"Corporate Greed" Doesn't Cause Inflation -- The Federal Reserve Does!
Democrats are struggling to redirect the blame for inflation off of Biden. They should put the blame where it belongs -- on The Federal Reserve! Instead, Democrats have decided to go with a dead end misdirection. They're trying to blame "corporate greed," which is an illogical waste of time that further bamboozles anyone who believes them. The problem of inflation will never be corrected until enough people understand that the source is always The Federal Reserve.
Hello, everybody, and thank you for tuning in to the Liberty Report.
With us today is Chris Rossini, our co-host.
Chris, welcome to the program.
Great to be with you, Dr. Paul.
Very good.
We want to talk about inflation and that sort of thing.
And I think the inflation in some ways connected to this thing called the Federal Reserve.
So I'll bet we talk about the Federal Reserve as well today because, you know, we have these politicians get out and they want to talk about inflation, and then they're looking for the scapegoats.
It used to be labor costs and corporate profits, but now it's politically incorrect to blame labor costs.
So it's just corporate profits, and that causes the inflation.
Well, we happen to disagree with that, and we think they should be talking more about the creator of inflation, and that's the Federal Reserve.
And we also have to, you know, assess what's really going on.
The markets are rocking, you know, and what's happening with interest rates.
Oh, and there's going to be a pivot and there's going to be a shift and what's the balance sheet is doing.
So there's a lot of unknowns out there.
And that's one of the reasons why we do partnering with Birch Gold because although gold is not soaring on today's market, if you look at it over the years, it has soared a lot in the past.
It's going to soar a lot in the future.
And that is, it started at $20 an ounce and it's a little bit more than that.
And it comes in bits and pieces, but I still believe very strongly that what they're doing today is going to be very instrumental.
And that's why we work with Birch.
And there's a text number at the bottom of the screen.
So if you want to get some free information from Birch Gold, you can do that.
But the point I want to make about this is there's so many unknowns out there.
They come up with statistics that they lie about.
But there's a controversy going on right now about what's really happening with the balance sheet.
Are we getting the honest information?
And I do question that.
Just like there's questions about especially silver prices being rigged and gold too.
But the government's been doing that for a long, long time.
When you think they fixed it at $35 an ounce for 40 years, that shouldn't be a big surprise.
But if we want to make a case for gold becoming important, we have a lot of history, like 5,000 years of history, about gold and why it has been a haven for the irresponsibilities of governments, especially when they have monopoly control of a currency that they can manipulate.
And it's also related, and most people recognize this, and that is it tells us something about what the government's doing in spending.
And guess what?
That's a bipartisan issue, and that's why there's going to be some very positive things happen here in the next election, and I think that's all very good.
But there's a couple things that are bipartisan that's going to be a little tougher, and that is cutting spending.
And so, I think the debasement of the currency, the debauching of the currency, the real inflation, that's going to continue, and that's why it's going to be important to have a contact you might want to get in touch with, and that would be the Birch Company.
But the spending is going to continue because it's bipartisan for the military-industrial complex and the welfare state to be continued.
So, debt is going to continue, and the only thing is that they can't raise taxes, but it is going to be taxed.
Of course, it's taxed the only way because the market's so powerful, the market will liquidate the debt and the malinvestment because there can't be growth, you know, real growth under these conditions.
So, that's what we're looking at in the future.
So, and the way you write the way you get rid of the debt, the way you eliminate the debt is you eliminate it through the destruction of the currency.
So, if somebody owes a billion dollars and you double theoretically, if you double the supply of money and the dollar is worth 50% of what it used to be, you've just been taxed.
So, that's the way the debt will be liquidated, and along with that will be the liquidation of male investments.
And all you have to do is turn on the financial news every day, and you'll find a company that's facing that type of thing.
And yet, overall, there's still a lot of optimism out there because there is a manipulation of the markets, and a lot of people are still in the stock market.
So, there's been a lot of people who actually believe the number one role for the Federal Reserve is keep the stocks up.
But it's impossible to do that forever.
Eventually, you know, there's a collision with reality, and I think that's what we're facing.
So, that's why we talk about gold so much.
But I wanted to talk today, Chris, a little bit about the Speaker of the House, because I've mentioned her already on some of her statements about inflation, and they are so bad.
The reason why I do it so much is we really have to understand what the opposition is thinking.
And even though some of the things she said this past week is absurd, it really is a reflection of a lot of people's thoughts about what inflation is all about.
So, I want to start off with one short quote from her that caught my attention because she said that the inflation is bad, but the one problem she faces in politics and what everybody faces now is she hears too many people talk about it.
So, she says, when I hear people talk about inflation, we have to change that subject.
Inflation is a global phenomenon.
And she went into this.
Of course, what she doesn't like is the talk of the inflation because there's an election coming up.
But this is the line that I think is so characteristic of somebody that's not quite with it on what inflation is all about.
The fight is not about inflation, it's about the cost of living.
Well, it is about the cost of living, but that's what inflation does.
And that's why the country's in trouble, the Democrats are in trouble, and a lot of Republicans who run up debts and aren't willing to really cut spending.
That's why they should be criticized for it.
Because living beyond one's means is never a good idea.
Eventually ends.
An individual has to declare bankruptcy and try to pay off the bills.
And that's what this country's trying to do, but it's not as easy.
And like I said at the opening, the debt will be liquidated, but it will be liquidated by the devaluation of the currency.
Chris.
Very good, Dr. Paul.
Yeah, we've been talking about this for so long.
Even before the inflation hit, we were saying, you know, when it hits, you've got to keep the eye on the Fed because they're going to try to misdirect you, blame Putin, blame what we're talking about today, corporate greed, you know, anything but the Fed.
And, you know, it's nonsense.
Corporations, if they're greedy, they're greedy all the time, not all at once at the same time.
You know, if a single company wants to double the price of something simply because they want to, you know, it doesn't mean anybody's going to buy it.
You know, we could be called greedy because we want to pay the lowest price all the time.
You know, at my supermarket, the coffee that I buy has gone from $10 to $14 over this last year.
And the government says that inflation's 8%.
Well, that's a 40% increase in my coffee.
But you know what?
At $14, it sits there.
People don't buy it.
It doesn't mean people are going to buy it, and I don't buy it.
I wait for it to go back on sale, and then everybody snaps it up.
So just raising prices doesn't mean that you're going to make a sale.
But what we're talking about with the economy is when all prices go up at the same time.
And it's not because corporations get together and say, okay, ready, everyone?
Let's raise them.
That's impossible.
It doesn't, you know, you can't even do something like that.
Prices going up throughout the entire economy is a reflection of the valuation of the money, and that is from the Federal Reserve.
Remember all those trillions that they printed for the COVID and this and that and all the wars, all the stimulus?
Remember when government was going to make college accessible to everyone, and how did they do it?
Over a trillion dollars in debt, and what happened to the price of college?
It skyrocketed.
Now it's accessible to no one.
So this all comes from the Federal Reserve.
This corporate greed blaming it is a total misdirection.
Blame the source, the Federal Reserve, and then we can start addressing the problem.
Very good.
You know, in that interview with Margaret Brennan that Pelosi had, Brennan, you have to give her credit because she pushed Pelosi a bit on this.
And the subject came up about, you know, what would Pelosi do after the election?
Is she going to be around?
Is she still going to be speaker and all this?
But that is another thing.
We don't talk about inflation, but we're not going to talk about what am I going to do after we have the election.
I'm here for Diffany.
I'm not here to talk about me, she said.
Talk About the Future00:03:26
I'm here to talk about the future.
America's working families.
Who are these working families?
Are they all Democrats or what's going on?
But she's for the children.
It's always about the children.
And I keep thinking, what is in the news today about the children?
And they show what's happening in the schools and how they've suffered from lockdown and all these multi-genderism that goes on.
And she's bragging about we as the Democrats are going to talk about taking care of the children.
Well, I'll tell you what, the one thing about inflation is you're not talking about their children.
We always talk about a future generation.
But right now, you have to change that a little bit because that future generation is here right now.
And that's why we have so many people out on the streets and people Just suffering from all this, all these problems.
So I think that generation is here.
And when you look at what's happened to our schools, you would say you don't have to wait for the next generation, but they're always doing it for the children.
And fortunately, Chris, we've noticed that some of the parents are waking up and they're starting to say, hey, it is for the children and we.
And they subtly are saying, we've sort of neglected them.
We trusted our government.
We trusted our schools.
And they're appearing there.
There are a lot of people running for school board and other things that go around.
So maybe this mantra about, oh, it's always about the children, but for a progressive, that means give them more stuff and don't punish them forever and they can do no wrong and there's no discipline, the kind of thing that has led us to where we are today, Chris.
Right, right, Dr. Paul.
You make a great point.
And it's selective blame with the progressives.
And I think progressives have really lost their way.
That's why on the show we tend to mention good progressives, because there are good progressives out there, and actually we work with some of them.
But, you know, the blame now is on oil companies.
It's so obvious.
But where was the blame on big pharma during COVID?
Nope, not a peep.
They raked in tens of billions of dollars.
How about the military-industrial complex?
They rake in trillions of dollars, and the progressives are all for it.
You know, not a word.
Give it all to you.
Every week, we saw another 275 million to Ukraine, so-called.
That's going to military contractors, big corporations.
And progressives are supposed to be looking out for the people, not big corporations.
But it's the exact opposite, unless it suits their political agenda, so they'll blame oil companies as a token gift.
But progressives have, they'll claim to be for body autonomy, but not when it comes to vaccines, your bodies, you don't have autonomy.
You're going to do what somebody else says.
They claim to defend the workers, but look at how many people were fired for those silly, ridiculous mandates.
They lost their livelihoods.
And like Dr. Paul said, they claim to be for the children, but look what happened to the children.
Unnecessarily masked social distancing.
Their social lives were torn apart for what?
For no reason.
So, oh, I could keep going.
Freedom of speech.
The progressives are for censorship, against diplomacy between Russia and Ukraine.
Wages And The System00:12:30
I mean, if you can't be on the right side of World War III, you're on the wrong side.
And that's why progressives have lost their way.
The good ones need to find a way to take over again because, you know, their whole ideology is going down the tubes.
Well, that's absolutely right.
You know, Pelosi's on her mantra about inflation and the corporations making too much money, the greedy corporations, they have too much profits and they should be made to pay, and we have to tax those individuals.
I wonder if her friends will get taxed.
For some reason, I'm not so sure that's going to happen.
But inflation actually does the opposite of what she thinks, because there's a lot of she thinks inflation, you know, if you solve the problem, you're going to make it a more fair system.
But the inflation of the currency actually diminishes real profits.
The numbers go up and you have a company.
Just look at the social medias.
They've been making a lot of money for a lot of years.
And all of a sudden, it wasn't real.
It was fake because it was based on an economy that is an inflated currency and malinvestment.
And it looks like a huge amount of profits, but it really is a fake profit.
And that's why she said that you can come along and use the profits that were created by inflation.
At the same time, she doesn't want to really cut inflation.
They just go on, and they want to keep doing this, and the profits aren't real.
That is really the problem with fiat money.
It's dishonest.
It's immoral.
It's not economic.
It's not constitutional.
And it's all based on deceit.
And we have the benefit of being the issuer of the world currency.
So therefore, we literally get to export the inflation.
That's our biggest export.
We print the money.
And even today, when you look at Europe, look at the trouble Europe has.
It's more trouble than we have, and we have plenty.
And then when you look at what's happening in the rest of the world, in the third world nations, but it is related by a system of government which is deceitful.
We're going to take care of you from cradle to grave.
We're going to take care of the world.
We are going to be the policeman of the world.
Printing money doesn't matter.
And if we need money because people are making profits off this system, we're going to tax it.
And of course, they find out that all of a sudden some of that money isn't real.
It's fake money.
So all I can see now is things are going to get much worse.
But I think people are waking up, keeping my fingers crossed, that we will finally start moving in the right direction and say the problem is too much spending, too much taxes, too much policemen of the world, too much policemen of individual liberty here at home, too much lockdowns, and on and on.
They've just forgotten totally what the principle of liberty is all about.
But I think there's an awakening how our people are thinking along this lines.
That's why a lot of people are correctly saying, you know, this election might be a very significant election.
You know, I used to really, you know, I get a little bit annoyed with that because for years, 10, 20, 30 years, I've always heard, oh, this is the most important election ever.
This is the most important election ever.
But then after it was over, nothing changed.
So right now, today, I'm keeping my fingers crossed that maybe this election will be one of those elections that things will change.
They can't change everything at once.
There's no doubt about it.
You can't wave a wand and all of a sudden say that we're going to have balanced budgets and no Federal Reserve.
That doesn't happen.
But it is very important to do the things you can do because look at how Biden made things worse on energy.
They say, well, that's all inflation and that stuff.
It went up.
It went up because of inflation of the monetary system.
The prices went up because of the base currency.
But it also went up when there was an interference in the production of energy.
And when they closed down the drilling and closed down all the facilities to help increase the supply and then get involved in wars around the world and pipelines being blown up.
It just makes no sense whatsoever.
So there are things that can be done short of waiving the wand and have everything change.
But what has to be, people have to understand why it's done, what needs to be done.
And if steps go in the wrong direction, people start to see improvement.
That would be good.
A few years ago, people, I think, thought that was happening, but that was sort of canceled out these last couple years.
Excellent, Dr. Paul.
I will finish up by saying, yeah, greed is a real thing, and it's an individual issue.
We all have to contend with it.
We all have to curb it.
But amazingly, many people, too many people, believe that politicians, and they set themselves up this way, they believe that politicians are there as protectors of the people against other greedy people.
And this is one of the biggest political cons out there.
Today, politicians are some of the greediest people on earth.
You know, there's very, very few statesmen that are in our government.
You know, how many, we hear the stories all the time.
End their government with virtually nothing and they leave filthy rich.
You know, this is what public service is.
You go in with nothing and you come out with tens of millions of dollars.
So we're supposed to believe that these are the people to protect us from greedy corporations.
No, they work with each other is how it works.
And there's a reason why that they keep the focus off the Fed.
And Dr. Paul pointed out, the reason why they don't want to blame the Fed and just blame anybody else is, one, is politics.
They want to take it off of Biden, take it off their party.
But they also want the Fed there, both left and right.
Because the Fed prints the money and they create the welfare state, the warfare state.
If you get rid of the Fed, you get rid of that.
And you get rid of politicians going into government and coming out rich.
So if they blame the Fed, go after the Fed, audit it, and end it, that's going to end their own gravy train.
So the chances of the two political parties ending the Fed are very, very slim.
That's the bad news.
The good news is what Dr. Paul has said all this time, is the Fed is going to end itself.
It will destroy itself because it's going to destroy the currency brought on by left and right spending.
And people will lose confidence around the world and here and will have no other choice but to return to sound money.
So there's good and there's bad.
The best that we can do is try to understand it and try to teach others the importance of getting rid of the Fed ultimately and instituting sound money once again.
Very good, Chris.
I'm going to make a little statement here to close out for today.
But I think one of the biggest mistakes made by those who would continue to want us to ignore the real cause of inflation, they get us to concentrate on prices and then blame somebody.
There's always somebody to blame for it.
And right now, it's come a place to blame the corporations and blame capitalism and all these other things.
But the price, so if it's the prices that they're dealing with, all you have to do is control prices.
And notoriously, even back to Roman times, they had the same problem.
They debauched the currency, prices went up, so they would control prices.
And it's happened in the 20th century quite a few times.
Even in my lifetime, I think it's three times they've had wage and price controls.
And sometimes these corrections on wages and prices, in order to get back to where things are supposed to be, the prices have to come down and the liquidation have to occur.
But people won't say you can't go out and say, well, prices have to come down.
It have to be more normal.
You can do that to a degree, but price controls are really bad.
But what about wage controls?
That's even worse because that can cause a revolution.
But it's happened before.
But the people who manage the monetary system and they want wages to come down, they don't talk about wages.
Let's say the minimum wage used to be $7 and now it's $15 or $25 or whatever it is.
But real wages haven't done that.
The real wages, you know, have gone down.
So either nominal wage is up and they will manipulate it.
And also, when there wants to be prices come down on drugs or whatever, it's no problem for the spenders.
They'll send out checks and say, here, you can pay that, or you have free medical care and free stuff here.
And we certainly saw a lot of that during the COVID lockdown, how many trillions of dollars were printed to tide over all the mistakes made by this authoritarian approach to the lockdown.
So far, it's not a whole lot of people that we see will talk about what's happening here.
Austrian economics is out, you know, it's out there, and a lot of people believe it, but there really aren't, you know, on the evening news.
So I realized that in the time I was in Congress, people used to say, what's this Austrian economics?
Who's this guy?
Mises.
That's changing, though.
There's more people realizing it.
And there's more people who are starting to say, I don't trust the government.
And that's a good sign that you're moving in the right direction because the very nature of government is to maintain power by telling lies.
And they have no guilt about it.
And they go about doing what they want, but they maintain their power by just more lies, innuendos, and feeding them this nonsense that has been fed to them in universities.
That's what the universities teach.
So we are at a crossroads where, you know, this will not continue as is.
It will have to stop.
The big thing is, is trying our very best to make sure the people opt for more liberty and not opting out for another interventionist planned society.
See, we have a planned economy because we don't like socialism.
We don't like communism.
We just like authoritarianism that tells in a kind sort of way, we'll just give you a lot of money and take care of things.
But no, people have to realize that, you know, they haven't canceled out the whole principle of work and production and savings and living within one's means.
That will have to come back because eventually the whole thing collapses when there's a total loss of the currency.
And that is what's happening already.
There are serious efforts right now to compete with the dollar.
I don't think we're on the verge of seeing the elimination of the dollar as a reserve currency, but it could come.
You know, it could come and it will not be good.
But that is a mess.
And people are not accepting the status quo as they have for these so many years.
The Bretton Woods Agreement, which was held things together by lies and innuendos, that's long past.
So now they're just, you know, they're just playing this by ear and trying to keep it together.
But I'll tell you what, we can put it together and we can change things if the majority of the people just say, we want to live in a free society.
We want to assume the responsibility for our own welfare.
We want to assume the responsibility as parents to take care of our children.
And we want to make sure that if the government's involved, it's very, very limited.
Tragically, Little Respect For Constitution00:00:18
And tragically, even though the founders did a pretty good job in the Constitution, tragically, there's very little respect for that.
So that's the type of revolution that we have to have.
Respect for liberty.
And believe me, things would improve dramatically and could be rather quickly.