by: Jeff Berwick
July 26, 2012
Ron Paul’s Federal Reserve Transparency Act (H.R. 459), or “Audit the Fed,” passed Wednesday July 25, 2012 in the U.S. House of Representatives by a wide margin of 327-98, exceeding the two-thirds majority needed. It had 274 cosponsors. But, by the evening of the same day, mainstream press around the country was already preparing the people for the bill’s fate in the Democrat-controlled Senate. As the Chicago Tribune and others reported, it had little chance of passing in the Senate, let alone being signed into law by the President. In fact, Senate Majority Leader Harry Reid has already said that the Senate will not even consider the bill, because, as Ron Paul told CSPAN, he didn’t have the “guts.” With this in mind, as well as their own reputations, Romney, Boehner and Cantor backed it. Even Harry Reid backed it… in 1987 and 2010, but now he has changed his mind on a Fed audit for some reason.
But, here is the plain fact of the matter. We already know what the Federal Reserve is doing. Sure we may not know exactly which banks get exactly which graft, which may be of some interest. But for the most part we know exactly what they are doing. They are artificially price-fixing/manipulating interest rates at 0% through to 2014… which will be six years of ZIRP. And they are counterfeiting as much money as is necessary to support the massive trillion+ dollar deficits that the US Government has been doing for the last five years and with no end in sight in an unprecedented amount of money printing that has never been surpassed in Federal Reserve history.
And, any audit that uncovers these two facts will do nothing to change anything. The western world’s propaganda campaign to teach only Keynesian economics, which are pro-money printing and deficit spending, have enveloped all levels of society now. It is all that is taught in the economics department of almost every university in the west including Harvard and Oxford. So, will auditing the Fed change anything? Of course not.