submitted by jwithrow.
Excerpt from The Folly of the Fed’s Central Planning:
1. Increasing money and credit by the Fed is not the same as increasing wealth. It in fact does the opposite.
2. More government spending is not equivalent to increasing wealth.
3. Liquidation of debt and correction in wages, salaries, and consumer prices is not the monster that many fear.
4. Corrections, allowed to run their course, are beneficial and should not be prolonged by bailouts with massive monetary inflation.
5. The people spending their own money is far superior to the government spending it for them.
6. Propping up stock and bond prices, the current Fed goal, is not a road to economic recovery.
7. Though bailouts help the insiders and the elite 1%, they hinder the economic recovery.
8. Production and savings should be the source of capital needed for economic growth.
9. Monetary expansion can never substitute for savings but guarantees mal–investment.
10. Market rates of interest are required to provide for the economic calculation necessary for growth and reversing an economic downturn.
11. Wars provide no solution to a recession/depression. Wars only make a country poorer while war profiteers benefit.
12. Bits of paper with ink on them or computer entries are not money – gold is.
13. Higher consumer prices per se have nothing to do with a healthy economy.
14. Lower consumer prices should be expected in a healthy economy as we experienced with computers, TVs, and cell phones.
All this effort by thousands of planners in the Federal Reserve, Congress, and the bureaucracy to achieve a stable financial system and healthy economic growth has failed.
It must be the case that it has all been misdirected. And just maybe a free market and a limited government philosophy are the answers for sorting it all out without the economic planners setting interest and CPI rate increases.
A simpler solution to achieving a healthy economy would be to concentrate on providing a “SOUND DOLLAR” as the Founders of the country suggested. A gold dollar will always outperform a paper dollar in duration and economic performance while holding government growth in check. This is the only monetary system that protects liberty while enhancing the opportunity for peace and prosperity.