Sep 7
The Real Cost of Printing Money
Ron Paul on the Federal Reserve and what its manipulation of the dollar has done to our money:
An item that cost $100 in 1913 (when the Federal Reserve Act was passed) would cost $2014.81 in 2006. An item that cost $100 in 2006 would have cost $4.96 in 1913. As we can see, the dollar has lost nearly all its value since the Fed was established. Now if the gold standard had brought about such an outcome, we would never hear the end of all the howls of outrage. But the Fed does it and... utter silence...
And in fact the gold standard did no such thing. People's money increased in value under the gold standard. They were not looted by inflation. An item that cost $100 in 1820 would have cost only $63.02 in 1913.
(from The Revolution, pp.150-151; emphasis mine)
This is what happens when the Fed "lowers the interest rate" (something that people clamor and beg for, thinking it's a good thing). If you want to know why it's NOT a good thing, please go read Ron Paul's The Revolution.
