How much is QE helping you so far? Isn’t that the real question? Some people actually think the FED is working for the good of the people of the country. However, in its century of existence, can we point to any one action they’ve ever taken that was good for the general welfare of the U.S. economy and the American people?
The fact is that the Federal Reserve exists for one overarching purpose: To amass wealth. They’re not here to build your wealth. Sure, if you can get wealthy while they’re doing so, they’re fine with that. But, in the long run, the more they can addict you to their printing press and debt machine, the more they can get out of you.
Sound too incredible? Sound too on the edge? Perhaps I sound like some sort of conspiracy theorist. Consider Edward Griffin, author of The Creature from Jekyll Island: A Second Look at the Federal Reserve, whose recent speech is discussed by Doug Hornig:
Griffin believes that rather than being a failure, the Federal Reserve has been vastly successful. The problem is, he said, that the American public has no idea what it actually is that the Fed set out to do. Its mandate is not, said Griffin, to ensure currency stability nor to keep the US economy afloat. Instead, since its inception, the Fed has only had one purpose: to serve its member banks.
Griffin made no secret of his conviction that the Fed is a criminal organization engaged in the legalized plunder of the American population. Through excessive money-printing and the ensuing inflation, the Fed is basically imposing a massive tax. It’s a stealth tax, said Griffin – but as old Will so aptly stated, “A rose is still a rose by any other name.”
Americans, Griffin asserted, have been completely hoodwinked as to what’s happening, namely that they are being robbed on a massive scale. Since the gold standard was abandoned in 1971, the dollar has lost 80% of its value. If this kind of larceny had been done out in the open – say, by the government imposing an 80% income tax for 40 years – we would have had another “Off with their heads” French Revolution in D.C. a long time ago.
Here’s a short quote from the video above. You can read the interview in whole here.
We’re back to the realization that the Fed is a cartel; but it’s more than a cartel. It’s a cartel in partnership with the federal government. We really have kind of a duopoly here. The bankers and the politicians have formed this partnership that works very well for both of them.
No amount of QE is good for the people, good for the economy and/or good for the country. As we discussed yesterday, it only makes matters worse.
Will there be a time when the American people say enough is enough? It’s hard to tell. This happens once in while in various countries. But the U.S. was spawned from such confrontation. Perhaps it is this very history, and the trust in it, that will be our undoing. Perhaps we have trusted our government to actually represent us to our own destruction.
Current sentiment, if polls are to be believed, is toward more of the same. As long as people are continuously promised favors from the government, they’ll vote for the status quo. Only when they realize that the status quo involves chains and a cage will their voices become loud and perhaps coherent. By then it may very well be too late; in may be too late already.
But we still are able to take steps to determine our own fate. Perhaps you can’t do anything to change the country. But you can change your personal circumstances. One means we can help with is to divorce yourself from the current fiat system, to a certain degree, and embrace histories one true money. Precious metals provide a means of private and enduring wealth preservation.
For your prosperity,
J. Keith Johnson
The Gold Informant