, a Manifesto, like End the Fed, became a New York Times bestseller. With Lewis Lehrman, Paul coauthored The Case for Gold, which was a minority report to the 1981 U.S. Gold Commission, a Ronald Reagan initiative to study the role that gold should play in our monetary system. (The commission was stacked with anti-gold members and the minority report was one of only two benefits to come from the commission’s work. The American Eagle bullion coin program was the other.)

Ron Paul’s grasp of economics and understanding of the political process make him eminently qualified to write about economics and to make economic forecasts. Sadly, Paul is not optimistic about the immediate outlook for our economy.

End the Fed is only 210 pages, divided into fifteen chapters. Although Paul’s explanation why this depression likely will “last and last” is scary, his Chapter 4, Central Banks and War, is a shocker. Simply put, central banks facilitate war and give politicians fewer reasons to seek political solutions to differences with other nations. “It is no coincidence that the century of total war coincided with the century of central banking.” Before the days of central banks (European as well as our Fed), wars resulted in higher taxes and shortages as resources were diverted from the domestic economy to the war effort.

When politicians have to tell the people that the wars they are about to embark upon will raise taxes and create shortages, political solutions become viable alternatives. When the costs of the wars can be hidden through the creation of new money via central banks, political solutions are less likely. Sadly, many investment banking houses actually agitate for war as they stand to make billions of dollars issuing and trading in the bonds and securities that are sold as a nation gears for war.

Ron Paul’s End the Fed is must reading for anyone seeking to survive today’s financial turmoil. Understanding the problem is the first step toward solving it.

Thank You All For Reading

Chuck Madere

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The Way I See It 0

Posted on November 16, 2009 by silver strike

The Way I See It

by Chuck Madere

Chuck MadereAs I sit here at my computer, I think about my 60 plus years under the sun. I humor about the days of my youth and the love of my family that was felt by all my sisters and brother. I had a complete family until the day death paid us a visit and took my father at the age of thirty-four.

My mother never remarried but raised us kids five under the age of eight till she past away at the age of fifty-two. She and dad were reunited again only to see two of their daughters arrive there with them within three years of mom's death. Two plus five equals seven minus four equals three. And three is what is left of our family today. My brother and his twin sister and me.

It sure was not easy growing up without a father back then. Mom had no money to speak of except what she got from Social Security and dad's pension. We were considered poor but to us we were rich beyond measure. We were a family growing up in the sixties. I decided to go into the army at seventeen but was rejected because of blood found in my urine. 1Y was my classification which meant that they could call me back anytime they wanted to and re-test me, and that they did often for the war was on big time then.

I enlisted into the Army again and was rejected again. I got drafted twice and rejected those times as well. I guessed God didn't want me to go to war but had other things planned for me. I wrote a letter to the draft board asking for a 4F classification which they then gave me. I was beginning to be a regular there and I saw hundreds pass through those lines on their way to battle.

As time past I found my place as an Industrial Maintenance Engineer. I did this type of work untilled I retired at fifty-five. I have three boys in their thirties now and they are building their lives with their wives. All during those years I could see that we as a people supposedly united for a common good were pitted against ourselves by a higher power. A power that cares nothing about us and cares only for power and money to control.

What happened to us?

FreedomOur nation is just over two hundred years old and we the people can't get anything together for the good of all. We tell a good tale but when it come to deliver the goods we stumble and fall. The way I see it is if we don't start doing what we came here for in the first place this great nation will come to an end. Do your history checking if you don't know what I'm talking about.

How many of you wake to work to sleep to wake and do it all again waiting for a day off. The answer is we all do that and we have been led to believe this is the way of life. This is not living. The way I see it is we are paid for our work in fiat currency that the Federal Reserve System of banks give us and we gladly take them in lieu of real money not even knowing that there is a difference. We take what they give us like sheep being led to the slaughter.

The Federal Reserve is a privately own company with no ties to the government. They have as much Federal in them as Federal Express and we don't know that. The banks have been raping us for just about one hundred years now and we go along with it.

Ever wonder where they get the money they lend out? Me too. I know that the moment you sign to repay them with the loans we take out, magically the money is created out of thin air. The only guarantee is your signature to repay. We all need to stay away from these banks and only deal in real assets like gold and silver. HUH you say. Yes, gold and silver is real money. The money that you work for everyday. Look at your paycheck before you take it to the bank. What does it say you are to be paid in? FRN or dollars? Dollars is what it says, but the bank give you their IOU because they don't have any real dollars to give you. If they did they would not be in business very long. The way I see it.

Chuck Madere

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