16 Jul 2009
One of My Senators Just Co-Sponsored the Bill to Audit the Fed!
I was so excited. This is the email I wrote to her:
Perhaps the largest problem in our and the World’s economy is an unstable unit of account, the wild swings in the value of our money. The sole charter of the Fed is to stabilize our unit of account and yet in a misguided effort, they do just the opposite: they cause the wild swings which result in inflation and deflation that reek havoc on the economy. All that has to be done is for them to target the gold price instead of targeting the interest rate. When the price of gold becomes to high, they should sell bonds to soak up the excess liquidity. When the price of gold becomes too low the can inject liquidity by printing. If they just followed this one simple rule there would be no more inflation or deflation, and the economy would have exactly the amount of liquidity that it demands. I also worry about the ever increasing amount of regulatory power they are being given. They should be reigned in and held accountable, not given more unaccountable power. If they are indeed a branch of the government, they should work for the people and be held accountable to the people and its representatives. If they are not, then the Congress should take back its Constitutional authority to coin money.
Thank you again,
Little Rock, Arkansas