Brace yourselves for hyper inflation. The Federal Reserve has announced it’s cranking up the printing presses and launching Quantitative Easing 3 (QE3). However, they are not doing it without someone standing up and reminding everyone just how bad this will make things and why. That someone has been doing it for at least three decades, Texas Congressman Ron Paul.
In an interview with Bloomberg, Paul reacted to the idea of more stimulus provided by the Federal Reserve by saying:
“It should not surprise anybody, but it is still astounding. To me, it is so astounding that it does not collapse the markets. [Bernanke] said, ‘We are in very big trouble. We are going to do something unprecedented and we believe it will not hurt the dollar.’ And yet the stocks, they say ‘we love this stuff.’ But the dollar didn’t do so well today and the real value of the dollar is measured against gold, and gold skyrocketed from its very low to its highest. It means we are weakening the dollar. We are trying to liquidate our debt through inflation. The consequence of what the Fed is doing is a lot more than just CPI. It has to do with malinvestment and people doing the wrong things at the wrong time. Believe me, there is plenty of that. The one thing that Bernanke has not achieved and it frustrates him, I can tell—is he gets no economic growth. He doesn’t do anything with the unemployment numbers. I think the country should have panicked over what the Fed is saying that we have lost control and the only thing we have left is massively creating new money out of thin air, which has not worked before, and is not going to work this time.”
Read more at Freedom Outpost. By Tim Brown.
Advertisement - story continues below
Photo Credit: Gage Skidmore Creative Commons