The Federal Reserve

The Federal Reserve system put into place by Congress in 1913 is Immoral, Unnecessary, and Unconstitutional.

In that order.

Immoral

The Fed prints money out of thin air (inflation) which destroys the value of the currency. It discourages savings which is the precursor to investment leading to prosperity.

It creates the business cycle by lowering interest rates causing a ‘boom’ that inevitably leads to a ‘bust’ unless it prints to infinity.

It encourages monetization of the debt, meaning people in the present are making people in the future pay for it.

Unnecessary

A sound monetary system based on precious metals, such as gold and silver, provides stability in prices over time that creates an environment that allows entrepreneurs to more accurately invest in the future.

Watch this lecture on “What is Money?” given by Prof. Joe Salerno

Unconstitutional

Art. 1 Sec. 8 “To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures”

The Federal Government wasn’t given the power to emit bills of credit (print money)

Art. 1 Sec. 10 of the U.S. Constitution “No State shall…emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts”

The States were forbidden to emit bills of credit.

Watch this lecture on “What is Contitutional Money?” by Edwin Vieira