Ron Paul ..tells it like it is

As McCain and Obama carry on with their lies and watered down "truths",Ron Paul continues to tell it like it is....notice how he gets to the heart of the issue ,unlike the ILLUMINATI clowns Obama and McCain

Ron Paul: Something Big is Going On
Posted July 2nd, 2008 by xntryk1
http://www.campaignforlib...
This entry was posted on Wednesday, July 2nd, 2008 at 4:58 pm
Something Big is Going On
The following statement is written by Congressman Paul about the pending
financial disaster. He will introduce this statement as a special order and
insert it into the Congressional Record next week. Fortunately, we have the
opportunity to debut it first on the Campaign for Liberty blog. It reads as
follows:
I have, for the past 35 years, expressed my grave concern for the future of
America. The course we have taken over the past century has threatened our
liberties, security and prosperity. In spite of these long-held concerns, I
have days—growing more frequent all the time—when I’m convinced the time is
now upon us that some Big Events are about to occur. These fast-approaching
events will not go unnoticed. They will affect all of us. They will not be
limited to just some areas of our country. The world economy and political
system will share in the chaos about to be unleashed.
Though the world has long suffered from the senselessness of wars that
should have been avoided, my greatest fear is that the course on which we
find ourselves will bring even greater conflict and economic suffering to
the innocent people of the world—unless we quickly change our ways.
America, with her traditions of free markets and property rights, led the
way toward great wealth and progress throughout the world as well as at home
Since we have lost our confidence in the principles of liberty, self
reliance, hard work and frugality, and instead took on empire building,
financed through inflation and debt, all this has changed. This is indeed
frightening and an historic event.
The problem we face is not new in history. Authoritarianism has been around
a long time. For centuries, inflation and debt have been used by tyrants to
hold power, promote aggression, and provide “bread and circuses” for the
people. The notion that a country can afford “guns and butter” with no
significant penalty existed even before the 1960s when it became a popular
slogan. It was then, though, we were told the Vietnam War and a massive
expansion of the welfare state were not problems. The seventies proved that
assumption wrong.
Today things are different from even ancient times or the 1970s. There is
something to the argument that we are now a global economy. The world has
more people and is more integrated due to modern technology, communications,
and travel. If modern technology had been used to promote the ideas of
liberty, free markets, sound money and trade, it would have ushered in a new
golden age—a globalism we could accept.
Instead, the wealth and freedom we now enjoy are shrinking and rest upon a
fragile philosophic infrastructure. It is not unlike the levies and bridges
in our own country that our system of war and welfare has caused us to
ignore.
I’m fearful that my concerns have been legitimate and may even be worse than
I first thought. They are now at our doorstep. Time is short for making a
course correction before this grand experiment in liberty goes into deep
hibernation.
There are reasons to believe this coming crisis is different and bigger than
the world has ever experienced. Instead of using globalism in a positive
fashion, it’s been used to globalize all of the mistakes of the politicians,
bureaucrats and central bankers.
Being an unchallenged sole superpower was never accepted by us with a sense
of humility and respect. Our arrogance and aggressiveness have been used to
promote a world empire backed by the most powerful army of history. This
type of globalist intervention creates problems for all citizens of the
world and fails to contribute to the well-being of the world’s populations.
Just think how our personal liberties have been trashed here at home in the
last decade.
The financial crisis, still in its early stages, is apparent to everyone:
gasoline prices over $4 a gallon; skyrocketing education and medical-care
costs; the collapse of the housing bubble; the bursting of the NASDAQ bubble
stockmarkets plunging; unemployment rising;, massive underemployment;
excessive government debt; and unmanageable personal debt. Little doubt
exists as to whether we’ll get stagflation. The question that will soon be
asked is: When will the stagflation become an inflationary depression?
There are various reasons that the world economy has been globalized and the
problems we face are worldwide. We cannot understand what we’re facing
without understanding fiat money and the long-developing dollar bubble.
There were several stages. From the inception of the Federal Reserve System
in 1913 to 1933, the Central Bank established itself as the official dollar
manager. By 1933, Americans could no longer own gold, thus removing
restraint on the Federal Reserve to inflate for war and welfare.
By 1945, further restraints were removed by creating the Bretton-Woods
Monetary System making the dollar the reserve currency of the world. This
system lasted up until 1971. During the period between 1945 and 1971, some
restraints on the Fed remained in place. Foreigners, but not Americans,
could convert dollars to gold at $35 an ounce. Due to the excessive dollars
being created, that system came to an end in 1971.
It’s the post Bretton-Woods system that was responsible for globalizing
inflation and markets and for generating a gigantic worldwide dollar bubble.
That bubble is now bursting, and we’re seeing what it’s like to suffer the
consequences of the many previous economic errors.
Ironically in these past 35 years, we have benefited from this very flawed
system. Because the world accepted dollars as if they were gold, we only had
to counterfeit more dollars, spend them overseas (indirectly encouraging our
jobs to go overseas as well) and enjoy unearned prosperity. Those who took
our dollars and gave us goods and services were only too anxious to loan
those dollars back to us. This allowed us to export our inflation and delay
the consequences we now are starting to see.
But it was never destined to last, and now we have to pay the piper. Our
huge foreign debt must be paid or liquidated. Our entitlements are coming
due just as the world has become more reluctant to hold dollars. The
consequence of that decision is price inflation in this country—and that’s
what we are witnessing today. Already price inflation overseas is even
higher than here at home as a consequence of foreign central bank’s
willingness to monetize our debt.
Printing dollars over long periods of time may not immediately push prices
up–yet in time it always does. Now we’re seeing catch-up for past inflating
of the monetary supply. As bad as it is today with $4 a gallon gasoline,
this is just the beginning. It’s a gross distraction to hound away at “drill
drill, drill” as a solution to the dollar crisis and high gasoline prices.
Its okay to let the market increase supplies and drill, but that issue is a
gross distraction from the sins of deficits and Federal Reserve monetary
shenanigans.
This bubble is different and bigger for another reason. The central banks of
the world secretly collude to centrally plan the world economy. I’m
convinced that agreements among central banks to “monetize” U.S. debt these
past 15 years have existed, although secretly and out of the reach of any
oversight of anyone—especially the U.S. Congress that doesn’t care, or just
flat doesn’t understand. As this “gift” to us comes to an end, our problems
worsen. The central banks and the various governments are very powerful, but
eventually the markets overwhelm when the people who get stuck holding the
bag (of bad dollars) catch on and spend the dollars into the economy with
emotional zeal, thus igniting inflationary fever.
This time—since there are so many dollars and so many countries involved—the
Fed has been able to “paper” over every approaching crisis for the past 15
years, especially with Alan Greenspan as Chairman of the Federal Reserve
Board, which has allowed the bubble to become history’s greatest.
The mistakes made with excessive credit at artificially low rates are huge,
and the market is demanding a correction. This involves excessive debt,
misdirected investments, over-investments, and all the other problems caused
by the government when spending the money they should never have had.
Foreign militarism, welfare handouts and $80 trillion entitlement promises
are all coming to an end. We don’t have the money or the wealth-creating
capacity to catch up and care for all the needs that now exist because we
rejected the market economy, sound money, self reliance and the principles
of liberty.
Since the correction of all this misallocation of resources is necessary and
must come, one can look for some good that may come as this “Big Event”
unfolds.
There are two choices that people can make. The one choice that is
unavailable to us is to limp along with the status quo and prop up the
system with more debt, inflation and lies. That won’t happen.
One of the two choices, and the one chosen so often by government in the
past is that of rejecting the principles of liberty and resorting to even
bigger and more authoritarian government. Some argue that giving dictatorial
powers to the President, just as we have allowed him to run the American
empire, is what we should do. That’s the great danger, and in this post-911
atmosphere, too many Americans are seeking safety over freedom. We have lost
too many of our personal liberties already. Real fear of economic collapse
could prompt central planners to act to such a degree that the New Deal of
the 30’s might look like Jefferson’s Declaration of Independence.
The more the government is allowed to do in taking over and running the
economy, the deeper the depression gets and the longer it lasts. That was
the story of the 30ss and the early 40s, and the same mistakes are likely to
be made again if we do not wake up.
But the good news is that it need not be so bad if we do the right thing. I
saw “Something Big” happening in the past 18 months on the campaign trail. I
was encouraged that we are capable of waking up and doing the right thing. I
have literally met thousands of high school and college kids who are quite
willing to accept the challenge and responsibility of a free society and
reject the cradle-to-grave welfare that is promised them by so many do-good
politicians.
If more hear the message of liberty, more will join in this effort. The
failure of our foreign policy, welfare system, and monetary policies and
virtually all government solutions are so readily apparent, it doesn’t take
that much convincing. But the positive message of how freedom works and why
it’s possible is what is urgently needed.
One of the best parts of accepting self reliance in a free society is that
true personal satisfaction with one’s own life can be achieved. This doesn’t
happen when the government assumes the role of guardian, parent or provider,
because it eliminates a sense of pride. But the real problem is the
government can’t provide the safety and economic security that it claims.
The so-called good that government claims it can deliver is always achieved
at the expense of someone else’s freedom. It’s a failed system and the young
people know it.
Restoring a free society doesn’t eliminate the need to get our house in
order and to pay for the extravagant spending. But the pain would not be
long-lasting if we did the right things, and best of all the empire would
have to end for financial reasons. Our wars would stop, the attack on civil
liberties would cease, and prosperity would return. The choices are clear:
it shouldn’t be difficult, but the big event now unfolding gives us a great
opportunity to reverse the tide and resume the truly great American
Revolution started in 1776. Opportunity knocks in spite of the urgency and
the dangers we face.
Let’s make “Something Big is Happening” be the discovery that freedom works and
is popular and the big economic and political event we’re witnessing is a
blessing in disguise.