Is This the Best the Fed Can Do in Its Defense?
Fed Attacks Ron Paul
The Federal Reserve, no doubt at the suggestion of one of the high priced PR agents they maintain, has fired a shot at Ron Paul in his own backyard.
The Houston Chronicle carries an op-ed by Paul Hobby, who is chairman of the Houston branch of the Dallas Fed.
Let’s take a look at this commentary that is boldly titled, “Hands off the Fed”
Hobby makes clear right at the start this is about Ron Paul:
Defense of our central bank is imperative just now because the House Financial Services Subcommittee, which provides congressional oversight of the Federal Reserve System, has a new chair – U.S. Rep. Ron Paul, R-Lake Jackson. Paul is a frequent critic who has published a book titled End the Fed. Almost certainly, Paul will seek to make a fundamental inquiry into whether the United States will retain the ability to conduct monetary policy at all.
Then he says:
No one who studies the global economic issues today would forfeit this nation’s ability to conduct monetary policy through a central bank.
This statement is simply factually wrong. Congressman Paul has certainly studied the issue and has not reached that conclusion, as have many economists, mostly from the Austrian school of economics.
I’m hoping Hobby isn’t trying to be serious when he writes:
Part of the problem in this public debate is that few of us have much personal experience with, or perspective on, monetary policy. It is simply not a visible part of most people’s daily lives.
The problem is that most Americans have too much experience with the Federal Reserve through Federal Reserve notes that buy less and less food, clothing and gasoline every year.
A hint to Hobby, they don’t riot in Third World countries over central bank created inflation because they don’t have personal experience with inflation. It’s very personal.
Harold
ACGR's "News with Attitude" 