Ron Paul introduces legislation: The Federal Reserve Board Abolition Act

Statement of Congressman Ron Paul
United States House of Representatives
Statement on Federal Reserve Board Abolition Act
February 3, 2009

Madame Speaker, I rise to introduce legislation to restore financial stability to America's economy by abolishing the Federal Reserve. Since the creation of the Federal Reserve, middle and working-class Americans have been victimized by a boom-and-bust monetary policy. In addition, most Americans have suffered a steadily eroding purchasing power because of the Federal Reserve's inflationary policies. This represents a real, if hidden, tax imposed on the American people.

From the Great Depression, to the stagflation of the seventies, to the current economic crisis caused by the housing bubble, every economic downturn suffered by this country over the past century can be traced to Federal Reserve policy. The Fed has followed a consistent policy of flooding the economy with easy money, leading to a misallocation of resources and an artificial "boom" followed by a recession or depression when the Fed-created bubble bursts. With a stable currency, American exporters will no longer be held hostage to an erratic monetary policy. Stabilizing the currency will also give Americans new incentives to save as they will no longer have to fear inflation eroding their savings. Those members concerned about increasing America's exports or the low rate of savings should be enthusiastic supporters of this legislation.

Though the Federal Reserve policy harms the average American, it benefits those in a position to take advantage of the cycles in monetary policy. The main beneficiaries are those who receive access to artificially inflated money and/or credit before the inflationary effects of the policy impact the entire economy. Federal Reserve policies also benefit big spending politicians who use the inflated currency created by the Fed to hide the true costs of the welfare-warfare state. It is time for Congress to put the interests of the American people ahead of special interests and their own appetite for big government.

Abolishing the Federal Reserve will allow Congress to reassert its constitutional authority over monetary policy. The United States Constitution grants to Congress the authority to coin money and regulate the value of the currency. The Constitution does not give Congress the authority to delegate control over monetary policy to a central bank. Furthermore, the Constitution certainly does not empower the federal government to erode the American standard of living via an inflationary monetary policy.

In fact, Congress' constitutional mandate regarding monetary policy should only permit currency backed by stable commodities such as silver and gold to be used as legal tender. Therefore, abolishing the Federal Reserve and returning to a constitutional system will enable America to return to the type of monetary system envisioned by our nation's founders: one where the value of money is consistent because it is tied to a commodity such as gold. Such a monetary system is the basis of a true freemarket economy.

In conclusion, Mr. Speaker, I urge my colleagues to stand up for working Americans by putting an end to the manipulation of the money supply which erodes Americans' standard of living, enlarges big government, and enriches well-connected elites, by cosponsoring my legislation to abolish the Federal Reserve.

Quite a statement by RP. I wonder how many were there to actually hear it?

The more I read about the way things are right now with our economy and world, the more I think many of his ideas are worth trying. After all, his ideas are based on what this country is based on...the Constitution.

At least someone out there is speaking up.


Forgot link:www.house.gov...

Also, here is a link for anyone who is interested in emailing their Congressman on this. I will definitely be doing this myself. www.visi.com...

[edit on 4-2-2009 by David9176]

As much as I would love to see this sail ... it wont because of the corrupt politicians and thier money.

I hope RP all the best and I support this.

But we all know what happens to those who oppose the Elite.

Well Im going to call my rep and tell him to support the bill, I doubt they will listen to us (remember they ignored our opposition to the first bailout).
Ron Paul is one of a few standup people in politics right now.

reply to post by crw2006


I'm going to as well. There seems to be a lot going on when you add in legislation some of the states are trying to enact.

It would be great to see this country completely change direction like this.

Goodbye Mr. Paul. It is good to see you doing it but you have just touched one dangerous sacred cow... I sure hope you do not go the way of JFK.

reply to post by Cio88

As much as I would love to see this sail ... it wont because of the corrupt politicians and thier money.

I think it can happen. People just have to be aware. Instead of fearing the public into accepting Bailouts and Economic Stimulus Packages they could be doing this.

We just need to hit the restart or reset button.

I urge my colleagues to stand up for working Americans by putting an end to the manipulation of the money supply which erodes Americans' standard of living, enlarges big government, and enriches well-connected elites, by cosponsoring my legislation to abolish the Federal Reserve.

This to me says it all right here. How many other Politicians would you see proposing something like this...

I love it.

reply to post by Cio88


Yeah it could be unfortunate. But on the other hand, it could turn on them. A true martyr always unites people in a way no one else could. That is power you can't control nor can you just create it any time you want.

"Stabilizing the currency will also give Americans new incentives to save as they will no longer have to fear inflation eroding their savings. Those members concerned about increasing America's exports or the low rate of savings should be enthusiastic supporters of this legislation. "

That is what its all about. Think of how much inflation kills our savings. Imagine if our currency had the same buying power as it did 30 years ago? More people would own houses, would be debt free and rely less on government beuracracies!

reply to post by David9176


You know it's sad to say but i'm not gonna be surprised when that man "dissapears" or is involved in a "freak" accident. This is a very bold piece of legislation, that won't pass mind you, but it'll raise awareness.

Good job RP.

reply to post by David9176


America is so close and yet so far to shaking off those perpetual shackles of the centralised and unaccountable debt machine.

Although I fear that the corrupted congress will see to it that the FIRE industries and not the American taxpayer will be happier tonight.

Those that voted for the bailout received more funding in their careers from Wall Street than those that did not. source

Whilst I'm not holding my breath, ...

Good luck with it RP. It only takes one.

S&F -this needs some attention.

S&F

I'll be calling my Reps tomorrow morning; forwarding the legislation and links along, as well as annoying the hell out of my friends in PA to do so as well. I've been doing the same on all good legislation, the fight is on so we need to keep on fighting!

This is what we are after!

I sure pray that there is a provision in that bill to appoint really intelligent economists to the Treasury.

Because if we continue with the brain-dead matter we currently have, abolishing the Fed will only hurt us even more

I think it could be done. A lot of things would have to happen...but it cannot happen at all if it's at least not tried and supported.

And Please!! Don't put the JFK jinx on RP!

That won't happen, the best that they can do is keep his ideas and legislation quiet. That's why it's up to people like us to spread the word.

Human will is a very powerful thing....tapping into it the tough part.

RP is setting himself up for an early "RIP" on his tombstone.

Also, here is a link for anyone who is interested in emailing their Congressman on this. I will definitely be doing this myself.
www.visi.com...

Edit: Added this to OP.

[edit on 4-2-2009 by David9176]

From your friend and ally Australia across the Pacific,

I say GOOD LUCK

I really hope your man Dr Paul and get some more grassroots stuff happening like before the election and can push home some important changes.

It is unlikely, but you have to try.

Ron Paul is the essence of a real patriot. He is literally putting his life on the line to save your country, so get out and support him.

[edit on 4-2-2009 by fooffstarr]

reply to post by asmeone2


indeed it would be a sad day

but on the flip i cant imagine a coverup that would not portray him a martyr and not expose the government for what it is

I hear you man, go get'em Ron.

The man is safe as far as i'm concerned. Think about guys, if RP dies right now, even from natural causes much less an accident, those that "know" will start reaching for the rifles because the situation is fubar not matter what.

Sort of invincible because...it will just prove his point. I'm sure he knows and we know know but can't say what he knows because he don't know what we know which we know ain't all of it. Kinda funny.

Haha wow! Go Ron! I'll contact my representatives as well about this. I knew he was brave but, whoa!