The Federal Reserve, more commonly known as "The Fed", is the central banking system of the United States. As the common saying among sound money endorsers goes, The Fed is "no more 'federal' than Federal Express". It is in actuality a quasi-federal cartel of private banksters and federal bureaucrats which centrally dictate United States economic policy with no oversight, transparency, or accountability; in fact, it has never been audited in its entire existence. The Fed claims one of its primary objectives is to control inflation, but in fact, the purchasing power of the dollar has decreased by more than 95% since its initiation, and the US has seen a number of recessionary and depressionary periods.
US dollars, more accurately called Federal Reserve Notes, are fiat money; that is, money backed by nothing of intrinsic value, traditionally such as gold or silver. For this reason, The Fed can engage in a little-understood but extremely detrimental act known as quantitative easing (QE). QE is, simply, the printing (or digital creation) of new (but worthless) money (also known as "expanding the money supply"), and is tantamount to legalized counterfeiting. This has the effect of decreasing the value of all other money in circulation, essentially stealing from your savings. This is especially harmful because every Federal Reserve Note is issued at interest, which can only be repaid with more Federal Reserve Notes issued at interest, meaning the Federal Reserve creates a system of perpetual debt.
To counteract this criminal enterprise, the US must drastically reform its monetary policy. We must Audit the Fed and determine exactly where our money has been going for decades. We must return to a reasonably foreseeable policy such as Treasury-controlled debt-free currency with built-in printing limitations, or a system of sound money, backed by a valuable asset like gold or silver.
It is no coincidence that the Federal Reserve Act and the Sixteenth (16th) Amendment (which established the income tax) were enacted in the same year, 1913 (as a matter of fact, the Seventeenth (17th) Amendment was introduced in this year as well, making it a very bad year for the US). Prior to the income tax, most citizens were able to live the majority of their lives without the involvement of the government. The government was funded via apportionment and consumption taxes, and a return to such a method would do us well.
Keynesian, tax-and-spend policies buy the cake today and kick the can down the road. But the end of the road is in sight. As financial author and radio host Dave Ramsey explains:
"If the US Government was a family, they would be making $58,000 a year, they spend $75,000 a year and have $327,000 in credit card debt. They are currently proposing BIG spending cuts to reduce their spending to $72,000 a year. These are the actual proportions of the federal budget & debt, reduced to a level that we can understand."
And has the spending crisis hit home? The US credit rating from S&P was recently downgraded for the first time in history, because the recent debt plan, in their words, "falls short of what, in our view, would be necessary to stabilize the government's medium-term debt dynamics." No kidding; the plan merely cuts the deficit (that is, the annual amount of additional debt we take on), not the actual debt itself (which continues to increase). At this stage, "cutting the deficit" means absolutely nothing. Eliminating the deficit is what's important. The deficit is how much deeper we dig our grave every year. Digging "only" 24 feet deeper instead of 25 feet, when you're standing in a 100-foot-plus-deep hole, is no improvement. Stopping the digging is what matters. For that matter, the "savings" claimed in this plan are completely false.
Keynes himself left us with this telling quote on his philosophy: "The long run is a misleading guide to current affairs. In the long run we are all dead."
America's Founding Fathers envisioned a revolutionary ideology for the New World; one where the nation would refrain from offensive and interventionist wars, one even without a standing army, where force would only be justified in defense against imminent attacks. Sadly, the US today could not be further to the opposite side of the spectrum. Now fighting multiple wars in the Middle East with no end in sight, the price is being unnecessarily paid every day with American lives and American dollars.
The United States military accounts for almost half of total world military expenditures, and is deployed in more than 150 countries around the world. During many missions, the US cedes its military sovereignty to international organizations such as the UN and NATO, putting its troops under foreign commanders and foreign flags. It is time to restore the US military to its rightful place as the defender, not the offender, of liberty worldwide.
According to the Cato Institute's most recent comprehensive study on the topic, the US federal government spent $92 billion on corporate welfare in FY 2006 (that's not to mention billions in state and local government 'incentives'). Since then, things have only gotten worse. The government has bailed out and become majority shareholder in failed auto companies, alongside multiple banker bailouts such as TARP.
The culture of corporate welfare has got to end. America abandoned capitalism long ago for a corporatist-fascist system, where government is in bed with big business. Big oil, agriculture, and other subsidies, intentional tax loopholes, confusing legislation creating barriers to market entry and the like are designed to line the pockets of the elite with the sweat and blood of the middle class.
At the same time, well-intended welfare programs are paving the road to hell. Medicare, Medicaid, Social Security, and other socialist entitlement programs are draining the economy and repressing the lower class. Charity by force is no charity at all. And charity of whatever form will cease to exist when the middle class is taxed out of existence.
The authoritarian Big Brother nanny state creeps closer to the Orwellian nightmare. PATRIOT Act. REAL ID. Erosion and blatant defiance of basic Constitutionally-delineated rights and civil liberties. The American people are increasingly being forced to deal with police brutality due to the federalization and militarization of local police, which should be funded by and accountable to local communities.
The War on Drugs, more accurately the war on the American people, keeps over a million nonviolent offenders imprisoned every year and costs the taxpayers tens of billions of dollars annually.
Obamacare mandates, meant to crash the private healthcare system and bring about a public system, put bureaucrats between you and your doctor. The Republican "repeal and replace" bill merely puts a conservative slant on the healthcare takeover, replacing Obama's plan with the Republicans' version of government intrusion. This includes pre-existing conditions requirements, which were the greatest threat to an effective private healthcare system in the first place.
TSA (now commonly referred to as "Tolerated Sexual Assault") radiates, naked body scans, and gropes tens of thousands of Americans every day, including children, which violates child pornography and pedophilia laws, not to mention general human dignity. The TSA lied about storing the naked images (it does), then lied about the amount of radiation the scanners produce (it's much higher). After 9/11, impenetrable plane cabin doors have been installed on all commercial aircraft and are mandated to be locked for the duration of the flight, so there is no longer a national security risk anyways. The TSA cannot be trusted, is unaccountable, and perhaps just as unfortunately, is another taxpayer-subsidized public-sector intrusion into what should be a private security force.
The people of the US must finally stand up and say NO to the United Nations (and its child programs such as UNESCO, the driving force behind Goals 2000/No Child Left Behind/Race to the Top, and Agenda 21, the driving force behind the authoritarian environmental movement), International Monetary Fund (IMF) (headquartered in Washington, D.C.), World Bank (headquartered in Washington, D.C.), World Trade Organization (WTO), North Atlantic Treaty Organization (NATO), and other sovereignty-eroding international alliances.
The US must return to a policy of, as Thomas Jefferson stated, "Peace, commerce and honest friendship with all nations; entangling alliances with none."