Americans are certainly feeling the pain of rapacious government spending, enabled by Federal Reserve counterfeiting. It's one thing when purchasing luxury items is out of reach. It's understandable. That's why they're called "luxury" items. But when buying food is out of reach? Now you can no longer ignore the source of the problem. Counterfeiting always leads to economic ruin, without exception. The Federal Reserve is certainly not the exception. Senator Rand Paul is right. It's time to audit the Fed.
Hello, everybody, and thank you for tuning in to the Liberty Report.
With us today, we have Chris Rossini as our co-host.
Chris, welcome to the program.
Great to be with you, Dr. Paul.
And once again, this must be Friday, must be Friday, and we're going to talk a little bit more about gold in the markets.
Chris Rossini is up there.
You know we're going to talk about good economic policies.
And that's what we're going to do today.
And we will also, you know, talk a little bit about a partner that we work with, and that is, you know, Birch Gold.
And the reason for that is that it's a very important subject, and it just happens that I've been dealing with it even before 1971 when I knew something was coming, or at least others knew and warned us about the closing of the gold window, ushering in the age of inflation.
When you look at statistics, it's proven to be true to have a lot of concerns.
It's amazing that it's held together as well as it has, but it's still very, very fragile.
And what happened back then has generated the conditions that's allowed us to have, you know, what they pretend is a deficit and a debt of $34 trillion.
Well, when you add it all up and all the obligations, it's too big.
They don't have a computer that can hold all the numbers.
So that's the problem, and that's also the reason we talk about gold.
And we have been doing this for a long time.
And one thing that we do is we mention our relationship with Birch Gold.
And the one reason is they're in the gold business.
And if people are not involved and want to get involved and see the different ways that you can protect yourself with gold, they offer up some free information.
So if you text 98989A, if you text Ron at 98989A, they'll send you some information.
And that will help you figure out what to do.
And I think this is an ongoing process because I think we're just seeing really the beginning of some very, very serious problems.
And they will be monetizing that debt because there's nothing else they can do with it.
And when you think about it, when this mess started and people became concerned, back in 1971, gold was essentially $35 an ounce.
And now look at it.
It's over $2,000.
And I just think it's going to continue because there's no way that we cannot have an election.
And the result of the election will be that the conservatives, fiscal conservatives have taken over.
The budget's at balance.
Some of the debt is paid off.
And everybody goes back to work.
And there is political harmony.
It's not going to happen.
That's why we have to be prepared in many ways.
One is understanding the system, and that's why we're involved in education.
The other is understanding what one might do in order to protect themselves against the mess that we have.
And, you know, there's a couple things going on with the Fed right now that tells us that feds are a little bit concerned about what's happening.
You know, a couple weeks ago, they said that it was too early to lower interest rates.
Well, they don't know whether it's too early or too late.
All I know is they should be messing with interest rates, and they don't know what they should be, and they're always trying to guess the market.
But anyway, two weeks ago, they had this policy.
It's too early to lower interest rates.
Why would they be lowering interest rates?
Stocks markets are soaring.
People are crying because of price inflation.
And yet, just yesterday or so, all of a sudden they change.
And it's going to come sooner than before.
And we're hitting yesterday that quantitative tightening.
That means quantitative easing was when they kept buying more and tightening up.
But now they're saying everything looks pretty good and ready to do it.
So they shifted gears, which doesn't make any sense because they more likely are shifting gears because the economy, what they know and what many other people suspect, the economy is weaker than they tell us.
And also that inflation is worse than they pretend.
And under those conditions, they have to be prepared to have the finances there to monetize the debt and try to hold the whole thing together.
So that's what they're doing.
They also had an announcement this week.
It was rather interesting.
So as long as I've been looking at this, I've always often wondered exactly how the banks, you can go to the discount window when you're in trouble.
And that's been available for a long time.
So when there is a crisis, you go and get it and you patch it up.
And if it's not, it does work to the degree it keeps the spreading of it and things can be helped a bit.
So that's important to know.
But all of a sudden they said, well, we don't need this anymore.
We don't need to tighten it anymore.
So that is what they've done.
They've changed it.
And now they are advertising for people, for banks.
Oh, don't look at it.
See, the banks over the years did have a little bit of common sense about it because they said it looks bad to the customers that our bank isn't solid if you're going to the discount window to get bailed out, which is what's been used.
Now the Fed is on an education spill right now because not to teach people the honesty of money and why they ought to be abolished, but they're saying, why don't you use the discount window more?
We want to make this money available to you.
There's no stigma attached to it.
So something fishy is going on because it looks like they know something that we have suspected they knew and a lot of other people do know.
The economy is in a real mess.
The spending is going to continue and there's not going to be a miracle come up in this election year to all of a sudden solve these problems.
We're more likely to see a further explosion of the problems that we're seeing internationally on our borders in the South and what's going on with Texas competing with the federal government on who should deal with this mess.
So that's one of the reasons why I'm suspicious, strongly suspicious, that the dollar is not going to gain its strength.
It's not going to get its value back.
It will gain against other currencies, but it's not going to help the people in this country's purchasing power.
And that's what they should be complaining about.
They shouldn't be talking about some of these other details.
It's the purchasing power of the dollar that's gone bad, badly.
So that's going to be a run.
And I think that this year is going to be a really rough year for economics.
And that's why, once again, if you have not contacted and would like to get some information, you don't have to pay for it.
And that is getting hold of Birch Gold.
And do that by texting Ron at 989898.
And Chris, we want to talk about the Fed a little bit in detail.
And I think we have somebody helping us out, wrote an article about why we should audit the Fed.
I can't imagine who in the world would do such a thing.
Chris.
Well, it's actually a senator that we both like, Dr. Paul.
His name is Senator Rand Paul from Kentucky.
And yes, he is out there calling for an audit of the Fed.
What a wonderful idea.
Because of the secrecy, you know, nobody could know what they're up to.
And I just wanted to go into a little history.
You know, this isn't the first time that America has had to deal with a central bank.
We've had central banks in the past that were closed down.
You know, ever since the very beginning, Alexander Hamilton wanted a central bank.
So they wanted this right away.
The Fed, unfortunately, is the only one that stuck.
And it has stuck with us for 100 years now.
But back in the early 1800s, there was the Second Bank of the United States.
That was the central bank of the time.
And its president, his name was Nicholas Biddle.
And listen to his words.
It could be said by Jerome Powell today.
He said, quote, we believe that the prosperity of the bank and its usefulness to the country depend on its being entirely free from the control of the officers of the government.
In order to preserve that independence, it must never connect itself with any administration.
Now, I'll agree with that it should never be connected with any administration.
We don't want Nancy Pelosi printing money or Lindsey Graham or Nikki Haley.
God forbid, if they had the printing press, we'd be in wars all the time and we would collapse a lot faster.
But neither should a private bank be able to print money either.
It doesn't make it right just because politicians can't print money.
It's wrong for a private bank to print dollars, period.
And that was actually one of the, in the Constitution, one of the federal laws, no counterfeiting.
So they outsourced it to a private bank.
And they do it in secret.
You don't know what they're doing.
Like Nicholas Biddle said, you know, we're independent.
You don't need to see what we're doing.
And that's how it is with the Fed.
And what are they doing?
Who are they bailing out?
Are they giving money to foreign countries, foreign corporations, U.S. corporations?
What's happening?
And it's all happening in secret.
And Rand Paul is saying, we need to audit.
We need to see what's happening.
What are you doing?
And of course, they're going to say, oh, no, no, we are independent.
You can't see.
It's like Pfizer.
You could see about the vaccine in 75 years.
Well, the Fed's even worse.
You could never see what they're doing.
So it's all bad stuff.
But hopefully the good senator from Kentucky can make some inroads.
You know, that word independent is important because anytime I had conversation with the Fed people and argued the case for transparency, it's just one of the reasons why we were able to get at least passed in the House to audit the Fed.
But their argument always was independence, and you mentioned that, Chris, because independence means, you know, keeping it out of the hands of the bad people.
But that can be done by just following the Constitution.
What they were concerned about in the Constitution was there was a lot of inflation.
You know, the Continental Dollar was inflated, and they had that on their mind.
But the states generally issued paper money.
They called it bills of credit.
So the Constitution prohibits the states from using bills of credit.
But this is one place where there's been progress.
There's several states now of the people who are interested in this.
They had gone to the state where it belongs.
It's up to the states because it's explicit to the state.
The states can't use anything else other than gold and silver.
So what they have done in these several states has been to make sure it was legal to exchange gold and silver and get rid of the taxes placed on it.
So if you have gold coins and you buy them and then use them or sell them or whatever, there would be capital gains taxes and sales taxes could be put on it.
But now that is spreading, and I think that is great because as the federal system breaks down, there will be more of this.
And that's why I think getting rid of these taxes are so important.
But this to me is an issue that is not going to go away.
We need to let the market deal with this.
And, you know, Chris, you described it so well, this contest going on about the Fed.
You know, it's been going on for a long time.
I think Jefferson and Hamilton had a bit of a discussion on that because obviously Jefferson was a gold standard person and he was against the national bank.
And Hamilton argued the other side.
And there's been some ups and downs with it.
Right now, it looks like Hamilton's been winning the political power, but what he's not winning is the hearts of minds and men's and the economic conditions that we have because there's a mess out there.
And the Fed is totally useless.
And right now, everything they do, there's a scheme to it.
But what they won't admit to, if they say, well, we spend a lot of time.
We have a lot of computers and we hire a lot of people to figure out what the interest rate should be.
Well, that totally contradicts everything Austrian economics teaches because it has to be set by the marketplace.
So this is probably the most important price around is the fixing of the interest rates by the Federal Reserve.
And that what they're doing is trying to regulate the economy.
Oh, there's prices going up.
So what we better do is we better increase the economy and we print more money on and again.
They have no idea what they should do.
And that's why the trends and the trends and what's happening are predictable.
But to decide when the dollar is going to meet its fate, it's systematically and slowly and steadily eroding.
But, you know, you don't know exactly what date everybody gives up on it.
But there's a lot of rumblings, and you'll never be able to separate this monetary policy from our foreign policy because our empire, you know, we throw our weight around and we threaten people with militarism and we also threaten them with financial penalties and interfere with free trade and putting on sanctions.
So we don't have as many friends out there.
At one time, we're well respected because the reputation was that we were the champions of sound money and liberty.
But that's not the case now.
That's why things are held together very loosely.
And we have to be prepared for what's coming.
And quite frankly, I think the most important thing is for us to contribute to a broader and a sounder understanding about monetary policy and why you can't have fiat money and think it's going to work.
No, it isn't going to work.
It's not working.
And it has never worked in the past.
It's the same story that just keeps repeating itself.
And, you know, speaking of work, we're working right now, Dr. Paul and I.
Emergency Measures Needed00:05:52
But what's happening with our money?
Are we just working for value that's just disappearing?
And the answer is yes.
And I see it clearly when I go to the supermarket.
It's sickening, you know, walking out of there with not very much and spending a ton.
But we talked about the private bank part of it, but there's the other side.
This is a marriage here.
This is the government that created this system.
The Federal Reserve Act.
And they have their hands in this because they get to spend whatever they want, and it doesn't matter what we think about it.
Think about the COVID relief funds.
First off, it was the lockdowns, the stupidest thing that they've ever done.
And then they were going to fix the problem by printing trillions of dollars.
And now here we are with skyrocketing prices.
What a surprise.
But then they spend on wars and wars and wars, Ukraine and Israel.
How are they able to do this?
And why do we have no say in any of this?
You know, it's because when the government wants to spend, they say, hey, we need money.
Here's a bond.
We're going to issue this bond.
And the Federal Reserve comes in, creates money out of thin air and buys the bond.
And that's it.
The government has the money.
You don't care what we think.
They have the money ready available and they can, and that's why they grow so rapidly in all aspects of our lives.
And we're just sitting back and watching.
We have no say in any of it.
So this is a marriage between the government that wants to spend without limits and a private bank that wants to do everything in secrecy.
So what needs to be done ultimately after auditing, if that ever happens, and hopefully it does, is to finally separate these two.
Separate government and banking.
They're no longer allowed to work together.
You know, I'm going to quote a paragraph that Rand wrote in this article pointing out how this comes about and how the emotions changes the situation and also galvanizes the people to go along with it.
And he refers to the pandemic, the so-called pandemic, and all the false news we got there and the fear-mongering.
So he said, the 2020 pandemic and the Fed added to our fiscal nightmare by printing billions of dollars out of thin air, providing big money to industry favorites and adding nearly $5 trillion to the balance sheet, the largest in our history.
Even the Fed itself admitted that stimulus throughout the pandemic was a key cause of rampant inflation experienced by the American economy.
And so the emergency comes up, and if you don't have one, you create one.
Wars are coming up.
I mean, we're around the world always looking for, you know, there's about three or four hotspots in this world.
Now we have a hotspot in Texas fighting with the feds.
So it's going on.
So it happens all the time, and people don't realize that you can't say, well, it's all Biden's fault.
Well, Biden, he's a little, I might say it, but he is not the answer.
He is a contributor.
It's probably one of the worst.
But this is a bipartisan issue because you have warmongering war hawks in the Republican Party and the Democratic Party.
And that's one of the major reasons why the big budget is, you know, the military budget.
Except for now, and we've talked about this, Chris, earlier on, but now it's the interest that we have to pay on the money that we have given to the military-industrial complex.
So it's a cycle that's not going to keep cycling.
It's going to end because the people will more and more give up.
So I think people should take a hint from what the Fed's telling us that they are reconsidering, oh, maybe we better lower interest rate.
Well, on the surface, they're telling us everything is beautiful.
And so they also say, and in case you need some emergency money, don't think it's a negative.
Don't think there's a stigma if you have to go to the Bank and borrow more on an emergency.
Don't do that because we want you to do that.
Don't feel badly about it and we're going to make it available.
That tells me that they're anticipating and they're moving in, changing their policy.
But two weeks ago, their policy was opposite, and now the policy is changing.
And that just is confirmation.
And I don't think they know what they're doing because nobody can know exactly what will happen.
They say, well, if you print a lot of money, the interest rates is going to do A, B, C. Maybe.
Depends on what the people decide to do with their money.
And they don't know where the money's going to go exactly.
And that's the whole thing that you can't predict because there's a subjective element in all this.
The people do things for various reasons.
They're not measurables.
Computers aren't helpful.
They're just a distraction.
And that's why the great book of economic policy, Human Action, emphasizes that point.
It's human action that makes a difference.
And we have to guess, and there's pretty good time that we can.
But if we say, oh, the Democrats are the only ones that create these problems, Republicans, it's not the Republicans' fault.
And you'll listen to all that demagoguery, you know, in this year.
But the truth is, is they've all gone to the, not all, but most of them have all gone to the same university.
Human Action Makes a Difference00:03:21
But they went to Prestigious University.
They went to Harvard and these other places.
And you've got the straight scoop at the time.
So you can't depend on that.
But that's why so much of the education right now, the good education, is coming from independent people doing their own studying, homeschooling, private schooling.
We're free enough to find the information, and I think free enough to have an influence.
So in spite of all these problems, I still think there is a remnant of people that's growing in numbers that are becoming aware out of necessity that there's a better system and it is related to the things the founders wanted and how they promoted peace and prosperity.
Chris?
Excellent, Dr. Paul.
I will finish up.
Yeah, hopefully if we're doing a good job explaining this, our viewers are like, this is so easy to understand.
Why are we even in this predicament?
Well, I'm sure there's a lot of reasons why.
A couple that come to mind, like Dr. Paul just said, education.
You're never, ever going to learn this in a government school.
They're not going to teach you how to take away their bread and butter.
And also government, you know, they're not good at very many things, very, very few things, if anything.
But one thing that they are excellent at is controlling narratives and keeping the focus off of themselves, keeping people focused on other things.
And control of the media is one of the great ways.
If all the media is saying, here, look over here, well, then you're not going to look where you're supposed to be looking.
But here's the silver lining.
The controlled media is dying and quicker than ever.
Just this week, I saw three more companies are laying off because people, and I think COVID was a big one.
They know that these media lied for years and who can trust them anymore.
So that works in our favor.
But another thing that works in our favor is we have the Internet.
Now, from the perspective of people in power, the Internet is a tool to monitor and try to control the people.
That's from their perspective.
But from our perspective, we can speak the truth to other people that goes around the controlled narratives.
So, with social media, with what we're doing right here, this is on the internet.
And that's why Elon Musk, ostensibly, he wants free speech, and they are attacking him from every single angle to try to prevent it because free speech is the greatest enemy that they have.
Because it's easy to go after a centralized, okay, here's the leader of this group, here's, you know, go just take him out, and then you solve the problem.
But with the internet, when truth spreads, it spreads in every single direction, and there is no one person to go after, not one organization that you could just shut down.
And that's the opportunity, especially for the young people, to seize it, you know, learn the principles, learn why this is wrong, and then speak.
And who knows which direction it can't be stopped.
You know, so it's possible that this monster could be slayed someday simply by speaking the truth.
So that's the optimistic angle.
Fighting Demagogues and False Narratives00:04:25
There's a lot of bad stuff that you have to deal with in the meantime, but we're going to remain optimistic here.
You know, Chris, you mentioned the whole fact, who controls the narrative?
And that is pretty darn important.
That's the professional demagogues, and that's how politics, that was the most disgusting part about being in politics, is that even in a mild, polite manner, they're always demagoguing.
You know, they're saying stuff always in a political sense, and the goal is political power.
And, you know, I think about creating problems to distract the people, I think, is another favorite.
I keep trying to figure out all the details, and they'll become available, and history will prove what so many people now believe is what happened on January 6th.
Yeah, it was a mess.
And there was a lot of reasons for criticism.
But an insurrection, it was so bizarre of charging that.
Nobody's ever charged anybody legally.
Nobody's been arrested and said, you caused an insurrection.
They won't deal with it because they know it wasn't an insurrection.
And yet, but politically, just think of what has happened these last three years.
It just demagogue and demagogue.
And what do you think was happening during this time?
The real insurrection was occurring by an invasion, a steady invasion of people that have no rights to come here and take what they're getting.
And there's no justification for our politicians to capitulate and do whatever we can to invite them here and say, whatever you want, you get.
And that to me is, you know, people constantly, everybody knows, especially those on one side of the aisle, that knows there was an insurrection.
If you don't believe that, you're un-American and you're nuts.
But maybe the FBI was really involved in the insurrection or the demonstration.
But, you know, people for a long time, I had a struggle after Kennedy was assassinated.
Just think if the FBI and the CIA can take a decade of assassinating two Kennedys and Martin Luther King, you know, our government deserves a little bit more closer watching.
Now it's still going on, that same type of system.
But now we've had this invasion, and people, the contest will be, will there be a lot more money spent in this campaign about the insurrection and why they all should be arrested.
And of course, the position there has been so bizarre and overwhelming that it was all Trump's fault.
And that's why we're charging him with all these crimes.
How many are there?
100?
A couple hundred crimes he's committed.
And they say, and I get so amazed that there'll be Democratic pundits, and they'll come out.
How does he do it?
Why do they still support him?
Why do they not listen to this?
This guy's a criminal.
He should be in prison and all this stuff.
And I keep thinking, well, maybe it's because the people that are promoting this aren't believable.
Because governments, fortunately, aren't believable as much as they used to be.
So that's a healthy sign.
But the next major step is what is it going to be replaced with?
Is it going to be replaced with no knowledge or desire to find truth?
Or will it be finding truth and replacing it with the lies that go on?
And believe me, as the condition gets worse, there's going to be more and more.
And the one thing that we better do our very best is to try to soften this thing because it will soon become very violent.
And I am concerned about what's going on about the battle between the Texas militia against Biden, you know, and they'll have to prove a point.
Belief in Liberty's Consequence00:00:35
But I think the solution is obviously using the Constitution as a guideline for what we have.
Think about peace and prosperity as a consequence of liberty.
And that there's still a lot of people that believe that way.
And I think our numbers are actually growing.
But the people who are making the most noise and have the sounding microphone, they do outnumber the people who say that we should live in a different manner and we should follow the Constitution no matter what year it was written.