Ron Paul: Bernanke Has Lost Control, People ‘Should Panic Over Fed’s Decision!’

Congressman Ron Paul responded to today’s QE∞ announcement by The Fed in this MUST WATCH Bloomberg interview.

Regarding QE Paul stated,

‘It should not surprise anybody, but it is still astounding. To me, it is so astounding that it does not collapse the markets.
Bernanke said, ‘We are in very big trouble. We are going to do something unprecedented and we believe it will not hurt the dollar.’  And yet the stocks, they say ‘we love this stuff.’ But the dollar didn’t do so well today and the real value of the dollar is measured against gold, and gold skyrocketed from its very low to its highest. It means we are weakening the dollar. We are trying to liquidate our debt through inflation. The consequence of what the Fed is doing is a lot more than just CPI. It has to do with malinvestment and people doing the wrong things at the wrong time. Believe me, there is plenty of that. The one thing that Bernanke has not achieved and it frustrates him, I can tell—is he gets no economic growth. He doesn’t do anything with the unemployment numbers. I think the country should have panicked over what the Fed is saying that we have lost control and the only thing we have left is massively creating new money out of thin air, which has not worked before, and is not going to work this time.’

 

Full MUST WATCH interview below:

 

Comments

  1. Yet the sheeple won’t listen to Ron Paul and the GOP wants him gone because he makes sense and would make a real attempt to fix things even if it would cost the 1% money.

  2.  Ben brought out the big bazooka.  Hard to understand this move with banks sitting on $2T in reserves, liquidity is not a problem.  Ben will get away with this for a while, but when the stock market tanks he’s got nothing left.  If he fires a QE-4 bullet at at short term treasuries(that’s all that’s left because the Fed already owns most all the 10-30yr notes) the dollar will tank(go below 50) and the meltdown will be instant across all markets and the financial system will lock-up.

    • Avatar of IndenturedServant says:

      The point is to print $40 billion or more per month out of thin air. The FED takes their cut right off the top, (pre-inflation) then they give this money to the TBTF banks in exchange for toxic MBS paper. This clears up the TBTF banks balance sheets (or starts to) and the toxic MBS paper is then transferred to the suckers, I mean taxpayers over at the Treasury. It’s all about MOPE.
      I_S

      I meant to say that the point is to transfer $40 billion worth of toxic debt to the US Treasury and bail out the banks.

  3. Ben never really had control to begin with.  It’s asinine to think you can centrally manage an economy as big as the USA’s and not get unintended consequences wrapped around the economic axles … chaos theory anybody?  UglyDog makes a good point about the huge liquidity reserves.  Makes me think this move is really about destroying the dollar, nothing more.  Hey, we have to keep up with the Euro’s destruction, right?!

  4. Ron Paul is correct.  This action by the Fed has ensured that the U.S., and perhaps the rest of the world, will enter into a historic hyperinflationary depression (hyperinflationary in terms of paper currencies).  The majority of the people, who are unprepared for such a condition, will go through extremely difficult hardships.  It will be time for those who are prepared to lend a helping hand.  But the best help right now is to help others to be prepared, starting with family members and friends.

  5. Printing a billion dollars a day into infinity??????????????? What the $&$^$&%&^   t8 0&%*^&*(&*!!!! There is no way this policy has any intention of trying to fix a thing. Americans being murdered, nothing but mouthy wording that has no substance behind it, printing our economy into oblivion, and all I have heard is Ron Paul is too radical. We have radical non-no-response-apologizing-for-being-American reactions from a spineless president. And may I remind you Mr. President: these American heros did not GIVE their lives in service, these worthless cowards in Lybia TOOK these American heros lives from them!! We may get rich, but we may not a world to live in to use it! If it was me: my response—Mr. Lybia Leader; you have 3 days to provide me the information of the men who did this. After three days, if you do not respond, your country can blame YOU for the condition it will be in after we are done.

  6. Sadly, the majority of the people don’t what QE is and that the fact that the Fed lost control means nothing to them. They are to busy buying the latest fashions, gadgets, etc. If one day the dollar collapse happens and that someone is trying to intimidate me to give that person all my silvers during SHTF just because the guy lost all of his savings, I would not hesitate at shooting him because first of all, it’s not my fault if his ignorance ruined him while I was working hard to prepare against it and secondly, NO WAY I want let a sheep intimidate me like that. The problem is that I don’t have a gun but I know where I’ll be able to get one when SHTF happens.

  7. Perhaps when that i-Pad/i-Pod/i-whatever costs $1000 instead of “only” $500 they will get it then?  Maybe.

    As to getting that gun… like anything else, if you can’t hold it, you ain’t got it!  And you might not be able to get to it… in time, anyway, once it becomes obvious that the S has well and truly HTF.  At the very least, get a Mossy 500 and plenty of ammo.  They are inexpensive, reliable, and deadly.  They also have a high intimidation factor because looking down that 12-ga. barrel makes it look like it is about 8″ across. 

  8. @the-doc – where is the full must watch video?

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