FDR and Obama: Separated at Birth
It is now beyond dispute that the Keynesian policies of the Obama Administration have not brought about a sustainable economic recovery. Massive stimulus spending (with money borrowed from China) and unprecedented increases in the money supply by the Federal Reserve (to hold interest rates near zero) have not revived private investment or the U.S. job market. We are likely headed back to recession and recriminations for our economic problems abound.
Free market economists correctly blame government interventionism for the current mess. Funny money from the Fed, deficit spending, and bailouts cannot promote prosperity; never have, never will. Liberals argue, however, that these very same policies just weren’t aggressive enough (!) and that what really failed was leadership in Washington. If only we had a decisive leader like Franklin D. Roosevelt, we are told. After all, didn’t FDR’s leadership restore confidence during the 1930s and didn’t his policies help end the Great Depression?
And now… the rest of the story. …..
Harold
The “Keynesian Policy” of spending money to increase the national debt is the only way the Ponzi scheme Federal Reserve keeps from collapsing the entire monetary system. New debt must be incurred to pay the interest on the securities that were previously issued. Just like any Ponzi scheme, if new money is not added to the scheme, the con game falls apart. Ref. http://www.scribd.com/doc/49040689/RIP-OFF-BY-THE-FEDERAL-RESERVE-Feb-17-2011
The primary objective of FDR was to remove gold and gold certificates from circulation. The Fed required banks to turn in all such items they received from the public, The “recovery” then flooded the public with interest bearing FRNotes.