Wednesday, January 23, 2008

The Federal Reserve

I got into a debate with a guy at work, he is a Finance and Econ major. He said he didn't understand why people opposed the Federal Reserve, or what their problem with it is. I admit to not being up enough on it, so I threw a couple points out about it not being right for a small group of people to control the money supply and mentioned how the Fed's messing with interest rates, is what cause the real estate bubble, and then their raising of rates brought about the real estate crash. At any rate, he was under the impression that the Fed has been very successful at managing the money supply and inflation. I am putting up the following links so I can send him to this page later. But also for others curious about this side of the debate. If you have anything to add or argue, please do so in the comments. This is in an interesting issue that only Ron Paul is addressing right now. And due to the nature of our economic problems in this country today, I think it deserves study.

Ron Paul debates a Fed guy, from 1983. This is part 1, the other parts are clickable from this video.

Ron Paul's Fed debate from 1983 part 1 and part 2 (these are not the full debate which is accessible above, but deals with why "paper" currency with no value won't work, philosophically).

An index of books and internet debate criticizing the Fed.

Happy reading.